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Technology Industry Diversity, Equality and Inclusion: Progress Report

How are the technology industry and Silicon Valley addressing workforce diversity, equality and inclusion? Check this ChannelE2E blog for ongoing updates. We track market research, corporate policies and initiatives designed to address social equality across:

  • recruiting and hiring practices;
  • compensation;
  • career development;
  • staff retention;
  • executive leadership; and
  • much more.

Note: Blog originally published June 18, 2020. Ongoing updates thereafter. If you have an update to share, please email details to ChannelE2E’s Joe Panettieri (Joe@AfterNines.com).



Google CEO Sundar Pichai

Alphabet and Google: Multiple updates…

  • Google announced a new hiring goal and security policy to address racial issues at its offices. Google CEO Sundar Pichai said that by 2025, the company aims to have 30% more of its leaders be from underrepresented groups. About 96% of Google’s U.S. leaders are white or Asian, and 73% globally are men. Source: Reuters, June 18, 2020.
  • Google and parent company Alphabet Inc. are committing more than $175 million to advance Black businesses and entrepreneurs and are moving toward increasing representation of people of color in their leadership ranks. Source: Silicon Valley Business Journal, June 17, 2020.

  • More than 1,100 Google employees circulated a petition internally, calling for Google to end police contracts. The letter tells the company to “take real steps to dismantle racism” by cutting off business contracts with agencies. Source: CNBC, June 22, 2020.
  • Four female former employees of Google are trying to persuade a state court to let them represent more than 10,000 peers in a gender-pay disparity suit against the company, setting the stage for the next big battle over class-action status. Google denies the allegations. Source: Bloomberg, July 21, 2020.
  • Alphabet is proposing to tap the bond market at rock bottom yields, in a rare debt sale that will help combat racial inequality, among other sustainability projects. The parent company of Google is looking to fund organizations that support Black entrepreneurs, small and medium businesses impacted by Covid-19, as well as affordable housing, among other eligible proceeds listed in bond documents. Source: Bloomberg, August 3, 2020.

Apple CEO Tim Cook

Apple: Multiple updates…

  • Apple’s head of diversity and inclusion Christie Smith has left the company. Her successor has not been named as of this report. Apple’s diversity and inclusion team will continue to report to Deirdre O’Brien, senior VP of retail and people. Source: Bloomberg, June 17, 2020.
  • More than half of new Apple hires in 2018 were Black, Hispanic or from other historically underrepresented groups in tech. Women accounted for 38 percent of Apple workforce under the age of 30, compared to 33 percent of the overall staff. Source: Bloomberg, June 17, 2020.
  • CEO Tim Cook said the company was starting a $100 million Racial Equity and Justice Initiative focusing on criminal justice reform and expanding opportunities for people of color. Source: Silicon Valley Business Journal, June 18, 2020.
  • Apple is deepening its existing partnerships with Historically Black Colleges and Universities (HBCUs), adding 10 more HBCU regional coding centers that will serve as technology hubs for their campuses and broader communities. Source: Apple, July 16, 2020.

Aryaka: CEO Matt Carter offered his thoughts on inclusion, diversity and equality in the interview below. Source: ChannelE2E, June 29, 2020.

This blog describes the context that set the stage for ChannelE2E’s interview with Carter.


Artificial Intelligence and Facial Recognition: See ongoing updates involving business policies, social issues and potential racial bias here. Source: ChannelE2E, January 2020 and ongoing thereafter.



Canadian Businesses: Canadian technology leaders have formed an organization to eliminate racism and discrimination from the country’s innovation sector, BNN Bloomberg reports. Twenty-five people with ties to tech incubators, governments, start-ups, banks, academic institutions, investment businesses and insurance companies say they have launched the Coalition of Innovation Leaders Against Racism (CILAR). Source: BNN Bloomberg, June 29, 2020.


Chuck Robbins, CEO, Cisco Systems

Cisco Systems: Multiple updates…

  • Cisco CEO Chuck Robbins, addressing 3,000 partners at a major conference, called on employees, customers and partners to tackle social and community issues together. Source: ChannelE2E, November 5, 2019.
  • Cisco Systems has a new purpose — “Power an Inclusive Future for All” — and four related initiatives designed to deliver on that purpose, CEO Chuck Robbins says. Source: ChannelE2E, June 17, 2020.
  • During a series of Cisco online all-hands meetings in early June, some workers posted comments in messages channels that other staff and company management said were demeaning to Black people, exposing racial divisions at the Silicon Valley tech giant and leading to the dismissal of a number of people. On the flip side, some employees have complained that they can’t share differing views. ChannelE2E has not seen the comments that triggered firings. Source: Bloomberg, July 17, 2020.

Compensation, Hiring and Wages: Multiple updates…

  • Hired Inc. Research: Job seekers who identified as Black or Hispanic tended to both expect and receive lower salary offers than their White and Asian peers over the past year, according to Hired Inc. Job seekers who identified as Black expected a $129,000 salary on average, with eventual offers averaging $134,000. White job applicants sought and received $138,000 and $144,000, respectively, while the figures for Asian candidates were $140,000 and $145,000. Source: The Wall Street Journal, June 17, 2020.
  • Government Cybersecurity and AI Jobs: Changes in federal hiring practices are urgently needed to fill thousands of jobs in cybersecurity and artificial intelligence in the face of aggressive competition from the private sector, lawmakers and federal commissioners said. Source: The Wall Street Journal, June 18, 2020.
  • Women CEOs: The rate of women taking over the top position at companies nationwide is ticking up in 2020, as calls for diversity and inclusion intensify around the country, according to a new analysis of CEO turnover data from global outplacement and business and executive coaching firm Challenger, Gray & Christmas Inc. Of the 591 replacement CEOs recorded in the first half of 2020, 138, or 23.4%, were women, the highest rate recorded since Challenger began tracking gender data in 2010. That is up from 21.6% of female CEO replacements in the first half of 2019 and 18.6% in the first half of 2018.  Source: Challenger, Gray & Christmas Inc., July 17, 2020.

Consulting Industry:

  • United Kingdom: Only 11 out of 3,000 UK partners at Big Four audit and advisory firms are black. Source: ConsultancyUK, July 6, 2020.


Facebook: Multiple updates…

  • Several U.S. civil rights groups called upon some of the world’s largest companies to pause advertising on Facebook in July 2020, saying the social network is not doing enough to stop hate speech on its platforms. The groups, which include the NAACP and the Anti-Defamation League (ADL), launched the “#StopHateforProfit” campaign with a newspaper ad. Source: Reuters, June 17, 2020.
  • Facebook is committing to spend $1 billion per year on supporting U.S. companies that are owned by people of color, women, veterans, LGBT individuals or entrepreneurs with a disability. Source: Silicon Valley Business Journal, June 18, 2020.
  • Facebook plans to increase racial diversity among its own upper ranks, pledging to have 30 percent more people of color, including 30 percent more black employees, in leadership roles over the next five years. Source: Silicon Valley Business Journal, June 18, 2020.
  • More than 65 percent of Facebook’s senior leadership roles are held by whites, according to Facebook’s 2019 diversity report. Fewer than one-fourth are held by Asians, while blacks and Hispanics only make up a combined 6.6 percent.  Source: Silicon Valley Business Journal, June 18, 2020.
  • The company previously committed to have half of its workforce be from underrepresented communities by the end of 2023 and plans to double the number of black and Latino employees over the same timeframe. Blacks make up 3.8 percent of Facebook’s overall workforce and Hispanics make up 5.2 percent. Source: Silicon Valley Business Journal, June 18, 2020.

IBM: The company’s 2017 Corporate Responsibility Report with Inclusion information is here. Source: IBM, 2017.


ISACA: The global technology association has launched a philanthropic foundation, One In Tech, to address inequity in IT through responsive, relevant programs designed to support under-resourced, under-represented populations. Source: ISACA, July 21, 2020.


KnowBe4: The security awareness training and simulated phishing platform provider has launched the KnowBe4 Scholarship for Black Americans in Cybersecurity. Source: KnowBe4, July 13, 2020.



Laws, Regulations and Rulings: The Supreme Court ruled that federal civil rights laws prohibit workplace discrimination against LGBTQ workers. Source: ChannelE2E, June 15, 2020.


Microsoft CEO Satya Nadella

Microsoft: Multiple updates…

  • The company’s 2019 Diversity and Inclusion Report is here. Source: Microsoft, November, 2019.
  • Microsoft President Brad Smith said the company will “launch some new steps in the next week” to address racial diversity in the technology sector workforce, while calling the industry’s steps to address the issue thus far “not nearly enough.” Source: Meritalk, June 19. 2020.
  • Microsoft CEO Satya Nadella, in an email to employees, outlined several steps the company will take to help fight racial injustice. The Nadella email mentioned these three steps:
    • “Increasing our representation and culture of inclusion. We will build on our diversity and inclusion (D&I) momentum from the past five years by adding an additional $150M of D&I investment, and will double the number of Black and African American people managers, senior individual contributors, and senior leaders in the United States by 2025.
    • Engaging our ecosystem. We will use our balance sheet and engagement with suppliers and partners to extend the vision for societal change throughout our ecosystem, creating new opportunities for them and the communities they serve.
    • Strengthening our communities. We will use the power of data, technology, and partnership to help improve the lives of Black and African American citizens across our country, including to address the safety and well-being of our own employees in the communities in which they live.”
    • Source: Microsoft, June 23, 2020.


Reed Hastings, CEO, Netflix

Netflix: Multiple updates…

  • Netflix CEO Reed Hastings is committing $120 million to black higher education institutions. Source: Silicon Valley Business Journal, June 18, 2020.
  • Netflix  will allocate about 2% of its cash holdings — currently about $100 million — to financial institutions and organizations that are dedicated to helping Black communities. Source: Silicon Valley Business Journal, June 30, 2020.

PayPal Holdings: The company pledged $530 million to support minority-owned businesses and communities through community banks and credit unions focused on these groups, as well as direct investments into minority-led startups and minority-focused investment funds. Source: Silicon Valley Business Journal, June 18, 2020.


Private Equity & Boardroom Diversity: Ten private equity firms have pledged to each create and post five board seats to make them available to minority and women candidates, participating in an initiative to increase diversity on company boards of directors. Key leaders in the effort include Robert F. Smith, CEO of Vista Equity Partners — parent of Datto. Source: Mergers and Acquisitions, June 30, 2020.


Research: Multiple updates…

  • Women of Color in Tech: NPower, a large nonprofit tech training program in the USA, has released a two-year study that takes an in-depth look at the obstacles young women of color face entering the technology industry and what the industry needs to overcome diversity barriers. Details are here. Source: EP&T, June 2020, 2020.
  • Murder of George Floyd: More than 85 percent of companies discussed the death of George Floyd with their teams and 57.7 percent of those firms said they are scheduling ongoing discussions on race, according to a survey from Challenger, Gray & Christmas, Inc. The survey was conducted online between June 11 and June 20, 2020, among 150 Human Resources executives at companies of various sizes and industries nationwide. A former Minneapolis police officer, who is white, has been charged with murdering Floyd, a black man.

Reddit: The site has vowed to implement a new hate speech policy after years of complaints from volunteer moderators. The moderators claim racism is rampant across the Reddit website. Source: Bloomberg, June 18, 2020.


ScanSource: The distributor has launched a Diversity & Inclusion (D&I) program. Also, Ken Peterson, senior director of human resources, takes on the additional role of chief diversity officer.


Technology Industry Movements: Leaders from across the technology industry condemned racism and vowed to drive social equality. The outcry followed the murder of George Floyd — a black man who was killed by a white Minneapolis police officer. The officer has been fired and faces murder charges. Source: ChannelE2E, June 2, 2020.


Trend Micro: The cybersecurity software provider has extended its partnership with Girls in Tech, a global nonprofit. Together, the two organizations will develop a large talent pool of women focused on the cybersecurity industry. Source: Trend Micro, July 2, 2020.



Venture Capital: A group of Black venture capital managers is pressing Silicon Valley’s largest firms to commit to including historically Black colleges and universities among their limited partners, the institutions and individuals that provide capital to VC funds and reap the returns, The Information reports. Lo Toney, who spun out Plexo Capital from Alphabet’s investing arm GV, is leading the effort. At least one VC firm is already considering such changes. Source: The Information, July 13, 2020.


VMware CEO Pat Gelsinger

VMware: CEO Pat Gelsinger said that for any open position at the technology company, the hiring process will have to include consideration of both a woman and a minority candidate. Source: CNBC, June 19, 2020.


YouTube: The company is launching a $100 million content fund “dedicated to amplifying and developing the voices of black creators and artists and their stories.” Source: Silicon Valley Business Journal, June 18, 2020.


Note: Blog originally published June 18, 2020. Ongoing updates thereafter. If you have an update to share, please email details to ChannelE2E’s Joe Panettieri (Joe@AfterNines.com).

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1 Comment

Comment

    Grant Hoover:

    This is a very important issue that requires ongoing attention and real work on the part of all of us. Our industry will never reach its full potential as long as artificial barriers are preventing us from working alongside the absolute best individuals for each role. We think of diversity as primarily being a matter of fairness to the individuals that are shut out, and it certainly is that, but it is also a matter of depriving every small business, every large enterprise, and the industry as a whole of the strongest team they could have. From every angle you look at it, diversity is a solution to so many problems.

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