AARP Executive Insights Webinar Series

Webcasted on Thursday, November 18, 20102:00 p.m. to 3:00 p.m. EST

The Changing Look of Diversity: What Talent Management Professionals Need to Know

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HRCI Credits

HR Certification Institute Pre-Approved Program:

This Webinar is pre-approved for one General credit hour for PHR, SPHR, and GPHR recertification. Program ID information will be provided at the end of the Webinar

Send an email to executiveinsights@aarp.org after you view the Webinar slides for program ID information.

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Learning Objectives

Learn current workforce demographic trends in the context of a challenging economyLearn generational profiles of various groups that make

up a diverse workforce Understand the business case for diversityUnderstand employment law implications for diversityLearn how to become an “Employer of Choice” to attract

to retain top talent

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Today’s Presenters

Deborah RussellDirector, Workforce IssuesAARP

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Elba Aranda-SuhExecutive DirectorNLESI

Laurie McCannSenior LitgatorAARP

Lynne SmithDirector, Talent ManagementRobert Half International

Deborah FrettExecutive Director.BPWA

Economic Uncertainty Continues

Unemployment remains highJobless claims, consumer spending, and home sales

weakBudget cuts in European countriesFinancial Markets are fragileFed is getting more aggressiveSlight improvement in hiring outlook

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change

The Changing Landscape of Work

•Aging of the Workforce•More Diverse•Four Generations•Lower Birth Rates

Generational Profile Trends: 2009 - 2030

WWII Older Boomers

Middle Boomers

YoungerBoomers Gen X Gen Y

WhiteBlackAsianOther N/C N/C N/C N/C

HispanicWomen

Men No Data

N/C = No Change

Explosion of the Latino Population Latinos will be 19% of the population by 2020 and 30% by 2050 (133 Million)

General status of the Latino Population in the Workforceo The Pew Hispanic Center estimates US Hispanics to represent 13.6% of the total

US workforce in 2006. The same study, estimates 36.7% of US job growth to consist of Hispanic applicants.

o IL Latinos represent hold an unemployment rate of 10.9%, an all time high Aging Latino Population in the workforce

o Older Hispanics will make 1/7 of the 50 -69 by 2020 and ¼ by 2050o According to a study by the Urban Institute, the number of 55+ workers will

increase by a third over the coming decade and people are living longer and striving to work longer

The demographic is changing:o Increase in educational attainment by non-foreign Hispanicso Longer tenured Hispanics will also mean older Hispanics

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Because of the emerging demographic, private and public sector employers should support public policy that encourages employment of the 50 – 69 Latino population as well as internal HR policies. Policy supporting the employment of the aging Latino workforce will need to take into account language, technology, and educational barriers, as well as health literacy.

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Explosion of the Latino Population

Pay Equity Almost 50 years after the passage of the Equal Pay Act, the gender

pay gap More than a third of mothers in working families in every state but

Wyoming and Utah are the family’s primary breadwinner—these women provide at least half of a couple’s earnings or are single working mothers

The gender pay gap has taken on added importance as men have been more likely than women to lose jobs during the Great Recession

With families depending on a woman’s paycheck – a paycheck that is not equal to a man’s – families are hurt even more by the rough economic situation

Working women still earn only 77 cents for every dollar that men earns

Resource: Center for American ProgressAARP 10

Women VeteransWe can no longer afford to ignore the potential that this highly skilled group of working women can contribute to the U.S. economy as employees and employers. Women veterans continue to be an overlooked talent resource and a positive way to increase workforce diversity.

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Women VeteransWomen are the fast growing population of veterans There are 2 million women veterans today By 2020, 20% of veterans under 45 will be women Leaving the military is the first time many women veterans face pay

discrimination Women veterans often find it difficult to leverage their military skills

into meaningful civilian careers 11.2 % of women veterans are unemployed as of January 2010,

compared to 9.4% for veteran menWomen veterans who have served since 1990, have 20% higher

rates of unemployment than their male counterpartsWomen veterans between 18-24 are twice as likely to experience

unemployment than non-veteran women

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Women Veterans

“Tell me anywhere in the business world where a 22- or 23-year-old is responsible for 35 or 40 individuals on missions that involve life and death. Their tactical actions can have strategic implications for the overall mission.” -- General David Petraeus on hiring veterans

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Gen Y Women Value Older ColleaguesWealth of knowledgeInstitutional knowledgeCompany loyaltyAbility to collaborateExperiencePerspective – being able to see the bigger

pictureContacts and networks

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Resource: Business and Professional Women’s Foundation, Gen Y Women Focus Groups, 2010

Managers Value Gen Y WomenFresh perspectiveAbility to brainstormWillingness to vocalize their wants and needsCreativityWillingness to take risks

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Resource: Business and Professional Women’s Foundation, Gen Y Women Focus Groups, 2010

Managers Value Gen Y WomenConfidence in their abilitiesInnate sense of meritocracyWork ethic and driveAbility to seek out and embrace changeDesire to understand not only the “what” of a

task, but the “why”

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Resource: Business and Professional Women’s Foundation, Gen Y Women Focus Groups, 2010

Gen Y Women Can Learn from Older ColleaguesBe patientSee the bigger pictureBe adaptable/ how to use influenceUnderstand the organizational culture

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Resource: Business and Professional Women’s Foundation, Gen Y Women Focus Groups, 2010

Older Colleagues Can Learn from Gen Y WomenBe flexibleBe open to new ideasBe willing to take risksEmbrace change to improve a processTake risks and be willing to fail once in a whileBreak communication barriers through the use of

multiple communication channels

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Resource: Business and Professional Women’s Foundation, Gen Y Women Focus Groups, 2010

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Generational Diversity and Productivity in the Workplace

50% of hiring managers said they expect their teams’ productivity levels to increase as the economy improves

Source: Robert Half survey of 1,453 workers (between 21 and 64 years of age), including 502 hiring managers

35% of workers surveyed said working on a multigenerational team increases productivity; Only 15% said it decreases productivity

35%Increases

Productivity 15%Decreases Productivity

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Generational Diversity and Productivity in the Workplace

54% of baby boomers surveyed said they expect to work past the traditional retirement age of 65

The workforce will continue to be diverse, consisting of multiple generations

Source: Robert Half survey of 1,453 workers (between 21 and 64 years of age), including 502 hiring managers

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Business Case For Diversity Business case to support diversity and inclusiveness needs to

be effective, strategic and flexible enough to address and meet a variety of workforce needs

• How can HR and Talent Management respond?– Champion programs– Incorporate into talent management programs – Value and strive for innovation – Innovation

happens with a diverse team of people!– Promote and support your supplier diversity

programs– Consistently reinforce through your internal and

external communication channels– Leverage your corporate responsibility programs,

alliances and advisory councils to help support you in the community

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Business Case for Mature Workers

69% of mature workers not retired say they will work during retirement

Companies may avoid talent crunch if mature workers continue working longer than previous generations for both financial and personal reasons

Companies may find themselves competing for the services of older workers, and will need to offer the kind of rewards that 50+ employees want and expect

Mature workers are more motivated than others to exceed expectations on the job

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Business Case for Mature Workers

Older workers are more motivated to exceed expectations on the job than their younger counterparts

High replacement costs equal at least 50% of an individual’s salary

Cost benefits of avoiding turnover can exceed compensation and benefit costs of older workers

Managing a Multigenerational Team

Benefits: Brings together

people of varying experience levels

Allows for greater diversity of project teams

Allows for mentoring opportunities

Challenges:• Different work ethic

and approach to work/life balance

• Conflicting communication styles

• Different points of view make it harder to reach consensus

Source: Robert Half survey of 1,453 workers (between 21 and 64 years of age), including 502 hiring managers24

Women Veterans

“Recruiting women veterans is smart businessWomen in the military are leaders, managers and

team members95% of military jobs are open to women -- the

advantages of hiring women veterans are obvious

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Laws on Workplace Discrimination

Age Discrimination in Employment Act (ADEA)Title VII of the Civil Rights of 1964 Americans with Disabilities Act (ADA)Multiple discrimination based on age, gender,

race, or disability States have their own fair employment practices

statutes

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ADEA Charges at or Near Record-Levels

Charges containing ADEA allegations:

In 2008, 24,582 charges, a 30% increase over 2007

In 2009, 22,778 charges (second highest recorded level)

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Recent Important Age Discrimination Cases

Meacham v. Knolls Atomic Power Laboratory

Mendelsohn v. Sprint/United Mgmt. Co.

Gross v. FBL Financial Services

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How can HR/Talent Management respond?

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How can HR and Talent Management respond?

– Promote and support your supplier diversity programs

– Consistently reinforce through your internal and external communication channels

– Leverage your corporate responsibility programs,alliances and advisory councils to help support you in the community

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How can HR and Talent Management respond?

– Champion programs

– Incorporate into talent management programs

– Value and strive for innovation –Innovationhappens with a diverse team of people!

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21st Century Alignment

© 2008 Sloan Center on Aging & Work Quality of Employment Framework

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AARP Talent Management Resources

Visit the AARP Employer Resource Center at www.AARP.org/erc for these and other resources:

Workforce Assessment Tool – A tool to strengthen your ability to recruit and retain talent

Workforce Management Training Modules – Customizable training you can use to increase the competencies of your staff

National Employer Team – A recruiting source targeting experienced talent

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Other Resources Business & Professional Women Foundation

http://www.bpwfoundation.org/

National Latino Education Institute http://www.nlei.org/index.html

Robert Half International http://www.rhi.com/

U.S. Department of Labor Office of Disability Employment Policy http://www.dol.gov/odep/

U.S. Equal Employment Opportunity Commission www.eeoc.gov

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HRCI Credit Information

This program has been approved for 1.0 (General) recertification credit hour toward PHR, SPHR and GPHR recertification through the HR Certification Institute.

Send an email to executiveinsights@aarp.org after you view the Webinar slides for program ID information.

AARP Executive Insights Webinar Series

Tuesday, December 7, 20102:00 p.m. to 3:00 p.m. EST

Preparing For 2011: Trends In Talent Acquisition for an Age Diverse Workforce

Register Now! At WWW.AARP.ORG/ERC

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