Remote work helps company diversity

How to Diversify Your Candidate Pool with Remote Work

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The business case for remote work and work flexibility presents many compelling benefits. For example, statistics demonstrate that remote work has a positive environmental impact and also offers other benefits for employers, such as employee loyalty. One of the less-discussed benefits of remote work is its ability to help employers create a diverse workforce.

A diverse workforce can improve a company in many ways. A blend of personalities, backgrounds, and experiences can augment your company’s culture. And this, in turn, can boost not only your staff’s performance but also your overall success.

How Does Remote Work Diversify Hiring?

In general, when an in-person company has an open position, your hiring pool is limited by geography. Only people that live within a reasonable commuting distance (or are willing to extend their commute for your particular job or company) are going to apply for the job.

Because only locals are likely to apply, the reality is that you have a limited candidate pool. And, if your company is in a somewhat homogenous location, you’ll likely have an even narrower group of available candidates. This means that over time, your workforce could become less diverse.

Though a company can overcome this “local limitation” by expanding its hiring and recruitment efforts across the country or around the world, in the end, this may not be enough. Candidates will have to relocate to be closer to your in-person company. And if you’re asking them to move to a less diverse community or join a less diverse company, candidates may not be willing to work for you.

A remote company, though, is not limited by location. When you have an open position, you can choose from a pool of top talent from around the world. And when you do find the right candidate, you don’t have to ask them to relocate just for work. They can live wherever they feel most comfortable and productive.

Beyond the ability to choose from the best of the best, remote work also helps you recruit and hire people with different backgrounds, perspectives, and experiences. This diversity can help you solve your business challenges creatively, thanks to a variety of viewpoints you may not have otherwise had.

Helps Eliminate Unconscious Bias

Many people hold unconscious biases—beliefs or stereotypes that we form about certain groups without realizing we hold said beliefs. Though there are many ways to hire any candidates (and also a variety of ways to hire remote candidates) without bias, remote hiring can help you reduce unconscious biases in your hiring.

For example, when an applicant with grey hair or a cane comes in for an interview, what do you think? Do you look at the resume and are you wowed by it? Or, do you see the grey hair and worry that the candidate will retire in a few years or constantly call in sick? Will the person with the cane be able to do the job? Will you have to make accommodations that could prove expensive?

With a remote workforce, the remote interview process is, well, remote. In most cases, interviews are conducted over the phone or via email. These non-visual interviews help you evaluate the candidate based on their interview responses and their work history, instead of influencing your opinion based on their outward appearance.

A Diverse Workforce Improves Your Company

A diverse workforce has tangible benefits, too. Studies and surveys have shown that hiring and retaining a diverse workforce can improve employee retention and company profits.

A 2018 study by McKinsey found that companies with a more gender-diverse executive team were 21% more profitable than companies with less diverse teams. Companies with more ethnically and culturally diverse executive teams were also 33% more profitable than other companies.

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Beyond the dollars and cents, diversity in hiring makes sense for employers that want to hire and retain top talent. A 2018 survey by Deloitte found that diversity and inclusion are important to Generation Z, and companies that are perceived as diverse and inclusive are more likely to retain this generation of employees.

Of course, it’s one thing to ask employees what they think, but another to prove the results. A 2019 study found that companies with diverse employees (in terms of gender, race, and age) have better performing teams than less diverse companies. A second 2019 study found that companies with diverse hiring practices around sexual orientation and gender identity have more innovative solutions and are better performers.

Good for Customers

When remote companies employ staff from different countries and cultures, those staff are better able to connect with local clients and customers. Local staff can more easily navigate the cultural differences and help bridge the gap between the company and their audience.

Even if your company doesn’t have a physical presence in a specific country, employing staff that understands another culture’s norms can help your company be more relatable and approachable. Over time, this can help your company grow and expand into areas you may never have thought possible.

How Remote Work Benefits Diverse Employees

Hiring from a diverse candidate pool helps employers tap into typically underutilized employee groups that can add a new perspective and talent to your staff.

Racially and Ethnically Diverse Job Seekers

One of the realities of in-person work is that there is a central office or several satellite locations where everyone works. No matter the physical structure of your company, the truth is that in-person, in-office companies are more likely to hire from the local population.

While cities and suburbs across the U.S. are becoming more racially diverse, if the local community your company is in isn’t particularly diverse, you’re likely to have a less diverse candidate pool for hiring and, in turn, a less diverse workforce.

Though this limited candidate pool can be overcome by searching and recruiting from around the country or the world, that alone will not ensure a more diverse workforce.

An in-person company means that no matter who you hire (or from where), new hires will have to relocate to the local community. If the local community isn’t as diverse as your workforce, staff may find it difficult to fit in with the community, even if they fit in at work.

Over time, this general discomfort could lead to employees seeking out jobs in communities where they feel like a better fit. Remote work, on the other hand, allows candidates to live where they feel most comfortable while contributing their unique perspective and solutions to your business challenges.

People With Disabilities

Professionals with disabilities often need and want to work, but can’t always commute to an office. With today’s technology, remote jobs can help professionals who want to work but have to work from home.

This group often finds themselves under or unemployed compared to people without disabilities. A 2019 survey from the Bureau of Labor Statistics (BLS) found that while 19.3% of people with a disability were employed, nearly 32% of them worked part-time. However, 66.3% of people without a disability were employed, but only 17% worked part-time.

Whether it’s difficulty commuting or the need for accommodations that a traditional office can’t provide, remote work connects companies with talented individuals who can make positive contributions.

Military Spouses

Military spouses are often highly mobile because of deployments or changes in orders. There are many myths about military spouses, including that they aren’t educated or don’t have career aspirations. Even if a hiring manager does not believe these myths, there may be the worry that the candidate is a “flight risk” and might have to move at any time.

Remote work opens employers up to this dedicated group of individuals who want to work and contribute to a company. Because a remote job can travel with them wherever they go, hiring military spouses taps into a new talent pool that wants to work but relocates frequently.

Caregivers

As Baby Boomers age and younger generations find themselves “sandwiched” with caregiving duties, remote work becomes an essential way to have a job while caring for family members.

For example, a 2018 survey by AARP found that more than 10 million Millennials provide care for older or ill family members. On average, they spend 21 hours a week helping their family, but they also work outside jobs. Of that same group, 54% report their career has been negatively impacted by trying to balance work and caregiving.

Young children also need care. A 2019 study found that nearly half of all U.S. families have trouble finding child care. And, when families can’t find child care, one parent (usually the mother) is less likely to be employed.

And then there are those who are stuck in the middle. The BLS reports that between 2017 and 2018, 8.2 million people provided both care to aging parents and children under the age of six. A whopping 82% of these people were employed with 69% employed full-time.

Statistically, caregivers are more likely to be females. A study conducted in 2017 and 2018 found that 66% of all family caregivers were female. However, female caregivers are more likely to drop out of the workforce, losing, on average, $324,000 in wages and benefits over the course of a lifetime.

Remote work often includes flexible hours. Caregivers of all types benefit from remote work, as they are better able to balance their work life, caregiving duties, and personal needs.

Those With Chronic Illness

Due to medical restrictions, doctor’s appointments, and other medical needs, workers with chronic illnesses can’t always work in the traditional office setting. Whether it’s the need to stay away from others due to a compromised immune system, regular and frequent doctor’s visits, or just the ability to lie down when worn out, remote work is essential to those with chronic illnesses.

Older Workers

Commuting, traveling, long hours, and other aspects of traditional in-office jobs are some of the reasons people choose retirement over working. However, many people would prefer not to quit work in favor of retirement, and would instead like to work part-time, flexibly, or just “not as much” as a full-time job. And though ageism exists (unfortunately), the age discrimination protections granted to older workers is another reason to work.

Remote work typically eliminates many of the problems with traditional work. There’s no commute, the hours are flexible, and, in some cases, employees can work the hours that fit into their life.

All of these reasons—and more—make remote work the ideal solution for those who are nearing retirement (or already retired) to continue working and contributing to a company’s growth.

Rural Dwellers

City living isn’t for everyone. There are those who prefer country living. However, smaller communities and towns have a limited range of job opportunities and can be difficult to commute to and from.

Though there is employment in rural towns, much of the work is manual or technical, not managerial or professional. Remote work, though, can connect rural dwellers to legitimate professional job opportunities that otherwise may not be available.

Remote Work Can Improve Company Diversity

No matter how or where you recruit and hire from, hiring for any position follows the same process. There are resumes to review, candidates to screen, and, of course, the final decision.

The problem is, when you limit yourself to your local community, you run the risk of every candidate being very similar to the next. While that can make the hiring process easier, are you really getting the best talent?

Remote companies also have to navigate the hiring process. However, by casting a wide and diverse net, you’re likely to end up with the best candidates possible, and from populations you may not have realized have the perfect employee for you. This can, over time, boost your bottom line through improved employee retention and a better performing team.

FlexJobs has been a leader and advocate in remote work for over 12 years. We work with companies of every shape and size to provide support and advice for any business that wants to go remote. And, we’ve been recognized for our company culture and remote work expertise throughout the years. Furthermore, we’ve always been a fully remote company. If you’re looking for expert guidance, get in touch with us today.

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Originally published July 13, 2015.

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