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Discrimination. African American customers wait up to 35% longer for Uber and Lyft rides, in addition to drivers cancelling rides 2x as often for customers with “black-sounding” names.3
[To be fair, a quick search engine result for “racism in the Taxi industry” reveals that discrimination exists in all ride service industries regardless of the company. CP]
New studies have found that the cost of this type of discrimination can run companies up to USD$200,000 in lawsuits – in addition to tarnished reputations, companies experience, lowered morale and abandoned trust.1
Michael Welp, co-founder of White Men As Full Diversity Partners (WMFDP) a leading diversity process consulting firm to Fortune 500 companies, says the new economy is forcing companies to come to grips with old biases if they want to protect their bottom line.
“Systemic bias in the workplace will inevitably reach deep into the pockets of the employer, while its ripple effect undermines the principles of good business. There is simply too much at stake to ignore the warning signals.”- Welp
47% of the millennial generation said they consider diversity and inclusion to be an important criterion when considering potential employers. Additionally, more than 2 million workers quit their jobs each year due to discrimination – costing the US economy more than USD$64B annually.
Per Welp, diversity and inclusion not only breed innovation, creativity but also a greater market share.
Welp explains that full diversity has the potential of propelling this new economy further by:
- Creating more jobs,
- Reducing lost production time due to having to train new hires,
- Less discrimination lawsuits, and
- Increased innovation that will be produced by diverse teams working together.
In his new book, Four Days to Change, Welp provides the solution to systemic inequality through a comprehensive approach including diversity consulting, experiential learning, and leadership development. He also adds that all efforts should lead to tangible action and measurable results.
WMFDP’s mission is to inspire leaders (especially, white men) to examine their mindsets and assumptions, in order to shift behaviors that create sustainable and inclusive work cultures, which in turn drives business results. Their client list includes: Rockwell Automation, Lockheed Martin, Coca-Cola, Starbucks, BP, Shell, Intel, AT&T, Dell, Microsoft, HP, NASA, Catalyst (women’s advocacy leader), and MARC (Men Advocating Real Change).
- 1. Schappel, Christian, “What will the next discrimination charge cost you?” HRMorning, November 6 2015
- 2. Schrader, Brendon, “Here’s Why The Freelancer Economy Is On The Rise,” Fast Company, August 10, 2015
- Ehrenkranz, Melanie, “Uber and Lyft drivers exhibit racial bias against passengers, study finds,” Mic Network Inc, October 31, 2016