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Diversity in Estonian enterprises and Estonian Diversity Charter

  1. Diversity in Estonian enterprises and Estonian Diversity Charter Kelly Grossthal, Estonian Human Rights Center, Estonia Presentation given within workshop “Segregation at Estonian labour market – challenges and opportunities” International conference „Integration Challenges in a Radicalizing World“ 29 – 30 November 2016, Tallinn, Estonia
  2. DIVERSITY IN ESTONIAN ENTERPRISES & ESTONIAN DIVERSITY CHARTER Kelly Grossthal Estonian Human Rights Centre Estonian Diversity Charter November 29, 2016
  3. Study: Diversity in Estonian companies • Various studies have shown that considering diversity and conscious management (diversity management) of it have positive impact on corporate performance. Google, Facebook, ISS Denmark have studied the field a lot. • The Estonian study was carried out by PRAXIS and financied by Erinevus rikastab project. • The diversity was never before examined among Estonian companies. describes the diversity in the management boards in Estonian companies and evaluates the links between diversity and economic performance.
  4. Diversity in Estonian companies (Praxis, 2015) • The boards of Estonian companies are rather homogeneous; diversity exists only in a limited number of companies. 45% of Estonian enterprises have both man and woman in their boards. There are less than a third of companies where board members differ due to health features and 23% of the companies have board members who differ due to religious beliefs.
  5. How does the management board in Estonia looks like? • The analysis included all Estonian businesses and their management boards which have two or more members in the board. In total, information of approximately 25,000 company’s management was analysed. The members of the boards of Estonian companies were characterized by using various features like gender, age, nationality, religious beliefs and existence of health problems that barrier coping with everyday activities.
  6. How does the management board in Estonia looks like? • 91% of the companies have the board of only Estonians or only of the people of other nationalities, so only 9% of companies have Estonians working with other nationalities on the board. • There is usually a connection between the size and the diversity of the company, where larger businesses have more diversity on their board. The opposite can be seen only in gender diversity – there are fewer women on the boards of larger companies.
  7. Conclusion • In Estonia - the diversity in management board does not immediately cause higher turnovers or profits. • Meaningful diversity management and skills are needed. • It has been found that corporate strategy and culture can influence the impact of the diversity. Flexible working hours, non-discriminatory promoting and remuneration systems are just a few examples of things which are increasing positive and decreasing negative effects of diversity. • Conscious diversity management, training for accepting the diversity and avoiding stereotypes are also important.
  8. One practical solution – Diversity Charter • The Estonian Diversity Charter is a voluntary and written commitment that can be signed by any company or public institution that values a discrimination-free work environment and makes a decision to work toward fostering diversity. The ten articles of the Diversity Charter emphasize diversity, inclusion, and equal treatment as the central values of each charter member. • More than 70 companies and organizations have signed it: Swedbank, Ministryof Culture, Kaubamaja, Manpower, Ericsson Estonia, Network of Estonian Nonprofit Organizations. • The Charter is also a platform for members to learn from experts and from one another, share best practices, and promote the topic of diversity and inclusion in Estonian society. • Similar charters exist across the EU, we are members of EU-level exchange platform
  9. One practical solution – Diversity Charter • A seminar on diversity at workplace takes place at Viru Hotel conference centre on 6 December 2016, where diversity management researcher Lotte Holck from Denmark will give a presentation. • During the second half of the seminar new members of Estonian Diversity Charter are welcomed. • More informationat
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