The Pay Gap and Promotion Disparities for LGBTQ+ Employees
Every person wants to have equal rights at work with other employees. An atmosphere where everyone feels valued contributes to employees' professional development and the company's growth. But for LGBTQ+ people, equality at work often remains a dream.
For them, the pay gap is a reality. LGBTQ+ people earn an average of $900 per week, which is 10% less than their colleagues, even with the same level of qualifications and experience. And this has nothing to do with the quality of work performed. Here, everything is based on prejudice and personal hostility towards the LGBTQ+ community. But in addition to lower earnings, such employees are less likely to receive promotions, and sometimes they have to hide their identity not to become a target for discrimination. The reason? Inconsistency with the unwritten norms of the team.
But equality in the workplace is not just a question of justice; it's a question of development. When companies create an inclusive environment, they benefit: productivity increases, corporate culture improves, and they attract the best talent.
The LGBTQ+ Pay Gap: What’s the Real Deal?
Think about how it feels when you work hard and produce great results, but your salary is lower than your colleagues? You begin to feel despair and stress, and your productivity drops, which can lead to dismissal. These are the emotions that LGBTQ+ people face.
Why does this happen? Employers who have prejudices about the LGBTQ+ community underestimate such specialists. Accordingly, LGBTQ+ people are afraid to be themselves and refuse to take part in important discussions, which makes it difficult for them to receive the bonuses they deserve. Limited access to career growth exacerbates the problem. Salaries remain at the same level without advancement, making the gap more noticeable.
But the good news is that change has already started. Transparent pay systems and a boost for equality and inclusion make for fairer workplaces. Companies realizing this are winning because their teams are stronger and their employees happier.
Why Does This Problem Exist?
Inequality for LGBTQ+ employees in the US is rooted in several causes. First and foremost is bias. While there is progress toward being more inclusive, stereotypes about LGBTQ+ people continue to impact workplace relationships. It could be in the form of not being hired or receiving unfair treatment on the job.
Another big problem is the fear of being open about one's orientation. In such states as Texas or Florida, where anti-discrimination laws against LGBTQ+ people are weak, nobody is ready to disclose their identity. Such behavior limits employee's career opportunities and leads to dismissal.
Of course, there is a lack of support and visibility regarding the existence of LGBTQ+ individuals in positions of authority, with just 0,4% of leadership positions in major companies held by openly LGBTQ+ people. Additionally, networking is integral to corporate culture, to which LGBTQ+ employees are likely to opt out. In general, they tend not to attend business networking events; therefore, their chances of advancement are more limited.
Another major impediment is a lack of leadership training on inclusion. Only 30% of firms provide obligatory training to leaders, which means most workers have inadequate support. These barriers make it tough for LGBTQ+ employees in the United States to close both the wage and career gaps.
What is Already Being Done to Change?
Fortunately, the situation with inequality for LGBTQ+ employees in the US is starting to change. Today, the following steps are being taken:
Inclusive Policies in Companies
Since 2020, more than 90% of the largest companies in the US, including Google, IBM, and Salesforce, have implemented internal rules that protect employees from discrimination based on sexual orientation and gender identity. These measures guarantee LGBTQ+ employees that they will not be fired or punished for their belonging to the community.
Brand Support Programs
Ben & Jerry's and Target are active supporters of the LGBTQ+ community. They run ad campaigns, partner with organizations, and design products targeting LGBTQ+ individuals. Every year, Target spends over $1 million on these efforts.
The Role of Unions
The AFL-CIO is the largest union in the United States and advocates for LGBTQ+ workers' rights. Among other things, in 2022, they filed multiple lawsuits to prevent discrimination against LGBTQ+ individuals, as has happened in Texas, where employers tried to limit their rights.
Training and Awareness
Accenture invests heavily in inclusivity and diversity training. Accenture invests millions in training its people; in 2023 alone, over 100,000 people finished these courses. This helps reduce bias and makes the team atmosphere more comfortable.
U.S. Supreme Court
In 2020, the U.S. Supreme Court ruled that sexual orientation or gender identity discriminations violate federal laws in sex discrimination in the case Bostock v. Clayton County. The decision provides a legal shield to LGBTQ+ employees from termination or any other type of harassment in the workplace.
Funding Inclusive Initiatives
Microsoft and Facebook want to make their working environment comfortable for everyone. In 2021, Microsoft invested $3 million in supporting LGBTQ+ employees by providing a safe environment, training, and career assistance.
LGBTQ+ Leaders in Companies
Managers like Tim Cook, who has been open about his sexuality since 2014, and Alison Felix, who actively supports LGBTQ+, have become role models for their colleagues.
How Can Each of Us Help Close This Gap?
The rights of LGBTQ+ people will only strengthen in the future. However, this process might get stuck in some states. And it is in our power to do everything possible so that LGBTQ+ people would feel safe, be protected from discrimination, and have equal rights at work as other employees.
First, you need to implement an inclusivity policy. If there is none, you can propose one. Creating working groups and conducting training on inclusivity will help raise awareness and reduce bias.
Do not forget about supporting LGBTQ+ colleagues. If you see disrespect towards an LGBTQ person, immediately stand up for him. This may be a simple remark that the behavior is unacceptable. However, in this case, it is important to show that you are on the side of truth. Also, talk about the achievements of LGBTQ+ people to everyone. If an LGBTQ+ colleague contributed to the project, note this at a general meeting. This will strengthen their position and give them a chance to get a raise.
Do not participate in discussions that suppress the rights of LGBTQ+ people. Negative comments about people based on their orientation or gender create bias and create a toxic atmosphere. So, if someone at work makes jokes about LGBTQ+ people, intervene and explain why this is inappropriate humor.
Support legislative initiatives aimed at protecting LGBTQ+ employees. For example, the Equality Act, which is being considered in the US, aims to protect the rights of LGBTQ+ people in the workplace. Your letters and appeals to politicians can influence the adoption of such laws. You can also work on creating support networks, as Microsoft did. They created an internal network for LGBTQ+ employees, where everyone can get support. And, of course, constantly develop. Read books and podcasts, and watch documentaries about the LGBTQ+ community.
How to Change the Hiring Process So LGBTQ+ People Feel Equal?
To create equal conditions for LGBTQ+ people when hiring, companies should reconsider their approaches to selecting candidates. Here's what can be changed:
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The HR department should remove information about gender, name, marital status, and photo from the resume. It should only reflect the specialist's experience and qualifications.
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All vacancies should be described in neutral language.
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Vacancies should also be posted on platforms that are focused on LGBTQ+ people.
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Artificial intelligence is necessary. It has already been implemented in many ATS (Applicant tracking systems) and allows you to evaluate resumes anonymously according to the requirements for a specific vacancy.
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All specialists should be asked the same questions at each interview to assess their competencies. This will help eliminate bias.
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Invite LGBTQ+ people to be interviewers for all positions.
Conclusion
The gap in pay and career opportunities persists between LGBTQ+ employees and their heterosexual co-workers. We can close this gap by actively endorsing a culture of inclusion and equality at work. We must understand that identity does not affect professional qualities and work skills. Diversity in the workplace generates innovation, improved teams, and higher productivity. Companies that want to grow and be recognized must understand this.
News and Blog Posts
- USA Today: "Senate to Vote on Gay Rights Bill by Thanksgiving," October 28, 2013
- "Labor Dept: Same-Sex Spouses can Participate in Benefit Plans," September 2013
- Wall Street Journal: "U.S. Extends Family Leave to Same-Sex Spouses," August 2013
- MSNBC: "Senate committee: You Can’t be Fired for Being Gay," July 10, 2013
- "Freedom to Work Doubles Down on Push for LGBT Workplace Protections," June 17, 2013
- "Complaint Accuses Exxon Mobil of Anti-Gay Bias," Associated Press, May 2013
- "Advocacy Group Accuses Exxon of Anti-Gay Hiring Practices," Los Angeles Times, May 2013
- New York Times: "Exxon Defies Calls to Add Gays to Anti-Bias Policy," May 2013
Reports
- "$250 Billion In Federal Contracts Doled Out In States With No LGBT Anti-Discrimination Laws," according to report by Freedom to Work, Movement Advancement Project, and other leading LGBT organizations
- "A Broken Bargain: Discrimination, Fewer Benefits and More Taxes for LGBT Workers," 2013 Report by the Movement Advancement Project, Human Rights Campaign, Center for American Progress, and partners including Freedom to Work
- Center for Work-Life Policy Study: “The Power of Out” (July 2011)