Managing Workforce Diversity in Canada: An Empirical Study of the Factors Affecting the Adoption and Success of Diversity Strategies in Canadian Organisations

Abstract

Equality, diversity and inclusion (EDI) in the workplace continues to be a dominant universal issue. Through its Employment Equity Act (EEA), Canada has acted as an exemplar in influencing equality legislation in other countries. The Canadian government’s thirtieth EEA annual report to Parliament presents a very positive picture of equality in employment for the four designated groups, DG: (women, Aboriginal peoples, persons with disabilities, and visible minorities) in the four industry sectors (Banking, Communication, Transportation, Other) federally regulated under the EEA’s legislated employment equity programme (LEEP). However, this claim of success is challenged in this study as specious in showing uniform take-up using aggregated LEEP data. A theoretical model is developed between variables representing external pressures, at the macro national level, internal pressures, at the meso-organisational level, and their hypothesized relationships with reactive and proactive EDI focused programmes pursued by LEEP organisations. This model is empirically validated by applying partial least squares structural equation path modelling to data collected from 440 LEEP organisations. Findings reveal that all four DGs are substantially under represented, relative to their labour market availability (LMA), in the majority of individual LEEP organisations, despite over three decades following EEA implementation. DG-LMA representation was also found to differ by industry sector. The main contribution to knowledge of this study is the introduction of a validated predictive EDI model developed and empirically validated for the four designated groups in the context of Canada. Applications of this generic model to other countries for benchmarking and comparative studies could contribute to EDI theory, practice and policy, internationally.