When Vanguard recently launched a program to hire tech workers inclusively, they saw impressive retention rates. “We’ve had a really good, almost 80% retention of those non-traditional hires into crew members,” said Janine Galen, program manager of strategic workforce planning at Vanguard.¹
That’s a large number, but it’s even more significant today since many tech companies struggle with retention. According to the Bureau of Labor Statistics, the information sector has just recently seen a jump in monthly quits, rising from 30,000 in February to 33,000 in March 2025.²
While many tech employers focus on strategies like adjusting compensation or workload, they often overlook one major retention strategy: improving diversity.
Diversity is crucial to retention because it’s all about improving job experiences that make people stay in a company. If you’re facing tech talent attrition issues and haven’t considered diversity, now’s the time to think about it.
This article discusses why inclusive employment is essential for improving retention in the tech sector today. We also cover actionable steps you can take to help your company boost retention, like Vanguard’s 80% retention rate.
Why Better Inclusion Means Better Attrition in Tech
Here are reasons why improving diversity is necessary for addressing tech attrition problems today.
1. Diverse Talent Is Already in Tech, But They Won’t Stay Without Support
According to the U.S. Equal Employment Opportunity Commission, diversity in the tech industry has improved since 2014. By 2022, people of color comprised over 40% of the high-tech workforce.³ This also includes improvements in ethnic diversity and gender diversity hiring.
That’s progress—but tech employees are still leaving because hiring isn’t the same as including. For example, Accenture’s gender gap study revealed that women are leaving technology positions at a rate that is 45% higher than that of men. Only 21% of women expressed that they believed the technology industry was a place where they could flourish. For women of color, this figure is only 8%.⁴
If companies don’t support their diverse hires, those employees won’t stay.
2. Inclusive Cultures Make People of All Backgrounds Feel Valued
When people see diversity across all company levels, from entry-level roles to leadership, they recognize that the organization values social responsibility. If a company supports underrepresented groups, then it values all employees.
This builds a healthier company culture where people feel safe and respected, increasing both job satisfaction and retention.
3. Representative Leadership Assures Everyone That Career Growth Is Possible for All
When employees see leaders of all backgrounds, it sends a powerful message that anyone can succeed in the company. It shows that leadership opportunities are open to everyone as long as they stay in the company.
Diverse leadership also helps break down barriers. When employees see someone they can relate to in higher positions, they are encouraged to stay and push for their own growth.
4. Inclusive Companies Typically Offer Better Work-Life Support
In a post-pandemic world, a good work-life balance is essential for job satisfaction, especially in the tech sector, where many roles can be done online or remotely.
Diversity in tech companies brings unique perspectives and needs, such as flexible schedules or accommodations for individuals with disabilities. When a company is inclusive, employees know that their employer will respect and support their work-life balance.
5. The More Varied the Team, the Greater the Innovation and Engagement
Inclusive workplaces are usually very open to a wide range of perspectives, which leads to stronger innovation, which is important in the tech sector.
When employees feel comfortable sharing their ideas, the company benefits from fresh solutions and new approaches. This collaborative environment within diverse teams keeps employees engaged, making them more likely to stay with the company for the long term.
How to Build an Inclusive Tech Workforce That Retains Talent
There are many ways to make a workplace more inclusive. But if your goal is to keep employees long-term, especially those from underrepresented groups, you need to focus on what truly helps them stay.
This includes factors like inclusive hiring practices, clear opportunities for career growth, and leaders who know how to build a culture where everyone feels they belong.
Read More: Embracing Diversity in Tech: Best Practices for Building Inclusive and Innovative Teams
Plan Out Your Onboarding with Inclusion in Mind
Researchers from Baylor University found that in the IT world, “Organizations that create an emotional connection with their employees early in the process are more likely to have higher levels of overall engagement and retention.”⁵
You may be inclusive in your hiring, but can new hires immediately see that your company truly values people from all backgrounds? Onboarding shouldn’t just focus on job tasks. It should make new employees feel like they belong and are an essential part of the team.
Here are some ways to make sure your onboarding is inclusive:
- Introduce new hires to Employee Resource Groups (ERGs). These groups offer a sense of community and support, helping employees feel seen and connected.
- Assign a buddy. Pair new hires with a colleague who can help them navigate the workplace, answer questions, and provide guidance.
- Highlight company values. Make it clear from the start that your company is committed to diversity and inclusion, not just as a policy but as part of the culture. This combats unconscious bias because it’s not just employees advocating for themselves, but also influential leaders who support them.
When people feel welcomed and supported from the start, they are more likely to stay and thrive. They won’t feel like they have to prove themselves just to be treated fairly.
Support Professional Growth Through Mentorship and Sponsorship
When the Executive Leadership Council surveyed hundreds of C-suite executives, 43% of them said the diversity of their executives influences their job satisfaction, while 37% said the same about their board members.⁶ This shows that people want to see diversity in leadership positions.
This can be tricky, though. You don’t want to just place people in leadership roles for the sake of diversity. Instead, you should focus on creating opportunities for career growth for all employees, which is one of the biggest factors influencing retention.
You can do this through two strategies:
- Mentorship involves pairing employees with experienced employees or leaders in tech-related roles. Mentors can offer advice, guidance, and concrete steps for career development.
- Sponsorship is even more powerful. It involves leaders actively advocating for their protégés, especially when promotions or high-visibility projects are being considered.
Design Your Leadership Diversity Training Based on Employee Experiences
Managers and team leaders greatly influence an employee’s daily experience. While diversity training can be offered to all employees, it’s the leaders who truly shape the workplace culture.
This is especially important because poor management and unaddressed biases are major reasons why employees—particularly from marginalized groups—decide to leave.
Standard diversity training involves bias training, racial diversity, or addressing microaggressions. But if your program is too generic, it may feel shallow and ineffective. For example, if the training doesn’t address how women in tech face more skepticism or pay gaps, it won’t lead to meaningful change.
To make your diversity leadership training truly effective, start by gathering anonymous employee feedback. This helps you understand the specific issues they are facing.
Once you have this feedback, think carefully about what changes need to be made to ensure the training directly addresses these issues and improves everyone’s overall work environment.
Ready to boost inclusion in your tech company? Partner with C4 Technical Services!
At C4 Technical Services, we specialize in helping companies build diverse tech teams that reduce attrition. Our IT staffing and consulting services are designed to support your goals and create an environment where everyone can thrive.
We don’t just provide candidates—we take the time to understand your needs, customize our approach, and seamlessly integrate our talent and services into your company.
Contact us today to start fixing your attrition through workplace diversity!
References:
1. Torres, Roberto. “How Comcast, Vanguard Retain Diverse Tech Talent.” CIO Dive, 18 May 2023, www.ciodive.com/news/how-comcast-vanguard-retain-diverse-tech-talent/650679/.
2. U.S. Bureau of Labor Statistics. Job Openings and Labor Turnover Summary, 10 Sept. 2024, www.bls.gov/news.release/pdf/jolts.pdf.
3. Diversity in the High Tech Workforce and Sector 2014-2022, U.S. Equal Employment Opportunity Commission, Sept. 2024, www.eeoc.gov/sites/default/files/2024-09/20240910_Diversity%20in%20the%20High%20Tech%20Workforce%20and%20Sector%202014-2022.pdf.
4. Maynard, Pamela. “Are We Really Closing the Gender Gap in Tech?” Forbes, 3 Mar. 2021, www.forbes.com/councils/forbesbusinesscouncil/2021/03/03/are-we-really-closing-the-gender-gap-in-tech/.
5. Walker-Schmidt, Wendi, et al. “Onboarding Effects on Engagement and Retention in the IT Sector.” Impacting Education, vol. 7, no. 4, 2022, pp. 1-15. ERIC, files.eric.ed.gov/fulltext/EJ1369047.pdf.
6. Executive Leadership Council. Special Report: Insights and Advice on Diversity, Equity, and Inclusion from Top Black Executives in Corporate America, 2024, www.elcinfo.com/wp-content/uploads/2024/06/ELC_DEI-Survey_LeaveBehind_05-31_Digital.pdf.
