How Inclusive Workplace Policies Boost Employer Attractiveness
By Melissa Satzger and Rick Vogel
In today’s workplace, diversity and inclusion aren’t just buzzwords – they are essential for creating environments where employees feel valued and engaged. Adopting inclusive workplace policies is not only the right thing to do, but it has also become a strategic priority in an increasingly competitive labor market, where organizations are competing to attract and retain the best talent. But beyond the moral imperative, do these policies actually make an organization more attractive as an employer? And are there differences between sectors?
Our study set out to explore these questions. By analyzing over 715,000 employee reviews from more than 16,000 organizations in Germany, we aimed to examine whether inclusive workplace policies influence how likely employees are to recommend their employer to others. Using data from the German online review platform Kununu, we focused on three key dimensions of inclusivity: gender equality, attitudes towards elderly employees, and accessibility for individuals with disabilities.
Key Finding: Public Sector Employers Stand Out
Here is what we found: inclusive workplace policies do indeed make a difference. When employees perceive their workplace as inclusive – whether through equal opportunities for women, valuing elderly workers, or ensuring accessibility for people with disabilities – they are more likely to recommend their employer. Yet, we found sectoral differences.
When comparing public and private sector employers, the impact of inclusive workplace policies on employer attractiveness is significantly stronger for public employers, while it is less pronounced for their private counterparts. This is likely because public organizations often have missions centered around social equity, justice, and community service, which closely align with the principles of inclusivity. Employees in public organizations perceive a stronger alignment between their personal values and those of public employers, which enhances the effect of inclusive policies on their willingness to recommend their employer.
In comparing public and nonprofit sector employers, we found no significant sectoral differences. This is perhaps not surprising, as both sectors share a focus on serving societal needs and social responsibility, which naturally align with inclusivity. Employees in both sectors highly value inclusive environments, leading to a comparable positive effect on employer attractiveness in both public and nonprofit organizations.
A Call to Action for Employers
For employers, the message is clear: investing in inclusive workplace policies is not just the right thing to do – it is also a competitive advantage. In today’s labor market, especially for public sector employers, adopting inclusive policies can be a key differentiator. Implementing practices like promoting gender equality, supporting elderly workers, and ensuring accessibility for people with disabilities help organizations stand out and become more attractive to both current employees and potential recruits.
Public sector employers can further enhance their employer branding by communicating these policies through both internal and external campaigns. This helps build an image of a caring employer, committed to fairness and equal opportunity. Securing inclusivity-related certificates and awards can further signal to prospective employees that inclusivity is a priority. Younger generations, who increasingly demand diversity, equity, and inclusion from their workplaces, are particularly responsive to these signals. With upcoming waves of retirement in the public sector, attracting this socially conscious generation is crucial to maintaining a skilled workforce. However, for these policies to truly succeed, they must be reflected in daily practice. It is not enough to simply have inclusive policies in place – employees need to see them enacted consistently. This helps build trust, enhances employee retention, and strengthens the organization's credibility.
Simply put, inclusive workplace policies not only create a more inclusive and diverse workplace but also boost employer attractiveness – a win-win scenario for both employers and employees.
Article details
Do Inclusive Workplace Policies Foster Employer Attractiveness? Comparative Evidence From an Online Employer Review Platform
Melissa Satzger and Rick Vogel
First Published: July 26, 2023
DOI: 10.1177/00910260231187536
Public Personnel Management
About the Authors
