The modern American workplace is a microcosm of modern American society. The increasing diversity of the American workforce has made the increasing diversity of the American workplace a necessity. We explore the impact of diversity on firm performance. One way we measure a firm’s diversity is by using the Corporate Equality Index published by the Human Rights Campaign. We also use a firm’s inclusion in DiversityInc’s list of Top 50 Companies for Diversity, as well as discrimination lawsuit data from the Bloomberg BNA database. We expect that firms that have a better diversity reputation will outperform firms that do not.
Author(s): Makeen Huda, Jennifer Brodmann, M. Kabir Hassan