Lack of ethnic diversity on FTSE 100 boards the key issue, Parker Review finds

Sir John Parker’s diversity review, Beyond One by 21, has found that the UK’s largest companies are not giving ethnic minority employees opportunities to excel in the workplace.

In the report, Parker highlighted the failure of UK companies to promote enough ethnic minority employees to top executive positions and called on all FTSE 100 companies to appoint at least one director from a minority background by 2021, with FTSE 250 companies following suit by 2024.

Key findings from the review include:

  • UK citizen directors of colour represent only about 1.5% of the total director population
  • 90 individual directors of colour out of a total of 1.087 directors in the UK
  • Directors of colour represent only 8% of the total (compared to 14% of the UK population)
  • 53 out of the FTSE 100 companies do not have any directors of colour

Diversity is counting the numbers. Inclusion is making the numbers count.

“For business to be successful they should harness the talent of all parts of society, including different races and gender,” says David Isaac, Chair of the Equality and Human Rights Commision (EHRC).

“This is not an exercise of tokenism; the recommendations are underpinned by strong industrial logic and the need for UK companies to be competitive in the increasingly challenging global marketplace.” Sir John Parker

The findings are strongly supported by recent research claiming that gender diverse companies outperform their competitors by 15%, increasing to 35% for ethnically diverse companies (Diversity Matters, McKinsey)

At The People Development Team, inclusion sits at the heart of our business. We partner with organisations globally to create the space where everyone can be heard and excel to the best of their ability.

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