Diversity In Practice Updates 4 - Economic Inequalities

Equity outcomes are impacted by many factors but economic inequalities are the most consistent and easily addressed mechanisms for inclusive change.

Often when we discuss Colonialism, it is pictured as a distant and historic story with little relevance to our modern day lives. But to understand the longterm impact we need to consider the way our current society is structured from and in support of colonial and elitest systems.

“A man who could afford fifty dollars had a pair of boots that'd still be keeping his feet dry in ten years' time, while the poor man who could only afford cheap boots would have spent a hundred dollars on boots in the same time and would still have wet feet.

This was the Captain Samuel Vimes 'Boots' theory of socioeconomic unfairness.”

Terry Pratchett, Men at Arms - Good Reads

Founding Principles

The hierarchy of social inequalities founded on gender and racial concepts, dictate a person or group’s social value. Elitism sits at the basis of the UK’s social interactions, becuase it underpins the systems on which modern society was built. Engaging in Higher Education, Politics, Legal Justice, Land Ownership, Business Ownership, Finance and Trade all require existing economic resource. Without initial capital, it isdifficult to engage effectively or successfully in these spaces. Often requiring individuals to take on excessive debt to secure access, that debt often counteracts the advantages being gained as it diverts financial resource for extended periods, delaying the benefit of the investment.

Controlling access to adequate resources is a key system by which disadvantage and discrimination are maintained. Having access to clean air, water, food, clothing, healthcare, housing, education, employment, family and community are all human rightsand form the basis of human needs. Few would dispute that access to these essential resources should be universal but with over 20% of the UK population living in poverty, many of whom identify with one or more protected characteristic, it is clear that access to these resources is not equal. Inequalities in employee salaries, insecure housing, inconsistencies and disparities in investment in public services and discriminatory practices of gatekeepers and decision makers, all contribute to the challenges faced by diverse and under-served groups.

Health Inequalities

The link between poverty and longterm health issues is well documented, although we see little public discussion about the impact on those with exisiting disabilities and health conditions, who’s cost of living is already higher (limited secure employment, costs of prescriptions, medical appointments, accessible transport etc).

In addition to financial inequalities, research shows that a lack of ‘social capital’ or knowing the ‘right people’, (aka nepotism) also has detremental impact on diverse groups in overcoming socio-economic disadvantages. For diverse groups who have multiple intersecionalities (i.e. more than one protected characteristic) these effects are compounded. Often knowing ‘someone’ in the organisation where you are applyingfor a job or having connections and common ground with decision makers, will increase a person’s chances of success.

By reducing access to resources forthe general population and establishing systems which significantly benefit those who already have resources and connections, wealth and power are maintained.

So how can we effect change?

Understand your personal, professional and organisational, power and privilage
Consider ways you might benefit from socio-economic and resource inequalities
Use your voice to raise awareness and amplify the stories of diverse groups
Ensure your actions align with your stated values

But what real actions are we able to undertake or commit to, which ensure that our values and behaviours are aligned?

Assessment

This exercise is founded in the 10 Components identified by the Good Business Charter.

Consider each of the areas listed below and identify from 1-10 how important it is to your organisation (1 = highest importance). Consider if the organisations stated values are different from the daily behaviours and cultures.

Real Living Wage
Fairer Hours & Contracts
Employee Wellbeing
Employee Representation
Equality, Diversity & Inclusion
Environmental Responsibility
Pay Fair Tax
Commitment to Customers
Ethical Sourcing
Prompt Payment to Suppliers

In which areas could your organisation implement a change to improve socio-economic outcomes for under-served and diverse stakeholders?

If you would like to have a discussion about ways to support your organisation in addressing inequalities, please get in touch by emailing support@drosebusiness.com.

You can register for our free Building Excellence Open Webinars where this development area will be explored in more detail in the near future.

Best wishes,

Sabrina