Is Uber right to link pay to diversity targets?

Commenting on the Uber’s decision to link executive pay to diversity targets, Debbie Ramsay, director of business ethics advisers GoodCorporation said:

“Too often companies publish statements about diversity or inclusion but make no real effort to incentivise staff, particularly at a senior level, to live up to them. Uber’s decision therefore, to link the bonus pay for senior executives to the company’s diversity targets is a welcome move that demonstrates a genuine commitment to changing behaviour.

“Using clear, measurable targets in this way suggests that Uber is going beyond words and cheap PR stunts to address the toxic workplace culture that came to the fore in 2017, and that should be encouraged.

“In assessing culture, we recommend that boards take meaningful steps to fully understand what drives behaviours; that includes addressing issues such as unconscious bias, to ensure that the company is attracting the best talent from all racial, ethnic and gender groups. This helps avoid the kind of group think that all too often stifles the creativity, innovation and drive needed to build successful and profitable businesses.”