BT is preparing to remove diversity, equity and inclusion (DEI) metrics from the bonus calculations of thousands of its middle managers, just weeks after its chief executive denounced businesses that roll back their inclusivity commitments.
Currently, as much as 10 per cent of annual bonuses for around 37,000 BT managers is tied to targets for gender, ethnicity and disability representation, along with engagement among under-represented employee groups. From next year, that measure will be replaced by a broader survey of overall staff engagement, leaving only the company’s 550 most senior leaders subject to specific DEI-related bonus metrics.
BT insists that it remains focused on its existing manifesto targets, which aim by this year to have 41 per cent of senior managers who are female, 15 per cent from ethnic minorities and 10 per cent with a disability. So far, the company says, 35 per cent of its senior managers are women, 9 per cent are from ethnic minority backgrounds and 14 per cent have a disability.
The proposed changes come as Allison Kirkby, BT’s first female chief executive, looks to revitalise the former state-backed telecoms giant. Although BT says it is “making good progress” on DEI, the move has prompted concern that British businesses could be weakening their drive towards inclusive workplaces.
In a memo to staff, Kirkby had voiced her resolve to protect BT’s DEI efforts, saying it was disheartening to see other companies “stepping back”. BT reiterated her stance, stating DEI will remain part of senior executives’ bonus schemes.
Meanwhile, across the Atlantic, Google told employees it will abandon a goal to increase hiring from historically under-represented groups and is reviewing other DEI policies. The search engine giant first announced such targets in 2020 amid widespread corporate pledges to address racial inequality following the murder of George Floyd. However, recent legal and political challenges in the United States have encouraged several major American companies to scale back DEI initiatives.
Meta Platforms, Walmart and McDonald’s are among those who have pared down their inclusivity programmes. Others, such as JPMorgan Chase and Goldman Sachs, say they plan to maintain diversity commitments and promote representation within their workforces and customer bases.
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BT scraps diversity targets from managers’ bonuses