More corporate directors believe that action has to be taken to address diversity issues in their organizations, representing a cultural shift in the way companies think about diversity, equity and inclusion, Bloomberg reported Oct. 12.
In the PwC annual corporate directors survey, directors expressed understanding of how diversity is good for both companies and boardrooms, and unlike a few years ago, they now believe the problem won't fix itself.
Diversity remains an issue at the largest American companies, with only 5 percent of all directors identifying as Black and even less as Latinx at 3 percent. The majority of directors agree, however, that diversity brings benefits to the boardroom.
In 2020, 71 percent of directors thought that the diversity issue would correct itself naturally over time. That view has significantly changed this year, with only 33 percent of directors now holding the same view. Boards are now also more supportive of almost all diversity measures, including always interviewing a diverse candidate.
While this change in opinion represents a large shift, progress is still slow. Directors cited overreliance on directors' networks to source members and reluctance to retire from long-standing board members as barriers to change.