MMH230 T3 2019: Diversity and Inclusion in Organisations

This essay delves into the multifaceted aspects of diversity within Australian organizations, focusing on ethnic and racial diversity. It begins by defining diversity in an organizational context, differentiating between primary, secondary, and tertiary diversities, and highlighting the importance of effective diversity management by HR departments. The essay then examines the specific context of diversity in Australia, emphasizing its multicultural nature and the benefits of diversity, such as increased creativity and economic productivity, while also acknowledging the disadvantages, including underrepresentation of minorities in leadership roles and workplace discrimination. The analysis further explores the factors contributing to racial discrimination, including under-portrayal in media and varying participation rates of different ethnic groups in the workforce. The essay also addresses cultural diversity, race discrimination and its impacts. Finally, it concludes by discussing potential diversity management strategies that organizations can implement to foster an inclusive environment.

RUNNING HEAD: DIVERSITY IN ORGANISATION

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Introduction:
Beyond Blue Stop once released an advertisement that contains the promotion of three
main ideas- Think. Respect. Campaign. This advertisement clearly underlines the presence of an
“Invisible discriminator.” The advertisement was made focusing on the rising of the awareness
against the ill effects of racial discrimination towards the Torres Strait and Aboriginal islander
people. Though the advertisement was aired keeping in mind the discrimination against a
particular section of people, the presentation was generalised enough to be applicable in the
general context of racial diversities in an organisation. Cultural and racial diversity is one of the
primary causes that foster dynamism and various angles of thought to the company. However,
the Racial Discriminations that the employees face in a diverse culture has been overlooked
many a time with the emergence of globalisation and internet information. Though in the era of
technology and globalisation it may seem to be easy to go and work at any part of the world, if
an individual as proficiency in his area of expertise, in reality, the problem of discrimination is
still a major issue of concern (Syed, J. and Ozbilgin, M., 2019). Revelation from various
employees has been noted where there had been the clear stating of the fact that they had been
facing harassment or discriminations from their co-workers and bosses for their identities.
Moreover, it has also been noted that the scope of promotions has been reduced in the case of the
non-residents. The recent research by the Victoria’s Equal Opportunity and Human Rights
Commission has documented 90% increase in the racial discrimination in the workplace.
Australia being a richly diverse and multicultural society faces both the benefits and problems of
the ethnical diversities in the workplace environment. The current essay aims at identifying the
various aspects of the diversities in organisation and takes into account the ethnic diversities of

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Australia that results in various benefits as well as the disadvantages of this diversity. In the end
of the essay, the possible diversity management strategies that the HR section of the
organisations in Australia can resort to.
Diversity in Organisation:
In the context of organisation, the term diversity refers to the assortment of the varieties
among the employees in the workplace. Diversity does not essentially mean the process of the
perceptions of the individuals about themselves but also the way in which they apprehend others
(Bassett‐Jones, N., 2005). However, the proper form of diversity management in an organisation
refers to the positive response of the organisation in providing equal opportunity and
environment without making any sort of discrimination and biasness. The HR wing of any
organisation has to effectively handle the various dimensions of diversity like the communication
process, adaptabilities and other changes within an organisation. The diversities in an
organisation consists of the social issues like the gender, age, race ethnic groups, personalities
and background and at the same time takes into account work related components like
organisational function, culture or designations. The diversities in the organisation can be
classified as follows according to Kim et al,2015 are:
Primary Diversities: Ethnic groups, gender, disabilities, Race, Age.
Secondary Diversities: Geographical region, education, family background, Nationality, Sexual
Orientation, Economic Status, Religion, Language etc.
Tertiary Diversities: Perceptions, Group Norms, Attitudes, Feelings, Assumptions etc.

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There are however, differences in the concept of diversity in workplace in various
company owing to the rules and business goals or purpose of the organisation. Thus when taken
into consideration the diversity in the workforce, the issues that are to be taken into
considerations are:
Company type: the type of the company is an important pointer towards the creation of a diverse
workforce. The companies vary in their activities and company size and thus, decide accordingly
whether it would fit in it a diverse workforce. The tendency of employing a large number of
employees and as a result a diverse type of employees, are present in the public company
compared to the private companies (Stone,2017). Such differences in opinion and decision are
also seen in unlimited company, Limited Liability Company or the government company.
1. Organisational Culture: Organisational culture is defined as “set of values that are shared
in the organisation, which reflects on the company activities.” The five factors that guide
the culture of an organisation are- vision, value, place, people and History. The
organisational culture of one company varies from the other and thus, the nature of
diversity also varies.
2. Location of the Company: the location of the company is another major issue that has to
be taken into consideration for understanding the nature of diversity in the company.
Diversity Setup in Australia:
Australia is considered to be one of the most richly diverse as well as multicultural
society. According to a census conducted in 2016, 75% of the residents in Australia have been
identified to have their ancestries in places other than Australia. This statistics is a very vital
pointer towards the development of the diversity in Australian organisations. According to the

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Diversity Council of Australia, ethnic diversity refers to the “variations between people in terms
of how they identify on a range of dimensions including ancestry, ethnicity, ethno-religiosity,
language, national origin, race and religion.” This diversity has in it some advantages as well as
some bad advantages in the context of Organisations in Australia.
Advantages:
According to the Diversity Council Of Australia, in organisations where there is a large
number of diversity, employees seem to be more satisfied in their work as the various race and
diversities are contributing distinctly to the organisations by means of creative ideas and
connecting to various types of customer (Stone,2017).
The ethnic diversity, thus, is also leverage for any business because of the stream of new
ideas and creativities coming from the various ethnic groups. The integration of the various view
points and angles contribute to the dimensions and profitability (Syed, J. and Ozbilgin, M.,
2019).
Data from the United States holds the evidence that reduced racial discrimination helps in
the making up of s socially stable and economically sound society. It increases the labour
productivity and productivity growth. In the society of Australia, the migrants as well as the
residents contribute majorly to the economy of Australia. Australians as well as the Australian
companies support the economic diversity. The companies have implemented various policies th
aims at the increment of the diversity of workforce.

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Disadvantages:
A report published by McKinsey in 2016 holds the evidence that representations of
minorities in the top level of the Australian Organisations are not sufficient. A contrast in the
ethnic diversity in the society of Australia and in the Australian leadership is witnessed.
A distinct correlation between the ethnicity and average pay amount has been noted in
many societies and particularly in Australia. Though there has been some improvements in the
factors, however, the overall scenario is disappointing. Moreover, the people from the culturally
diverse sections are still subjected to the tremendous workplace discrimination and have to face
various unfair hurdles. Researches in the Australian National University has investigated that job
applicants coming from the urban areas have greater chance of their applications being selected.
Talking about Race in Australia:
There are various complaints across the world regarding the discriminations faced by the
people of culturally and linguistically diverse (CALD) background in the areas of employment.
This, however, to be borne in mind that being just tolerant is not sufficient to address this factor.
Understanding is the basis that needs to be incorporated by the leaders in the organisation ().
The main factors that contributes to the problems in the racial discriminations in the Australian
Organisations are:
Under-portrayal at official level and media A
Recounted evidence shows that the portrayal of individuals from CALD foundations in the
higher rank echelons of Australian companies and the prevailing press is not reflecting the
condition of the network. Glancing through the Executive Leadership Teams of the ASX 500
organizations or standard TV, a rising level of whiteness and homogeneity is witnessed.

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Rate of Participations:
In spite of the fact that joblessness rates for individuals from CALD foundations are extensively
practically identical to the all inclusive community, the rate is higher for individuals conceived in
non-English talking nations (over 9% of individuals conceived in North Africa or the Middle
East are jobless) source.
AMES is of the view that the unemployment rate as shown by the data is not the
reflection of the actual rate of unemployment. The Australian Bureau of Statistics (ABS) tallies
that somebody who has worked an hour seven days as being utilized (Davis, P.J., Frolova, Y. and
Callahan, W., 2016).
In 2014-15, the work power cooperation pace of individuals matured 20-74 years was
65.1% for ladies and 78.3% for men (ABS). For individuals of CALD foundation (brought into
the world abroad) it was 59.8% for ladies and 75.9% for men (ABS). For individuals of
individuals of CALD foundation (conceived in Australia) it was 67.9% for ladies and 80.2% for
men (ABS).
In 2016, the work power cooperation pace of individuals matured 15+ years was 59.5% for
ladies and 71.0% for men (ABS). The extent of the Australian populace matured 18-24 utilized
full or low maintenance in 2011 for I) Australian brought into the world was 71.6%; ii) CALD
conceived 44.5%, iii) Refugee conceived - 33.2%, iv) Refugee lineage - 48.8%, and, iv) CALD
heritage - 55.9%. ()
Rate of participations among the migrants in the workforce
Transients who had gotten Australian citizenship since appearance were bound to be utilized
(73%) than other late vagrants (64%) or brief inhabitants (63%). In all cases, guys were bound to

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be utilized full time than females: 90% of male vagrants with Australian citizenship were utilized
full time contrasted and 63% of females.
Diversity in Cultures:
Results from a progression of decent variety reviews (2009-2013) from a huge association
demonstrated that the worker partner was socially different with 30% of representatives brought
into the world abroad and ~50% of representatives' folks brought into the world abroad. This
contrasts and 23% of Australians brought into the world abroad and 44% of Australians who had
in any event one parent brought into the world abroad (Federation of Ethnic Communities
Councils of Australia, 2011).
Notwithstanding, the outcomes demonstrated that individuals from CALD foundations were
grouped in explicit work regions, for instance, science and business offices. Then again,
individuals from non-CALD foundations were exceptionally spoken to in HR, value and assorted
variety offices, promoting offices and official initiative gatherings. Burrowing somewhat more
profound, the outcomes indicated that most of the review members who recognized as CALD
had the two guardians conceived from a similar nation. Increasingly social decent variety pulls in
social assorted variety, greater homogeneity draws in homogeneity (Davis, P.J., Frolova, Y. and
Callahan, W., 2016).
Results from a progression of decent variety reviews (2009–2013) from an enormous association
demonstrated that work territories with a higher portrayal of individuals from CALD foundations
(than the study normal) seemed to hold or pull in more individuals of CALD foundations,
though, work zones that were homogenous seemed to hold their homogeneity.

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Race Discrimination
Discrimination on the basis of race has been illegal for more than 30 years under the equity right
of the region and the monitory expenses is charged in case of breach. It is illegal to oppress an
individual as a result of their race, shading, nationality or national source, ethnicity or ethnic
cause, plummet or family. In any case, concurring the Victorian Equal Opportunity and Human
Rights Commission 2015 Annual Report, 213 objections of race and strict conviction or
movement segregation were held up at the Commission somewhere in the range of 2014 and
2015, in the territory of business. This makes up 12% of all grievances held up with the
Commission in business, the second most noteworthy behind incapacity (Fozdar, F., 2012).
Impacts on the business:
It has been found in some researches that the discrimination in the case of business is still
prevalent in the Australian society.
Indigenous Australians
It is reported that Torres Strait Islander and aboriginal populace conceived in 2010–2012, future
was assessed that for the male population in the non indigenous section, the rate would be 10.6
years lower (69.1 years contrasted and 79.7) and 9.5 years for females (73.7 contrasted and
83.1).(Stone,2017)
Legal Responses of the Nation:
The legal framework of Australia tends to aim at the promotion and enactment of
Australian multiculturalism within the organisational and societal context. With the aim of
protecting the human rights of a culturally diverse populace and to integrate the nature and

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understanding of this rights and opportunity the federal government of Australia set up Human
rights and equal opportunity commission in 1986. The racial discrimination act was made
effective in 1975 to eliminate all forms of racial discrimination (Leveson, L., Joiner, T.A. and
Bakalis, S., 2009). The racial hatred act has the extension to allow the people to raise their
complaints against any racially abusive behaviour. The workplace relations act passed in 1996
covers a large area that includes the unlawful termination in an organisation or any other
offensive behaviour on discriminatory grounds. The act also advocates equal remuneration for
work of equal valuation irrespective sex, ethnicity and class. The sex discrimination act of 1984
condemns the discrimination in workplace as unlawful. The law also conforms to the
international labour organisation convention 156 (Gorringe, S. and Fogarty, B., 2013). Passed in
1987 the equal employment opportunity act was made effective to implement and create an equal
employment opportunity programme. This programme aimed at ensuring the undertaking of
proper actions in order to eliminate any kind of discriminations by the organisations.
There are however various loopholes in the legislative actions that have given rise to
various problematic situations in racial discriminations. The race discrimination act does not
make the religious discrimination unlawful though the existence of the racial biasness has been
acknowledged by the policy makers of Australia, the interference of the legislative body in such
matters are debateable (Fassey, Pillay et al,2012).
Response of the Organisations:
The concept of equal employment opportunity and affirmative action has been devised by
the organisations to the past prejudices that the organisations hold and as a result some members
in the organisations have been discriminated. Perhaps the most punctual article on overseeing

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decent variety in the Australian setting was distributed in 1991 (Cunningham, J. and Paradies,
Y.C., 2013.). The creators featured, in a notice of The Business Council of Australia, the need to
effectively perceive assorted variety in the work environment, pointing towards the decent
variety of Australia's workforce and business contenders. Carmody and Smith expressed that
there was a business basic to connect successfully and cooperatively with the assorted
representatives, clients and global accomplices. After five years, overseeing decent variety was
viewed as "still in its earliest stages"; just few Australian organizations and Government
divisions were accounted for to have "reacted to issues of work environment decent variety in
any exhaustive and automatic manner". Teicher and Spearitt revealed that some open segment
associations just as Australian parts of US organizations were receiving assorted variety the
executives’ strategies as a major aspect of the more extensive procedure of microeconomic
changes. They anyway recognized that scarcely a bunch of Australian organizations, government
offices and open part associations had reacted to issues of workforce diversity and variety in an
exhaustive way. In 2004, Robin Kramar still thought about whether Australia truly had assorted
variety the board (Cunningham, J. and Paradies, Y.C., 2013.). Teicher and Spearitt recognize
four key drivers of assorted variety approaches in Australia: (1) pressures for business to turn out
to be universally aggressive, (2) changing work power arrangement, (3) developing familiarity
with the significance of human asset the executives, and (4) a backfire made by view of
extraordinary treatment for ladies. By and by, in any case, it appears that associations and
directors by and large don't regard decent variety as a need zone.
Bertone and Leahy (2001) recommend that equivalent business opportunity strategies in
Australia have been generally remotely determined, and affected by social duty principle. Be that
as it may, since the mid 1990s, there has been a move in open approach towards decent variety

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established on the monetary advantages of a differing workforce. Overseeing decent variety is
presently considered firmly connected to the profitability and execution of a business endeavour
(that is, inside driven), and is commonly viewed as a piece of corporate techniques (Bertone and
Leahy 2001). As per an ongoing book on human asset the board (HRM) in Australia, decent
variety the board was portrayed as a program that might have been "required, not exclusively to
address worker issues, yet to decrease turnover costs and guarantee that clients get the most ideal
assistance."( Davis, P.J., Frolova, Y. and Callahan, W., 2016)
Conclusion and Recommendation:
The HR wing has to incorporate in the strategies to show the employees the reason for adopting
the diversity. Making the workforce comfortable with the ideology is more essential. Not only
the HR management but all the top level management must act as a leader in incorporating the
diversity management (Kulik, C.T., 2014.). More experienced person can adopt the right way.
The management must make a proper vision and strategy that the employees can follow. The
strategic plan for the effectiveness of the integration policy will help the employees know their
goals better. The changed vision of the company must be effectively communicated to the
employees in written as well as verbal form. Moreover, Generating short term win policies will
make the employees more interested and reliable to the changed vision (Stone, R.J. and Stone,
R.J., 2013. ).