Equality Advice Centre 

 The Business Case for Equality and Diversity  

• More than half of UK companies are experiencing skills shortages.
• Broadening the base of skills and expertise by removing unnecessary barriers can address skills shortage and ultimately wage inflation.
• Widening the labour pool - If employers only target a particular age group or specific class and ethnic group then the simple equation of supply and demand will restrict their pool of recruits.

• The average cost of replacing an employee is £5,000 to £10,000 - employee turnover is not only a cost to the employer but is difficult to predict in financial planning.
• Flexibility, loyalty and retention of employees has been linked to equality of opportunity.
• Increased business productivity
• Employee satisfaction improves motivation and productivity whereas discrimination demotives, resulting in lower performance.
• Equality of opportunity has been recognised as contributing towards employee loyalty.
• A diverse workforce that represents a cross section of British society will bring a balance of experience and skills. As well as importing creativity, greater perspective and new ideas into the business.

• Generating a reputation for fairness and equality, regardless of age, gender, race or disability will attract talented recruits and retain experienced employees.

• A more diverse workforce better reflects the changing demographics of the customer base, This provides an opportunity to better understand customer's interests and needs.
• The demographics of Britain are changing, for businesses to adapt to the changing global economy they need to understand the requirements of their existing and future customers.
• Employees that reflect the local and national demographics have a better understanding of the customer's needs.
• Promoting fair and equal work practices could contribute towards raising the profile of the employer in the community and the marketplace.