Leadership Challenges Revealed In Diversity Survey

Findings from the 2024 New Zealand Workplace Diversity Survey suggest that a significant proportion of leaders in our organisations are not equipped or being held accountable for driving inclusion in our workplaces.

More than a third of respondents to the survey (37 per cent) are unaware of how senior leaders are supported in learning about diversity, equity and inclusion (DEI), indicating a lack of transparency and communication within organisations, says Diversity Works New Zealand Chief Executive Maretha Smit.

Additionally, 39 per cent of respondents are unsure about the accountability measures for senior leaders’ DEI commitments, highlighting a gap in formal accountability systems which undermines trust and motivation among employees.

“The effectiveness of leaders in advancing the DEI agenda depends on their commitment, combined with the technical expertise and capability required to drive meaningful progress. In addition, leadership teams themselves should be diverse and role model inclusive practices, embodying the principles they advocate for,” Smit says.

This is another area where the survey revealed concerns around leadership – nearly half of respondents perceive there is a lack of diversity within senior levels of their organisation.

Only 13 per cent of respondents strongly agree that their organisation's leadership is as diverse as the workforce, while 21 per cent agree, totalling 34 per cent with a positive view. Conversely, a substantial 36 per cent disagree, and 11 per cent strongly disagree, showing a significant 47 per cent of respondents with negative perceptions.

To change those perceptions, organisations need to ensure they are supporting leaders to drive inclusion mahi, says Smit.

“Leaders who do not understand why DEI is a strategic imperative or how to do this work effectively will fail to develop the next generation of diverse talent we need to ensure the future sustainability of our organisations.

“Furthermore, leadership accountability for DEI outcomes can be challenging to enforce when leaders are not adequately prepared for this role.”

On a more positive note, most respondents (68 per cent) viewed their organisation’s leadership style to be very or fairly inclusive. This figure was highest in the private sector (71 per cent) and the non-profit/NGO sector (69 per cent). Only 55 per cent of public sector respondents felt the same way.

“The public sector restructuring happening at the time of the survey may be diminishing perceptions of leadership inclusivity due to their impact on morale, trust and diversity,” Smit says.

Other key findings from the 2024 New Zealand Workplace Diversity Survey

• Ethnicity, gender and Rainbow/LGBTQ+ were ranked as the diversity dimensions considered most important by respondents with DEI responsibilities. Ethnicity, gender and disability were ranked as the three most important by people with no DEI responsibilities.
• The most important DEI topic for organisations in 2024 is fostering an inclusive workplace culture, with 57.3 per cent of DEI respondents and 40.4 per cent of non-DEI respondents highlighting its importance.
• The importance of te ao Māori as a DEI-related topic has increased. It was ranked most important by respondents without DEI responsibilities (up 11 percentage points from 2023) and second-most important by those with DEI responsibilities (up 20 percentage points from 2023).
• More than half of those surveyed (55 per cent) reported their organisation collects diversity data, 24 per cent of respondents answered no to that question and 21 per cent didn’t know. Ethnicity was the diversity dimension that was most likely to be reported on, followed by gender and age.
• Fewer than half of the respondents (44 per cent) reported their organisation had equal employment opportunity initiatives aimed at increasing diversity and representation in place. Of those that did, the most common was unbiased job descriptions, followed by flexible work arrangements.
• Looking at social cohesion challenges, 62 per cent of respondents noted their DEI training covered diversity appreciation, 55 per cent said addressing stereotypes was tackled and 52 per cent reported their training looked at improving communication and understanding. Addressing polarised views (21 per cent) and supporting cohesion goals (18 per cent) were the challenges least likely to be addressed.

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