We can move further and faster to bring diversity to the board room

Conservative Party Vice Chairman calls for government action to expose disadvantage and discrimination in the hiring of non-white candidates.

In a move designed to put the focus on gender diversity in the workforce, the government recently published regulations which include the requirement for listed companies to disclose the number of women and men within their organisation as a whole and at senior and board levels. The government has now also called on all executive headhunting firms to publish the numbers of men versus women they place in senior positions.

But the government should look into going further. Whilst gender balance is one measure of workforce diversity, ethnicity is another. Championing workforce diversity should be about improving both.
 
The regulations should be extended so listed companies also have to set out the number of employees from both white and black and ethnic minority (BME) backgrounds within their workforce as a whole, as well as at senior and board level.

Just as there is under-representation of women at senior levels there is also under-representation of those from non-European ethnic backgrounds. The latest figures from the Office for National Statistics estimate that around 12 per cent of the population in England and Wales has a non-white ethnic minority background.

By contrast, the overall proportion of ethnic minority male and female directors on the board of FTSE 100 companies is only 4.4 per cent and 1.3 per cent respectively, according to analysis published this year by Cranfield University. And only seven of the 48 male directors from minority backgrounds, are known to be British.
 
It is a real concern that there may not always be a level playing field when it comes to applying for a job. The All Party Parliamentary Group on Race and Community has just published a report on ethnic minority female unemployment which concludes that discrimination can be found at every stage of the recruitment process - when assessing applications, during interviews, at recruitment agencies and also in the work place itself. Just having a non-European name may stop a candidate from getting an interview.
 
To throw light on this the government could consider introducing a further disclosure regulation with listed companies required to breakdown, by gender and ethnicity, the total number of job applicants, interviewees and new employees over the past year. This would certainly help to highlight companies and sectors where either, ethnic minority candidates and women are just not applying in any number, or where they are not getting interviews.

Some may explain a low level of interviews to minority background applicants by the fact that not enough qualified candidates are applying.
If this really is the stumbling block, it should reinforce the need for companies to undertake more outreach work and mentoring to achieve, over time, a workforce representative of today's society.

Appointing people to jobs on merit and experience is absolutely right. But the proposed new regulations are about taking companies one step further towards focusing on what they need to do to increase diversity in the workforce.

Companies with diverse boards are more effective and outperform their rivals. If a company's workforce and senior management are representative of its customers, it is more likely to make decisions which respond to their needs and hence ultimately benefit the business. And that virtuous circle is one which every company should be looking to square.

Alok Sharma is MP for Reading West and Conservative Vice Chair with special responsibility for BME communities

The way things were and often still are. All white men. Source: Getty

Alok Sharma is the MP for Reading West and Vice Chairman of the Conservative Party with special responsibility for BME communities.

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Commons confidential: Vive May's revolution

It's a risky time to be an old Etonian in the Tory party. . . 

The blond insulter-in-chief, Boris Johnson, survives as Theresa May’s pet Old Etonian but the purge of the Notting Hell set has left Tory sons of privilege suddenly hiding their poshness. The trustafundian Zac Goldsmith was expelled from Eton at the age of 16 after marijuana was found in his room, unlike David Cameron, who survived a cannabis bust at the school. The disgrace left Richmond MP Goldsmith shunned by his alma mater. My snout whispered that he is telling colleagues that Eton is now asking if he would like to be listed as a distinguished old boy. With the Tory party under new, middle-class management, he informed MPs that it was wise to decline.

Smart operator, David Davis. The broken-nosed Action Man is a keen student of geopolitics. While the unlikely Foreign Secretary Johnson is on his world apology tour, the Brexit Secretary has based himself in 9 Downing Street, where the whips used to congregate until Tony Blair annexed the space. The proximity to power gives Davis the ear of May, and the SAS reservist stresses menacingly to visitors that he won’t accept Johnson’s Foreign Office tanks on his Brexit lawn. King Charles Street never felt so far from Downing Street.

No prisoners are taken by either side in Labour’s civil war. The Tories are equally vicious, if sneakier, preferring to attack each other in private rather than in public. No reshuffle appointment caused greater upset than that of the Humberside grumbler Andrew Percy as Northern Powerhouse minister. He was a teacher, and the seething overlooked disdainfully refer to his role as the Northern Schoolhouse job.

Philip Hammond has the air of an undertaker and an unenviable reputation as the dullest of Tory speakers. During a life-sapping address for a fundraiser at Rutland Golf Club, the rebellious Leicestershire lip Andrew Bridgen was overheard saying in sotto voce: “His speech is drier than the bloody chicken.” The mad axeman Hammond’s economics are also frighteningly dry.

The Corbynista revolution has reached communist China, where an informant reports that the Hong Kong branch of the Labour Party is now in the hands of Britain’s red leader. Of all the groups backing Jezza, Bankers 4 Corbyn is surely the most incongruous.

Labour’s newest MP, Rosena Allin-Khan of Tooting, arrived in a Westminster at its back-stabbing height. Leaving a particularly poisonous gathering of the parliamentary party, the concerned deputy leader, Tom Watson, inquired paternalistically if she was OK. “I’m loving it,” the doctor shot back with a smile. Years of rowdy Friday nights in A&E are obviously good training for politics.

Kevin Maguire is the associate editor (politics) of the Daily Mirror

Kevin Maguire is Associate Editor (Politics) on the Daily Mirror and author of our Commons Confidential column on the high politics and low life in Westminster. An award-winning journalist, he is in frequent demand on television and radio and co-authored a book on great parliamentary scandals. He was formerly Chief Reporter on the Guardian and Labour Correspondent on the Daily Telegraph.

This article first appeared in the 28 July 2016 issue of the New Statesman, Summer Double Issue