Black employees less likely to receive promotions

New research reveals racial disparity and education-related barriers in the workplace

BY Dexter Tilo 13 Oct 2022

Black employees are less likely to receive raises and get promoted, according to a new report, which revealed racial disparity and educational barriers in the workforce. In a report carried out by DEI consulting firm Grads of Life, only 36% of Black respondents received a promotion in 2021, while only 23% reported a raise in salary. These figures are below the 40% average for promotions, and 26% average in wage hikes.

This is a completely different case for white workers. According to the report, despite being a relative minority among its respondents, the likelihood of white workers receiving a promotion and salary increase was much higher. In fact, 47% of white respondents said they got a promotion in 2021, while 44% reported a raise.

Elyse Rosenblum, founder of Grads of Life, said the findings indicate "wide gaps in ensuring true equity through employment."

"This reflects the unfortunate reality that bias still gets in the way," read the report. "The data is a clear example as to why: even when companies have shifted hiring practices to hire historically excluded talent, bias continues to creep in and create these disparities."

According to the report, inequitable wages and career outcomes are one of the "most insidious ways" that bias can impact an organization. To address this, the report suggested prioritizing:

Building a strong pay equity philosophy and annual pay equity analysis
Equitable performance evaluation and promotion practices
DEI training and education for all employees, especially people managers and hiring managers

Educational bias

In addition to racial disparity, the report also discovered how an education degree is a barrier to career advancement, despite employers already announcing moves to scrap educational attainment requirements for job candidates.

According to the report, workers with an associate's or bachelor's degree are still nine per cent more likely to receive a raise or a promotion to a higher-paying job. To ensure equal opportunities for all employees, including those without degrees, the report suggested:

Skills-based job descriptions for management positions and higher
Clearly defined and communicated skills-based career pathways

"If more roles above a certain level require a degree, despite having a non-degreed internal talent pipeline, employers will miss out," read the report.

Rosenblum added that it is important to recognise the role of diversity, equity, and inclusion in the workplace.

"At a time when the job market is particularly competitive and the cost of living is incredibly high, it is imperative that employers understand the crucial role that diversity, equity, and inclusion play in building a more innovative and sustainable workforce," said the Grads of Life founder in a statement.