Companies with diverse management teams have 19% higher revenue, due to the innovation that inclusive environments encourage[1]. With figures as high as this, it seems like hiring fairly is not only the right thing to do, but also a necessary and valuable strategy to increase revenue.
Hiring fairly ensures that all candidates are given equal opportunities, regardless of background, experience or social connections. Some of the key things to include when hiring fairly, is to maintain transparency, consistency and inclusivity. With those at the forefront of hiring practices, companies can create a future where candidates are treated in a fair and equitable manner.
This article will address the benefits of fair hiring, the return on investment from hiring fairly, and the best ways to implement fair hiring practices.
Benefits of hiring fairly:
So, what exactly are the advantages of hiring fairly, and why should you consider it to be a fundamental part of your hiring practices?
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Improved performance and retention
When a company treats their employees in a fair and equitable manner, it can improve employee performance by up to 26% and retention by 27%[2]. Not only is hiring fairly a moral thing to do, but it creates an inclusive workplace where employees can thrive.
Fair and equitable hiring can create a more loyal and motivated workforce, where employees feel valued for their unique skills and attributes that they bring to a role. A culture that celebrates differences breeds an inclusive and encouraging environment.
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Diverse and inclusive workplace
Hiring fairly creates a diverse and inclusive workplace. Diversity within teams drives innovation as there are a multitude of different perspectives and experiences that can add to and enhance ideas. There is also a culture of better decision making because of the same reasoning.
Once again, diverse and inclusive cultures that are built from hiring fairly do not only benefit internal business, but also have the ability to affect business goals. Companies in the top 25% for ethnic and cultural diversity are 36% more profitable[3], showing just how impactful fair hiring practices can be.
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Legal and ethical considerations
It is not just something that increases revenue or help hit diversity goals, hiring fairly is simply the right thing to do, from a legal and ethical perspective. Hiring fairly helps in obeying anti-discrimination laws, and all companies have a responsibility to source talent in an equitable and inclusive manner.
There is also the moral reasoning behind these practices. Many industry professionals have had been given opportunities within their career, and it is only right to pay that forwards. Hiring in a fair way makes sense for businesses, but it also creates a world where candidates are treated in an ethical and considerate manner.
The ROI of fair hiring practices:
There are many benefits to hiring fairly, both from a workplace culture perspective and a business minded perspective. But what exactly is the ROI for hiring fairly?
1. Reduced recruitment costs
Hiring fairly makes sense from a lot of standpoints, but perhaps one of the most important ones is its ability to cut recruitment costs. In hiring fairly, companies see higher retention rates and less turnover, reducing the costs associated with frequent training and hiring of new staff.
This practice also allows companies to reduce bias in the hiring process and improve candidate fit. This minimises the cost of bad hires and allows companies to save valuable time and resources on recruitment, onboarding and training of new staff.
2. Enhanced innovation and problem solving
Teams with diverse backgrounds bring a variety of perspectives, which can lead to more innovative solutions and better problem-solving. Research shows that diverse teams are 87% better at making decisions[4], and given that coming to correct and decisive decisions is fundamental to business growth, it is easy to see the ROI.
As mentioned before, diverse teams are more innovative, meaning that employers may see enhanced productivity and problem solving from efforts to hire more fairly.
3. Improved company reputation and employer brand
Fair and equitable hiring practices have value that stretches far and wide. In a job market where there is always a talent shortage, standing out to candidates is invaluable. 52% of job seekers have declined a job due to poor candidate experience[5]. Creating fair and equitable hiring processes within a company play a key role in attracting top talent and improving employer brand.
There is also the impact on market perception. Companies that hire in a fair and equitable way are more trusted by their customers and partners, leading to increased business opportunities.
How to implement fair hiring processes:
Now that you have heard about the benefits and return on investment of hiring fairly, you may be wondering how to do it. Well, here are 4 simple tips we have for implementing fair hiring processes in your business. Even one of these will have a great impact in creating a fairer hiring future.
1. Blind recruitment
Blind recruitment refers to the practice of removing personal and identifiable information off of job applications. It is effective in ensuring that biases and perceptions do not cloud the judgement of recruiters, so that talent can be assessed based on what they could add to a role.
2. Structured interviews
Another great way to hire fairer is to maintain consistency across all interviews to ensure all candidates are treated in the same way. Setting up processes such as scoring processes or standardised questions creates a sense of objectivity and makes sure all talent are treated fairly.
3. Diverse hiring panels
As businesses look to hire in a diverse and inclusive way, they could consider diverse panels to assess candidates. Hiring panels could consist of members of different departments, genders, ethnicities, backgrounds and ages to ensure that there is a fair and holistic evaluation of a candidate.
4. Skills based hiring
Skills based hiring allows talent to be evaluated based on what they could bring to a role in terms of skills. It ensures that background, education, experience or social connections are not driving factors when it comes to securing a job role. Skills based hiring is a great way to create fair opportunities for all, creating an environment where aptitude is the only requirement for success.
Conclusion:
All in all, there are many benefits to hiring in a fair and equitable way, and these efforts have a large return on investment for companies. Whilst it might take some time to adjust to the future of hiring in a fair and equitable manner, the results internally and externally for businesses are extremely tangible.
Excited about hiring fairly? Visit dayonework.com to find out more about how you can revolutionise your hiring process and create an inclusive and diverse future.
[1] Fair Hiring Practices: 6 Steps To A Fair Process | Vervoe
[2] How Fair Is Your Workplace?
[3] Fair Hiring Practices: 6 Steps To A Fair Process | Vervoe
[4] Recruitment ROI Explained Plus How To Calculate It (in 2025) - AIHR
