FTSE 100 companies still failing to increase ethnic diversity leadership: Britain’s top businesses must do more than just talk about change
30th May 2018 1 minute read
Research from executive search and interim management firm Green Park has found that for Boards, the importance of diversity is expected to rise even further.
71 per cent of pension fund investors believe that by 2030 ethnic diversity will rise on the scale of importance and be a key determining factor in an investment case. A further 69 per cent state gender diversity will become more important.
It is expected that there will be a shift in positioning over the next 12 months, with some UK-based pension funds becoming more interventionist like many of their American counterparts, shaping the policies of the companies in which they invest. Almost three quarters (72 per cent) of investors believe pension funds will take a proactive approach in the next 12 months, using their influence to lobby on environmental issues, while 65 per cent believe Corporate Social Responsibility will be an area to drive change.
Raj Tulsiani, CEO of Green Park, said: “With trillions of pounds under management, UK-based pension funds have the power to effect real change amongst the businesses in which they invest, if they value diverse leadership. US-based pension funds have demonstrably shown how their influence can be wielded on issues ranging from smartphone addiction in children, to the ethnic diversity of board nominees. Are the UK’s investment funds as forward thinking? It is yet to be seen.”
This article was published by HR Review on Thursday the 24th of May, 2018. To read the full HR Review article, click here.