Employer Perspectives on Retention and Advancement in the New Economy: Bridging Research and Practice Susanne M. Bruyère, smb23@cornell.edu Judy Young, jy335@cornell.edu Employment Disability Institute ILR School Cornell University 2012 National Employment Conference The New Economy: Rethink, Realign, Reinvent December 5 - 7, 2012 1 Presentation Overview • A few facts on the new economy • Implications for employer/business functioning • Implications for retention and advancement of employees with disabilities • Related research on facilitative practices for retention • Implications for vocational rehabilitation practice and administration/service delivery 2 A Few Facts on the New Economy What do we know about the “new economy?” o o o o o o o o Job growth in different industries Mismatch between jobs and workers Fewer jobs and more part-time work The increased value of higher education Increased use of flex-place and telecommuting Changing workforce demographics Increased cost of health care Technology changes 3 We are Manufacturing Money, Not Goods Source: Just the Facts: Why we can’t go back to the old economy. Retrieved from: http://www.yesmagazine.org/issues/the-new-economy/just-the-facts-why-we-can2019t-go-back-to-the-old-economy 4 Mismatch Between Jobs and Workers • Employers were asked about specific skills in which they find today’s workforce deficient for high school and four-year college graduates: o Writing in English: 72 percent; 26 percent o Foreign language: 62 percent; 41 percent o Mathematics: 54 percent; 12 percent o History/Geography: 46 percent; 17 percent o Government/Economics: 46 percent; 17 percent o Science: 45 percent; 13 percent o Reading comprehension: 38 percent; 5 percent o English language: 21 percent; 4 percent Source: The Conference Board, Blueprint for Jobs in the 21st Century: HR Policy Association 5 Decline in Full-time Work Numbers of full time and part-time workers, 2006-2012, in millions. Source: Bureau of Labor Statistics, U.S. Department of Labor. Underemployment Trends Source: Gallup Poll (2012, March). Young Workers Earnings by Education Note: Full-time, full-year workers, age 25-34. Source: National Center for Education Statistics (2011). The Condition of Education. Figure 49-1 Trends in Telework Source: Worldatwork (2011). Telework 2011: A WorldatWork special report. Washington DC: Author. Labor Force Participation – Older Workers Source: Leonesio, M., Bridges, B., Gesumaria, R., & Del Bene, L. (2012). The Increasing labor force participation of older workers and its effect on income of the aged. Social Security Bulletin, 72 (1), 60-77. Employer Healthcare Burden Source: Axeen, S. & Carpenter, E. (2008). The Employer Health care burden. New American Foundation health Policy Program: Issue Brief. Retrieved from www.newamerica.net/health_policy and The “New Economy” and the Proliferation of New Technologies • These new technologies have meant three things for employer practices (especially those under the domain of HR): o More virtual/distance/remote workers and work teams/relationships o Faster/faster everything. Ever-increasing productivity o More emphasis and expectation of employee data analysis in HR practices 12 Data: More Emphasis and Expectation of Employee Data Analysis in HR practices Workforce analysis is more intense than ever • Employers are analyzing their own workforce data more intensively than ever before. • Researchers are analyzing public-use and employer-specific data more intensively than ever before. Construction of data sets matters: • Are data collected on people with disabilities? • How is disability defined? • Within companies, is the culture conducive to self-declaration? Out of (data) sight Out of analysis Out of mind Practices not fully inclusive of people with disabilities 13 Implications for Employer/Business Functioning? • • • • • • Hiring practices? Productivity expectations? Performance management and metrics? Retention/advancement strategies? Workplace culture? Supply chains and globalization? 14 Cornell Research on Company-Specific Practices – Qualitative “Focus Group” Studies Cornell, EDI and CAHRS, and The Conference Board • Employers are not collecting data or doing analysis (engagement, pay, retention, etc.) of employees with disabilities as robustly as they do regarding gender and race/ethnicity • Need to build confidence and awareness among employers to seek this data • Build good workplace culture for disability disclosure Barrington, 2012. Employer Practices RRTC 15 http://www.ilr.cornell.edu/edi/p-emprrtc.cfm Implications of “New Economy” Workplaces for PWD? • Remote/virtual work – how do we insure people with disabilities are not marginalized when they are not “present” at the worksite? • Productivity – as productivity demands are increasing and “productivity layoffs” are happening all around us, how do we debunk myths about people with disabilities being less productive? • HR Metrics – how do we expand public data sets and encourage employers in their company-specific data to more fully include disability status ? 16 Implications for Retention and Advancement of Employees with Disabilities • How might this impact retention and advancement of employees with disabilities? o o o o o ? ? ? ? ? 17 Workplace Climate • Successful companies make it a priority to create a workplace climate that embraces and encourages diversity • Organizations with climates of trust and inclusion allow for open dialogue, permitting employees to better plan and control their outcomes • Movement toward eliminating disability and also age-based discrimination in the workplace • Internal (DM) and external resources VR and CRPs) can contribute positively to a workplace culture that succeeds in retaining older workers 18 Benefits of Inclusive Climates 1. Across multiple samples, data show members of historically marginalized groups (e.g., women, ethnic minorities, people with disabilities, aging workers) experience less discrimination and overall better work experiences in inclusive units 2. Demographic-based differences in experiences of “fit,” perceived fairness, harassment, and perceived organizational support commonly seen in inclusive units enable better group functioning – Higher cohesion, better information exchange – Less conflict and miscommunication – More creativity, higher financial performance 19 People with Disabilities Employees with disability experience: • Less “fit” between their skills and demands of the job • Less empowerment on the job • Less (perceived) organizational support • Lower levels of procedural and interactional justice during the accommodation process • Work arrangements that are less fair (especially fairness of job responsibilities & access to mentors) • Lower quality relationships with their managers • Coworkers’ and managers’ behaviors to be less inclusive Perhaps therefore: • Lower organizational commitment & job satisfaction • But turnover intentions are not any higher 20 Experiences are Better in Inclusive Units • Individuals with disabilities who work in inclusive climates report significantly – Greater success at having their accommodation requests granted – Greater coworker support of their accommodations – Better experiences of procedural and interactional justice during accommodations – Lower levels of disability harassment/discrimination – Higher organizational commitment and satisfaction – Lower turnover intentions 21 Experiences are Better for Employees with Disabilities who Enjoy High Quality Relationships with Their Managers • Individuals with disabilities who are included in their manager’s “in-group” report: – – – – Higher fit between skills and demands of job Higher empowerment Fairer treatment during the accommodation process Higher organizational commitment, satisfaction, and willingness to engage in citizenship behaviors – Lower turnover intentions 22 Importance of Disclosure for Employers • Increase awareness of where accommodations may improve employee productivity • Indicator of employee comfort level with sharing personal information • Federal Executive Order 13548 -- Increasing Federal Employment of Individuals with Disabilities • Proposed rule to revise Section 503 of the Rehabilitation Act Emerging Employment Issues for People with Disabilities: Disability Disclosure, Leave as a Reasonable Accommodation, Use of Job Applicant Screeners by Sarah von Schrader, Valerie Malzer, William Erickson, & Susanne Bruyère. http://digitalcommons.ilr.cornell.edu/edicollect/1288 23 “Very important” factors, when deciding to disclose a disability to an employer Persons with a disability (N=598) Need for accommodation 68.2 Supportive supervisor relationship 63.5 Disability friendly workplace 56.8 Active disability recruiting 50.5 Knowing of other successes 49.9 Disability in diversity statement 48.9 Belief in new opportunities 40.7 Emerging Employment Issues for People with Disabilities: Disability Disclosure, Leave as a Reasonable Accommodation, Use of Job Applicant Screeners by Sarah von Schrader, Valerie Malzer, William Erickson, & Susanne Bruyère. 24 http://digitalcommons.ilr.cornell.edu/edicollect/1288 Choosing to Disclose: Other Factors • Company offers flexible work opportunities • Disability awareness/anti-stigma training offered to all employees • “HR personnel who are familiar with disabilities, accommodations and understand it is a goal for companies.” • “Knowing the employer has a fair system in place to resolve complaints.” • Disability-related Corporate Social Responsibility Emerging Employment Issues for People with Disabilities: Disability Disclosure, Leave as a Reasonable Accommodation, Use of Job Applicant Screeners by Sarah von Schrader, Valerie Malzer, William Erickson, & Susanne Bruyère. 25 http://digitalcommons.ilr.cornell.edu/edicollect/1288 “Very important” factors when deciding to NOT disclose a disability to an employer Persons with a disability (N=598) Risk of being fired/not hired Employer may focus on disability Risk of losing health care Fear of limited opportunities Supervisor may not be supportive Risk being treated differently Risk being viewed differently No impact on job ability Desire for privacy 73.0 62.0 61.5 61.1 60.1 57.8 53.8 44.0 27.9 Emerging Employment Issues for People with Disabilities: Disability Disclosure, Leave as a Reasonable Accommodation, Use of Job Applicant Screeners by Sarah von Schrader, Valerie Malzer, William Erickson, & Susanne Bruyère. 26 http://digitalcommons.ilr.cornell.edu/edicollect/1288 Implications for Vocational Rehabilitation Practice • • • • • • ? ? ? ? ? ? 27 Implications for VR Administration/Service Delivery? • • • • • ? ? ? ? ? 28 Research on Public-Use Data, Preliminary Findings Zafar Nazarov, EDI, Cornell • Analysis needs to do a better job of analyzing those “dropping out” • “Drop outs” from VR system differ by race/ethnicity: White VR clients with lower potential wages and African-American VR clients with higher potential wages are more likely to withdraw from the VR system. • Wage gap could be decreased by promoting policies that are directed to promote skill formation of African-American consumers. Kevin F. Hallock, Xin Jin and Linda Barrington, ICS, Cornell • Importance of include TOTAL COMPENSATION in analysis • Pay gap for people with disabilities narrows, if we compute broader compensation measure including benefits. • Little to no research existing in this area in part because commonly used public data sets don’t have good benefits data or strong measures of disability status. Employer Practices RRTC 29 http://www.ilr.cornell.edu/edi/p-emprrtc.cfm Related Resources • Employer Assistance and Resource network (AskEARN) – www.askearn.org • Job Accommodation Network - http://askjan.org/ • Disability Management Employers Coalition (www.dmec.org) • HR (human resources) Tips – www.hrtips.org • Disability statistics – www.disabilitystatistics.org • Employment and Disability Institute at Cornell www.ilr.cornell.edu/edi/ 30 Catalogue of Disability and Compensation Variables