Similarly, Kemeny and Cooke (2017[46]) find that in cities with low levels of inclusive institutions, the benefits of diversity are modest or non-existent, whereas in cities with high levels of inclusive institutions, the benefits of immigrant diversity are significant and positive. Legislation and policies can only go so far. Mapping Social Cohesion 2013. We therefore cannot talk about a truly cohesive and inclusive Australia without addressing racism, and the Racial Discrimination Act is vital tool within the Australian Human Rights framework to address and respond to racial vilification. [19] Horwitz,S. and I.Horwitz (2007), The Effects of Team Diversity on Team Outcomes: A Meta-Analytic Review of Team Demography, Journal of Management, Vol. (2015[14]). [13] Post,C. and K.Byron (2015), Women on Boards and Firm Financial Performance: A Meta-Analysis, Academy of Management Journal, Vol. These findings point in the same direction as the literature focusing on the firm level, as they suggest that diversity is likely to have a stronger positive impact in high-skilled employment. : An assessment of their (in)effectiveness using administrative data., Personnel Review, Vol. the benefits of firms and people located near to each other (Bellini etal., 2008[31]). Studies on how diversity affects productivity at the firm-level, using representative data are rare. [42] Alesina,A., J.Harnoss and H.Rapoport (2014), Immigration, Diversity and Attitudes to Redistribution: A European Perspective, Unpublished manuscript. 21, pp. They provide that national institutions should have a broad mandate based on universal human rights standards, be autonomous and independent from government, have a pluralistic structure and operate in a pluralistic manner, have adequate resources, and have adequate powers of investigation. [25] Glover,D., A.Pallais and W.Pariente (2017), Discrimination as a self-fulfilling prophecy: evidence from French grocery stores, The Quarterly Journal of Economics, pp. [16] Adams,R. and D.Ferreira (2009), Women in the boardroom and their impact on governance and performance. Also on the AFL field, Melbournes Neville Jetta was subjected to racial abuse during a game against the Western Bulldogs. [7] Bratti,M. and C.Conti (2014), The effect of (mostly unskilled) immigration on the innovation of Italian regions, IZA Discussion Paper No. Research on the UnitedStates and Canada show that white people living in diverse neighbourhoods are more trusting when they regularly talk to their neighbours (Stolle, Soroka and Johnston, 2008[43]). The Commission conducted consultations as part of the National Anti-Racism Strategy, we asked respondents to tell us how racism made them feel. (2016), Gender Quotas: Challenging the Boards, Performance, and the Stock Market, IZA Discussion Paper, No. An Uphill Battle, http://dx.doi.org/10.1787/9789264281318-en (accessed on 5October2017). Similarly, panel data on US states over the 1960-2010 period indicates that diversity among highly educated immigrants has positive impact on economic growth, whereas diversity among low-skilled migrants has a no effect (Docquier etal., 2018[28]). Ancestral lands, waters and territories are of fundamental importance for their physical and cultural survival as peoples. The Effect of Employee Diversity on Innovation, Research Policy, Vol. Prosperity in diversity. [9] Brunow,S. and B.Stockinger (2013), Establishments and regions cultural diversity as a source of innovation: Evidence from Germany, NORFACE Discussion Paper, No. While these estimates are not based on a general equilibrium model, i.e. [8], Not only have we witnessed an increase in racial discrimination through our formal complaints mechanism we have also seen a disturbing rise of racial abuse in the public domain, whether it be on public transport or on the sporting field. The previous sections have shown that overall, the evidence on the economic impact of diversity yields a rather complicated picture. Making Diversity Work for All, (stergaard, Timmermans and Kristinsson, 2011[11]), (Parrotta, Pozzoli and Pytlikova, 2014[12]), (Alesina, Harnoss and Rapoport, 2016[26]), Tolsma, van der Meer and Gesthuizen, 2009[38], (Alesina, Harnoss and Rapoport, 2014[42]), [2] Balestra,C. and L.Fleischer (2018), Diversity statistics in the OECD:How do OECD countries collect data on ethnic, racial and indigenous identity?. I caution the Government to consult widely and extensively before making any changes, as any amendments to the legislation have the capacity to affect the human rights of all Australians. The Aboriginal peoples developed their accommodation with the environment over a period of at least 40,000 years, during which time they had little contact with the outside world. The Scanlon Foundation Surveys National Report. 104/4, pp. Oxfam Australia commissioned Deloitte Access Economics to analyse the economic and social impact an expanded refugee program may have on Australia's economy and society. 709-743. [12] Parrotta,P., D.Pozzoli and M.Pytlikova (2014), Labor diversity and firm productivity, European Economic Review, Vol. By excluding people, you are making them more vulnerable to entrenched disadvantage. (2016), Age diversity and team outcomes: a quantitative review. Internationally, multiculturalism in Australia is seen as a success story, and stands as a good example on how to build a cohesive and inclusive society. Similarly, an analysis of reports filed in the context of the Dutch diversity law Wet SAMEN finds that skilled labour market shortage impacts ethnic minority representation positively (Verbeek, 2012[50]). It provides the climate in which violence may take place. While interest in Australia grew in the 1990s amid concerns prompted by the impact of globalisation, economic change and fears fuelled by the war on terror[1], the concept has been examined by socialist dating all the way back to 19th century with mile Durkheim and Gustave Le Bon. The Migration Observatory at the University of Oxford. This provision is so broad it is difficult to see any circumstances in public to which the protections would apply. whether employees perceive their workplace as open towards diversity, has a positive impact on the branchs performance. That public awareness campaign is a central part of the National Anti-Racism Strategy that the Commission leads. No.10239, Institute for the Study of Labor. It stops with me campaign and is a good example of the educational and advocacy work of the Commission. The consequence is that, for the first time in decades, an Australian government is seeking to water down legislation protecting human rights, and to reverse a trend towards increased protection for of the rights of minorities and vulnerable Australians. (2008), Cultural diversity and economic performance: Evidence from European regions. Creativity and innovative thinking: teams with diverse backgrounds, experiences and ideas, Lower productivity: e.g. When asked: Have you experienced discrimination because of your skin colour, ethnic origin or religion? 19% of respondents answered yes to the question; an increase of 7% on the previous year. [7] We know that racism can directly or indirectly exclude people from accessing services or participating in employment, education, sport and social activities. [8] A study conducted by Dunn and colleagues in 2008 found that around one in five Australians say they have experienced race-hate talk, such as verbal abuse, racial slurs or name-calling, and more than one in 20 say they have been physically attacked because of their race. I would also like to highlight that apart from our Aboriginal and Torres Strait Islander peoples, all of us came to this country as immigrants or are the descendants of immigrants. 444-462. I think it is also important to highlight that the Racial Discrimination Act as applied by the courts and administered by the Australian Human Rights Commission has successfully resolved hundreds of complaints about racial hatred over the past two decades. Results for Germany show a smaller effect, but similar pattern (Suedekum, Wolf and Blien, 2014[29]). 2, pp. Findings are somewhat mixed, but impacts of gender, ethnicity or age diversity are found to be either very small or insignificant. Social diversity is all of the ways that people within a single culture are set apart from each other. OECD iLibrary This evening I would like to discuss the: Before I go any further I would like to show a quick clip this is part of our Racism. taking into account how this may impact the behaviour of supply, demand and prices in the overall economy, it nevertheless demonstrates that there are substantial macroeconomic gains in increasing labour market inclusion. [28] Docquier,F. etal. 52/3, pp. [39] Laurence,J. This index accounts both for the heterogeneity of a population as well as the size of different population groups. 57-75. 44/3, pp. 56/1, pp. Delhey and Newton (2005[41]) find that generalised social trust is not directly impacted by diversity, whereas it is negatively associated with income inequality. [12] Parrotta,P., D.Pozzoli and M.Pytlikova (2014), Labor diversity and firm productivity. your login credentials do not authorize you to access this content in the selected format. This is particularly likely in settings where people encounter each other as equals and as part of a routine or with a common goal, e.g. 53, pp. The 2018 Leading for Change report from the Australian Human Rights Commission showed that only 4% of federal MPs had non-European ancestry, compared to 19% of the Australian population. But we will not let it pass. To answer that I think we need to define what it is. by looking at the impact of newly introduced gender quotas for boards, also tend to find that a subsequently higher share of women does not have a significant effect on firm performance (see for example Ferrari etal. 559-627. Since 1945, almost seven million people have migrated to Australia. It happened. But over time, individuals adapted to changes in society and began to reap the benefits of diversity, with quality of life returning to initial levels. (2011), Getting Specific about Demographic Diversity Variable and Team Performance Relationships: A Meta-Analysis. In addition, Gonzalez and Denisi (2009[24]) show that in different branches of a large US company the diversity climate, i.e. Other studies show similar positive effects on GDP per capita, however effects are found to be stronger in low-income countries (see for example Bove and Elia (2017[30]). In other words, what drives an often-observed erosion of social cohesion is not diversity itself, but rather contextual factors related to socio-economic status, inequality and governance. 1945-1960. (ed. This may suggest that when women or ethnic minorities are perceived as newcomers rather than just another colleague, more intra-group conflict may arise or minorities may have difficulties in being heard and taken seriously. Businesses or organizations achieve these goals through conscious and deliberate efforts or activities in their operations and administrations. Societies and individuals are facing new challenges as they engage with (or sometimes avoid) people from different backgrounds, faiths and beliefs. Thus, while there might not be a clear-cut business case for diversity, there is a strong social justice obligation, as well as a business case to prevent discrimination and non-inclusion. Quite evidently, the economic exclusion or inactivity of large population groups comes at a high cost, particularly against the backdrop of demographic change related to ageing populations and increasing shares of groups that have been traditionally disadvantaged in the labour market, such as people with disabilities, migrants and ethnic minorities. [2] Balestra,C. and L.Fleischer (2018), Diversity statistics in the OECD:How do OECD countries collect data on ethnic, racial and indigenous identity?, OECD Statistics Working Papers, No. Most studies considered in these meta-analyses were conducted in the US. [32] Ottaviano,G. and G.Peri (2006), The economic value of cultural diversity: evidence from US cities, Journal of Economic Geography, Vol. (2010), The Gender and Ethnic Diversity of US Boards and Board Committees and Firm Financial Performance, Corporate Governance: An International Review, Vol. [35] Montalvo,J. and M.Reynal-Querol (2014), Cultural Diversity, Conflict, and Economic Development, in Ginsburgh, Victor A. Throsby,D. [1] Ozgen,C. (2018), The economic impact of diversity: A literature review, Background Report for the OECD. Patent applications (+); Patent grant (+); Non-university patent grants (+), 12 western European countries (170 regions), Product innovation & process innovation (+) & (-), Introduction of a new product or service: (/). through instrumental variables (IV) estimation, is limited. The Attorney-General has talked of a multi-front war being waged against freedom of speech and proposes new provisions to strengthen this freedom. Here are some key reasons why diversity is important: When racist abuse rears its ugly head we will never as a club do what this person has done: disappear into anonymity. Appendix A: Factors that influence views of diversity. [20] Schneid,M. etal. My colleague, Race Discrimination Tim Soutphommasane outlines that the notion of multiculturalism can refer respectively to our ethnic composition as a society, to our policies concerning citizenship and the integration of immigrants, and to the values that shape our everyday cultural interactions. 31-56. Overall, however, the literature does not allow to make a strong business case; neither for nor against increasing the share of women in company boards. 2015/1. In addition, the composition of migrants in terms of different countries of origin is found to be a more important driver for innovation than the regional population size of foreign-born. [17] Carter,D. etal. The legislation provides for a Commission constituted by a President, and seven Commissioners that broadly reflect those human rights that have been the subject of federal legislation. [20] Schneid,M. etal. Social diversity is a global issue and it has contributed to major geopolitical events such as Brexit and the fractious nature of the European refugee crisis. Thus, organisational practices, diversity management and non-discrimination policies can be important levers to make the most of a diverse workforce. The Australian Human Rights Commission was established as an independent statutory authority in 1986 through legislation that is now called the Australian Human Rights Commission Act 1986 (Cth). Regarding attitudes towards social spending and redistribution, in EU countries, positive attitudes among native-born towards income redistribution decrease with higher immigrant diversity and a higher share of immigrants in the population (Alesina, Harnoss and Rapoport, 2014[42]). The Scanlon Foundation Surveys National Report. Strong community engagement provides opportunity, builds wealth, promotes social harmony, and ensures greater equality and justice for all citizens. 37/3, pp. University of Oxford provides funding as a member of The Conversation UK. [46] Kemeny,T. and A.Cooke (2017), Urban Immigrant Diversity and Inclusive Institutions, Economic Geography, Vol. To test these ideas, we conducted a large and ambitious study examining 22 years of publicly available psychological, sociological, and demographic data from multiple waves of the World Values Survey, the European Social Survey, and the Latino Barometer. 58/5, pp. few, but comparatively larger country of origin groups living in counties with a American-born majority, has the opposite effect. Through multiculturalism, the Australian experience has shown has that diversity can go hand in hand with a stronger social cohesion. These groups aim to support underrepresented employees, promote diversity, and foster understanding among coworkers. Academia has reacted to these. The underrepresentation of cultural and linguistic diversity in Australian politics . In addition, findings suggest that these economic differences actually lead to lower public goods provision, particularly in countries with weaker democratic structures (Baldwin and Huber, 2010[40]). As part of our Racism.It stops with me campaign we have tried to build on this bystander approach and have released a community announcement featuring Racism.It stops with me Ambassador, Adam Goodes. 1011-1033. Overall, however, the effect is small; a 1-percentage point increase in the share of foreign-born lowers support for redistribution only by about 0.2 percent. The Scanlon Foundation utilises five indicators for social cohesion: I think you will all agree that in general Australia is a cohesive society, this backed by the research. (2017), Wider-community Segregation and the Effect of Neighbourhood Ethnic Diversity on Social Capital: An Investigation into Intra-Neighbourhood Trust in Great Britain and London, Sociology, Vol. At: http://migrationobservatory.ox.ac.uk/briefings/immigration-diversity-and-social-cohesion (viewed 23 June 2014). What is social impact? [2] The United Nations defines a socially cohesive society where all groups have a sense of belonging, participation, inclusion, recognition and legitimacy.[3]. Second, research that can identify causal links between diversity and economic outcomes, e.g. In this report, we explored factors related to whether people thought an increasing number of people of many different races, ethnic groups and nationalities made their country a better place to live. Australia's isolation as an island continent has done much to shapeand inhibitits culture. For example, an individual's parents can be well-educated and wealthy. 291-309. Why is this the case? However, there is some evidence that demonstrates the importance of situational settings by examining under what specific conditions diversity dynamics may unfold and how. Racism prevents fellow Australians from being able to participate in our society. In 2012-13 we saw a dramatic increase of 59% in complaints based on racial vilification and hatred. gender, ethnicity or age. 11802, IZA - Institute of Labor Economics. 48, pp. The public discourse has been commonly labelled as the freedoms debate. In an address to the National Press Club earlier this year I described the freedoms debate as divisive and unproductive, in that it has polarised views and increased anxiety, particularly among minority groups. [22] Joshi,A. and H.Roh (2009), The role of context in work team diversity research: A meta-analytic review, Academy of Management Journal, Vol. due to communication difficulties, Positive self-selection: unobservable characteristics such as grit and determination to overcome additional hurdles, e.g. Racism. The literature shows that a number of factors have a strong mediating impact; social exclusion and disadvantage, inequality, inter-group contact and social interactions as well as the role of governance and institutions are important explanatory factors. Brothablack, Social cohesion, multiculturalism and racism. In 2013 Scanlon Foundation found a marked increase in reported experience of racial discrimination. Thank you to the Affinity Foundation for the invitation to be here tonight for the 2014 Iftar dinner and to celebrate Ramadan. 1. [43] Stolle,D., S.Soroka and R.Johnston (2008), When Does Diversity Erode Trust? 286-313. [5] Ozgen,C., P.Nijkamp and J.Poot (2012), Immigration and innovation in European regions, in Nijkamp,N., J.Poot and M.Sahin (eds. Nearly a year after the infamous comments of a teenage girl, Goodes was again the target of racism at an Essendon game in May. Parrotta, Pozzoli and Pytlikova (2014[12]) find for Denmark that diversity in educational background has no impact on patent applications, whereas diversity in country of origin among employees has a positive impact. [7] Zierscha, A.M., Gallahera, G., Bauma, F., Bentleya, M., (2011).Responding to racism: Insights on how racism can damage health from an urban study of Australian Aboriginal people. Under our statutory mandate we have several functions: We also participate in international bilateral programmes with China and Vietnam, and our experience through these technical cooperation programs has been that our regional neighbours often look to us to share learn from our experience. The survey asked whether companies had introduced diversity measures, and if so, what kind of approaches they had chosen and which groups they were targeting. Diversity is important in today's world because it helps us learn from each other and understand that everyone is unique and special in their own way. As I highlighted earlier prejudice and discrimination are barriers to fair treatment and equal opportunity. on ethnic diversity, see also Balestra and Fleischer (2018[2])), on the other hand, quantifying diversity is not an easy endeavour given the multiple groups any person belongs to (gender, ethnicity, age, religion etc.). See K Dunn, Challenging Racism: The Anti-Racism Research Project. [27] Cooke,A. and T.Kemeny (2017), Cities, immigrant diversity, and complex problem solving, Research Policy, Vol. [9]http://www.theage.com.au/afl/afl-news/adam-goodes-again-targeted-as-clubs-condemn-racist-fans-20140520-zrib6.html#ixzz35RGME0UZ, Social cohesion in a multicultural Australia: The importance of human rights, Copyright Australian Human Rights Commission, Aboriginal and Torres Strait Islander Social Justice, https://www.youtube.com/watch?v=_mtw5ZAtbaY, http://www.scanlonfoundation.org.au/research.html, http://migrationobservatory.ox.ac.uk/briefings/immigration-diversity-and-social-cohesion, http://undesadspd.org/SocialIntegration/Definition.aspx, http://www.dss.gov.au/our-responsibilities/settlement-and-multicultural-affairs/publications/current-and-emerging-drivers-for-social-cohesion-social-division-and-conflict-in-multicultural-australia, www.uws.edu.au/social_sciences/soss/research/challenging_racism/findings_by_region, http://www.theage.com.au/afl/afl-news/adam-goodes-again-targeted-as-clubs-condemn-racist-fans-20140520-zrib6.html#ixzz35RGME0UZ, The concept of social cohesion, and its relationship to human rights in particular racial discrimination, The role of the Australian Human Rights Commission and how we contribute to social cohesion by addressing racial discrimination and vilification in Australia. (ed.). This chapter reviews studies that analyse the economic impact of diversity on the macro (country), meso (region) and micro (firm or team) levels, as diversity is likely to be relevant on all these levels but through different mechanisms and with different outcomes.1 In addition, it provides a short overview of the literature on how diversity may spill over and impact social cohesion and preferences for redistribution. 1546-1571. Such events have been labelled as casual racism.. Miguel R. Ramos received funding for the project discussed in this article from the Nuffield Foundation. Studies have shown that good governance on a country and regional level increase generalised trust and render an otherwise negative impact of diversity insignificant (Murtin etal., 2018[45]; Delhey and Newton, 2005[41]). Some studies seek to quantify the cost of continuing non-inclusion of diverse populations. According to the Australian Multicultural Council social cohesion at the national level is strong; however there is not a trickle-down effect to the community level. Term Definition; Diversity "The condition of having or being composed of differing elements" [4] Social Diversity "A successful community in which individuals of different race, ethnicity, religious beliefs, socioeconomic status, language, geographical origin, gender and/or sexual orientation bring their different knowledge, background, experience and interest for the benefit of their . To do this, we performed bivariate and multiple regression analyses predicting attitudes . [35] Montalvo,J. and M.Reynal-Querol (2014), Cultural Diversity, Conflict, and Economic Development, in Ginsburgh, Victor A. Throsby,D.