According to a Missing Pieces report, underrepresented and ethnic groups currently hold 22.2% of board seats across Fortune 500 companies. While this percentage has increased from 17.5% in 2020, it is significantly lower than the US underrepresented racial and ethnic population of 40.6%.
The upward trend suggests that diversity efforts are yielding positive results; however, there remains a long, arduous journey ahead for the corporate board to mirror the societal landscape.
Furthermore, the report suggests if growth continues at its present rate, it would take over two decades for Fortune 500 boards to match the current population diversity. When analyzing the data, it is clear that progress is evident; but, unfortunately, not occurring at a pace that reflects the urgency and importance of diverse leadership and voices in roles of influence.
Lara Abrash states, "Progress toward increasing board diversity is something to be celebrated, but there is much more to do. Boards are undoubtedly at their strongest when there is diverse representation, as unique perspectives from different genders, races, ethnic groups, and backgrounds can poke holes in thin plans and illuminate new opportunities."
The Missing Pieces report shines a light on the state of the corporate boardroom and the need to continue the commitment to address the existing gaps to ensure the term diversity and inclusion are not just buzzwords, but are integral aspects of the corporate landscape on every level. As the US population continues to become more diverse, delaying to act with a sense of urgency may only widen the disparity as the years grow.
" Inclusion is critical to business success, and we shouldn’t feel satisfied until the faces in our boardrooms match those in our communities and across our nation." - Lara Abrash.
Source: https://www.elcinfo.com/wp-content/uploads/2023/07/us-missing-pieces-7th-edition-report.pdf