Employing migrant workers



 
 

Ensuring diversity

Constantly changing demographics mean that organisations need to ensure that they recruit and retain from a wide talent pool if they are to serve the needs of their clients and communities successfully. Businesses that identify closely with their customer base will be able to segment and target different groups more effectively, provide more accurate means of communicating with their target audience and improve customer service. Products and services can also be more effectively marketed when businesses are aware of different customers' requirements1 . This requires effective diversity policies.

Organisations keen to attract talented workers want to be seen as an 'employer of choice', and diversity is a key part of this. Employing migrant workers is one way in which an organisation can increase the diversity of its employees.

There is growing evidence that organisations that operate best practice Human Resources policies around diversity tend to perform better. Research by the Department for Education and Skills has found that all companies may derive business benefits from race equality actions2 .

Working environments where staff fear discrimination will tend to have higher levels of absenteeism, which affects productivity and competitiveness. Staff turnover may also be high, which significantly increases business overheads.

The potential benefits of diversity include more satisfied customers, improved product and service delivery and increased sales.

Facts and figures

  • Lloyds TSB witnessed a 30% increase in sales in some branches where staffing was changed to reflect the ethnicity of customers3
  • The average cost of labour turnover per employee in 2001 was £3,500 per leaver4
  • Ethnic minorities currently represent 8% of the UK's population with this figure is set to double over the next 25 years5
  • 45% of the ethnic minority population is under 25 years of age by 2010, 8% of the workforce will be from an ethnic minority background7
1CRE Good Practice Report - "The economic case for racial equality" http://www.cre.gov.uk/gdpract/wwb_economiccase.html#five
2Research Report No. 177 "Race Research for the Future Business Benefits of Race Equality at Work"
3From Lloyds Business site http://www.lloydstsbbusiness.com/support/businessguides/benefits_of_diversity.asp
4Chartered Institute of Personnel and Development, Labour Turnover Survey
5Race for Opportunity web site http://www.bitc.org.uk/programmes/programme_directory/race_for_opportunity/

 

Case studies




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