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Hull and Associates, Dr. Mimi Hull – How Discrimination and Inequity Affect Business

How Discrimination and Inequity Affect Business

Workplace discrimination costs organizations millions of dollars in legal settlement fees each year. However, discrimination can have a much larger
impact beyond money. Discriminatory practices negatively impact employee
productivity. It also affects an organization’s ability to retain and
recruit the best employees, as well as it leads to negative customer

Job satisfaction and motivation affect all employees. Promotions and
rewards should be based on performance. If an employee sees that
these promotions are being given based on discriminatory factors, their
desire to work hard for the organization decreases. With this reduced desire,
comes reduced productivity.

Employees who experience inequity leave these organizations, increasing
turnover rates. Recruiting and retraining replacements is costly. An organization that is fair and caring attracts and retains the best employees.
People talk and write! Potential clients and customers will learn about
what is happening. Job seekers will also research the company, making it more
difficult to recruit quality candidates. A company’s reputation will be tarnished when fairness and equity are not practiced.

AND REMEMBER…Discrimination is not only wrong, it is illegal. Federal and
state regulations are in place to prevent discrimination