New research
commissioned by the Government Equality Office show that women are
deterred from applying to sit on boards because corporate boards
are dominated by "old boys' networks".
The research found that women continue to be under-represented at
board level despite having the right education and experience they
need to succeed.
It also found that board room cultures were often inhospitable to
under-represented groups and that the small number of female board
directors was not down to a lack of aspiration or competence on
the part of women, but a failure by companies to identify their
talent.
However the report singled out the positive action provision in
the Government's Equality Bill as being particularly
helpful for women in the future, allowing businesses to employ a
person from an under represented group when all the candidates are
equally qualified.
Minister for Women and Equality, Harriet Harman, said:
"When I first drew up the Female FTSE Report in 1999 it
was clear there was a lack of women in boardrooms. This new
research shows that we are moving in the right direction and there
is still much more that needs to be done.
"Businesses that run on the basis of an old boy network
and do not draw on the talents of all the population will not be
the ones that flourish and prosper in the 21st century."
Dr. Ruth Sealy, one of the authors said:
"The report highlighted the appointment process to
boards as remaining open to subjective bias due to a lack of
transparency of openings and unclear selection criteria,
particularly in the private sector. Initiatives to improve
boardroom diversity also need to tackle subtle factors such as
stereotyping and culture."
The research also highlighted a number of existing initiatives
that were having a positive impact in the UK. Examples included
the FTSE100 Cross-Company Mentoring Scheme and programmes run by
the United Kingdom Resource Centre (UKRC), an organisation for
women in Science, Engineering and Technology.
The new research was released to coincide with the publication of
Canfield's annual Female FTSE 100 Report, which
highlighted a drop in the number of women holding key positions in
FTSE 100 companies.
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NOTES FOR EDITORS
* The research, carried out by Cranfield University School of
Management, was split into two reports, the first looked into why
there are so few women and under-represented groups, such as
people from BME backgrounds or disabled people, on public and
private sector boards, and the second looked at what is being done
to improve diversity on boards, focusing on the UK, Norway, Spain
and the Netherlands.
* The Equality Bill will allow employers to choose to take
positive action to appoint a person from an under-represented
group, provided candidates are as qualified to do the job as each
other, and so balance things out if they want to. Qualified refers
to competence, suitability or professional experience.
* The Government Equalities Office is responsible for the
Government's overall strategy, legislation and priorities
on equality issues. It was established in July 2007. The Office
also has direct responsibility for policy on gender equality,
sexual orientation, and for integrating work on race.
* Cranfield School of Management is one of Europe's
leading university management schools renowned for its strong
links with industry and business. It is committed to providing
practical management solutions through a range of activities
including postgraduate degree programmes, management development,
research and consultancy. www.som.cranfield.ac.uk
* For more information or to arrange an interview, please
contact: Emily Reed, Press Office, Cranfield School of Management
on: T: +44 (0) 1234 754348 or E: emily.reed@cranfield.ac.uk
Contacts:
Government Equalities Office press office
Phone: 0207 276 0932
enquiries@coi.gsi.gov.uk