Research has consistently shown that workplace diversity helps businesses succeed. It boosts innovation, improves financial performance, and offers many other benefits. However, gaps in representation across gender, race, and other identities remain a significant issue in the tech workforce.
At the current rate, it could take years for the industry to become fully inclusive. The next step for the tech industry is clear: businesses must prioritize Diversity, Equity, and Inclusion (DE&I) to drive real change.
The Diversity Problem in Tech
According to recent statistics compiled by Women Tech Network, only 35% of the U.S. tech workforce comprises women.¹ These figures indicate that the tech sector still struggles to create an inclusive space for everyone.
Women make up nearly half of the tech workforce at the entry-level, but they’re noticeably absent from leadership positions. Women Tech Network’s statistics also show that only 8-9% of women hold positions such as CIO, CTO, IT manager, or technical team leader.
In addition, for every 100 men, only 87 women and 82 women of color are promoted to manager. The numbers are just as troubling when we look at racial diversity in leadership, with senior roles dominated by white men.
Gender diversity isn’t just about diversity in the tech sector for its sake. Studies show that when decision-makers come from the same background, companies risk falling into groupthink—where everyone agrees, and creativity gets stifled.²
Why is Diversity and Inclusion Important in the Tech Industry?
Diverse teams are better at innovation. A Boston Consulting Group (BCG) study showed that companies with diverse management teams saw 19% higher revenue from innovation than their less diverse counterparts.³ When people from different backgrounds work together, they bring various experiences and approaches to develop creative solutions.
Additionally, McKinsey reports that companies in the top quartile for racial and ethnic diversity were 36% more likely to outperform their industry peers financially.⁴
Diversity in tech also boosts employee engagement and retention. When people feel included, they’re more likely to stay with a company. A study found that employees who feel a sense of belonging are 50% less likely to leave their jobs.⁵ In an industry where talent retention is critical, creating an inclusive culture is very important.
Beyond fairness in the workplace, diversity matters because it shapes the products and solutions tech organizations create. Tech touches nearly every aspect of modern life, from healthcare to banking to education. If the teams developing these products don’t reflect the diversity of their users, they risk forming biases and leaving entire groups out.
Why is There a Lack of Diversity in Tech?
Despite the benefits, the tech industry continues to face significant diversity gaps. So, what’s causing the hold-up?
Unconscious Bias in the Hiring Process
Unconscious bias plays a significant role in how people are hired in tech. Many hiring managers look for candidates who “fit” their company culture, often favoring people who look, think, or behave like the existing team. This results in a lack of diversity as teams come from a narrow pool of similar candidates.
For instance, job postings may use gendered language, like describing roles as “rockstar” or “ninja,” which can turn off women or non-binary individuals. Many companies rely heavily on employee referrals, but people are more likely to refer to someone from their network—further perpetuating homogeneity.
Workplace Culture and Employee Retention
Even when companies succeed in hiring diverse candidates, retaining them can be a challenge. Workplace cultures that don’t prioritize inclusion often push employees from underrepresented groups out. Microaggressions, lack of support, and exclusionary practices can lead to dissatisfaction and high turnover.
For example, women in tech frequently report feeling isolated, being interrupted in meetings, or not being taken seriously. These experiences add up over time, and many talented employees leave because they don’t feel they belong.
Lack of Role Models and Mentors
It’s tough to picture yourself rising to the top when no one in leadership looks like you. The lack of diverse role models in tech makes it harder for underrepresented groups to see a path to success. Without visible leaders to look up to, it’s easy to feel isolated or discouraged from pursuing higher-level positions.
Best Practices for Promoting Diversity and Building Inclusive Teams
To close the diversity gaps, you must move beyond surface-level efforts. Here are six ways to promote diversity in the workplace:
1. Practice “Blind Hiring”
Have you ever noticed how easy it is to let assumptions creep in when you see someone’s name or where they went to school? Blind hiring helps you avoid that.
This hiring practice gives everyone a fair shot based on merit by removing details like names, genders, and even education from resumes, allowing you to focus purely on the candidate’s skills and qualifications. You can take this even further by using standardized interview questions and involving diverse hiring panels to ensure you’re evaluating candidates as fairly as possible.
2. Build Pathways for Underrepresented Talent
The talent you need might not be coming from the usual places, and that’s why creating new pathways is essential. Instead of relying on graduates from the same elite universities, try partnering with community colleges, Historically Black Colleges and Universities (HBCUs), and organizations like Code2040 or Girls Who Code. These partnerships help you tap into a diverse pool of candidates who might otherwise be overlooked.
3. Equip Leaders Through Bias Training
Let’s face it—hiring a diverse team is just the first step. To ensure everyone thrives, leaders need the tools to foster an inclusive environment. This isn’t about giving one-off diversity training and calling it a day. Authentic, inclusive leadership is about learning how to create a space where everyone feels heard and valued every single day.
You can start by training your managers to recognize and deconstruct their own biases. How do they encourage open dialogue? How do they ensure their team members feel safe to share new ideas or concerns?
When leaders can overcome their biases, their team’s potential will expand dramatically. It’s not about making diversity work—it’s about making your whole team work better.
4. Make Pay Equity Non-Negotiable
It’s impossible to talk about diversity without addressing pay equity. Are you confident that everyone in your company is paid fairly for their work? If you’re not, it’s time to conduct a pay equity audit. This means diving deep into your compensation data to make sure that gender, race, or ethnicity aren’t influencing paychecks.
5. Support Employee Resource Groups (ERGs)
ERGs give employees a sense of community, a place to connect with others with similar backgrounds and experiences. They’re also powerful vehicles for driving change from within.
Have you considered supporting an ERG in your company? Whether for women, people of color, LGBTQ+ employees, or other underrepresented groups, these networks can provide critical support and serve as a feedback loop to leadership.
6. Hold Leadership Accountable
The truth is that diversity goals won’t mean much if leadership isn’t held accountable for not meeting them. When leaders know that the company’s bottom line measures their success and how well they foster an inclusive workplace, they’ll take diversity goals seriously.
This also clearly sends a message to the entire organization: diversity isn’t just an HR initiative—it’s part of the company’s core values.
Build a Diverse Tech Workforce with Experts Who Understand Diversity
At C4 Technical Services, we don’t just discuss diversity—we live it. As an African woman-owned staffing and tech solutions firm, we know firsthand what it takes to build inclusive teams that thrive on diverse talent from different backgrounds, cultures, and perspectives.
If you’re looking to diversify your tech workforce, we can help you find the best talent that reflects the world we live in today. Our team is committed to helping your business succeed by connecting you with the most innovative, diverse candidates ready to drive change.
Contact us today, and let us be your partner in building a diverse future workforce.
References
- “Women in Tech Stats 2024.” Women in Tech Network, 26 June 2024, www.womentech.net/women-in-tech-stats.
- Piercy, Cameron W. “Working in Diverse Teams.” Pressbooks, 1 Aug. 2021, opentext.ku.edu/teams/chapter/hofstedes-cultural-dimensions/.
- Yousif, Nadjia. “It’s Time to Highlight the Business Opportunity of DEI Initiatives” BCG, 5 March 2024, www.bcg.com/publications/2024/highlighting-the-business-opportunity-of-dei-initiatives.
- “Diversity wins | How inclusion matters” McKinsey & Company, May 2020, www.mckinsey.com/~/media/mckinsey/featured%20insights/diversity%20and%20inclusion/diversity%20wins%20how%20inclusion%20matters/diversity-wins-how-inclusion-matters-vf.pdf.
- Robinson, Adam. “Study Finds Employees Who Feel Included Are 50 Percent Less Likely to Quit” Inc, 30 Sept. 2019, www.inc.com/adam-robinson/study-finds-employees-who-feel-included-are-50-percent-less-likely-to-quit.html.
