The untold impact of disability inclusion
Have you ever wondered if your organisation’s commitment to diversity goes beyond gender? Let’s explore the compelling case for embracing inclusion across diverse groups, including individuals with disabilities, and how it can revolutionise Diversity, Equity, and Inclusion (DEI) efforts.
Let the numbers speak
People with disabilities make up around 20% of the global population, yet are employed at a rate 30% lower than the general population, and make up a negligible percentage of corporate boards. In Australia, only 53% are in the labour force, compared to 84% without disabilities. In Aotearoa New Zealand, 45% of disabled adults are employed, compared to 72% of non-disabled adults.
Yet, studies consistently show that people with disabilities stay in jobs longer, take less sick leave, make fewer workers’ compensation claims and are proven to be better managers. The need to navigate daily living in a world not built for them makes them better problem solvers.
It’s not just about doing the right thing
Incorporating the views and realities of people with disability is not just a moral imperative, it’s a strategic move for sustainable economic growth. Deloitte research says that employing one-third of unemployed people disabilities, GDP would improve. In Australia, the NDIS would run at a profit. In the US, research by Accenture shows that disability inclusive companies see 28% higher revenue, 30% better performance on economic profit margins and twice the net income of non-disability inclusive companies.
International agreements and anti-discrimination law recognise the barriers people with disability face. So, if the business and legal case is clear – why is it so hard?
“You can start by employing us.”
During the RIAA’s Australia conference in 2022, Australian disability luminary Graeme Innes said the biggest barrier we face is the attitude barrier. “We are seen through the lens of inspiration or pity, neither of which is the reality. We just want to be agents of our destiny, living our lives, getting jobs and paying taxes rather than receiving welfare. We could do that if people employed us.”
Our governments have gone some way to encourage the participation of people with a disability in the workforce – they can get assistance to get ready for and travel to work, and access adaptive technologies. As the primary carer to a family member with a physical disability, before and after the introduction of Australia’s NDIS, I know too well the difference this kind of support can make to social and economic inclusion.
How can we as investors get over our conscious and unconscious bias towards people who are different? As Innes eloquently told me, “You can start by employing us.” Seeing the benefits of having employees and colleagues with disability contribute to organisational goals and excel in their roles will help others overcome the attitude barrier.
Global best practices and next steps for ANZ investors
A big challenge is measurement. Seldom do organisations disclose disability statistics, making it hard to track true diversity. This is made even more complicated by the fact that many people who live with a disability don’t want to disclose it, given the discrimination that remains rife. 75% of disabilities are non-apparent. But tracking disability in the workforce can be done, as demonstrated by countries like the UK and Canada with laws requiring disability disclosure.
Internationally, each year, the Disability Equality Index helps capture best practices through its ‘Best Places to Work for Disability Inclusion’ list: DEI Best Practices Collection – Disability:IN (disabilityin.org). This benchmarking tool helps companies build tangible actions towards disability inclusion and equality.
Presenting to RIAA’s Human Rights Working Group in 2022, Jill Houghton, CEO of US-based rights group, Disability:IN explained the importance of building disability inclusion into market strategies, which also helps to obtain further market share and broaden an organisation’s reach. People with disability bring a unique perspective to decision-making, especially for firms whose market incorporates this 20% of the population. Many companies are coming to see disability as an asset, not a liability, and branding themselves as pioneers and drivers of inclusion.
Corporate leaders are becoming aware of how diversity impacts culture, management and financial performance, and are making commitments to ensure people with disabilities are represented at all levels of a company. 176 CEOs of major global companies like American Airlines, Microsoft, S&P Global and Wells Fargo have signed the Disability:IN “CEO Letter on Disability Inclusion” committing to advance disability inclusion and equality, and share information on disability inclusion that details impacts on business performance.
And the global “Investors are IN” statement encouraging portfolio companies to capitalise on the opportunities of disability inclusion now represents more than US$2.8 trillion in combined assets. Australia’s Ethical Partners Fund Management has signed the statement. Which other Australasian investors will lead the way in this next Diversity, Equity & Inclusion frontier?
Written by Estelle Parker, Co-CEO at RIAA
With a distinguished 20-year career at the Department of Foreign Affairs and Trade, Estelle brings crucial expertise in government relations, policy-making, and themes important to responsible investors, including human rights and the SDGs. As a leader driving RIAA’s research, certification, policy, standards, and working group programs, her leadership has elevated these initiatives to achieve heightened levels of professionalism, impact, and value delivery for our members, aligning seamlessly with RIAA’s strategic objectives.