As the working world continues to evolve, business leaders would be wise to fine-tune and enhance their people strategies to better reach a fast-growing segment of the U.S. population: Young Hispanic Millennials.
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That’s the message of a new report from the Society for Human Resource Management (SHRM) and the Congressional Hispanic Caucus Institute (CHCI), The Changing U.S. Workforce: The Growing Hispanic Demographic and the Workplace, which explores the HR implications of the huge influx of Hispanic Millennials into the workforce.
The reason, says the report, is clear: Hispanics have the capacity to address expected workforce skills shortages. The report suggests that young Hispanics in particular are uniquely positioned to fill the void that will occur with the Baby Boomer generation’s retirements. As company leadership looks for creative approaches to ease this departure, Hispanic workers are poised to be a key part of the solution, the research says.
It’s no secret, of course, that employers have embraced the U.S. Hispanic population as a smart human resource move and a necessary business strategy. Hispanics, in fact, are being elevated to a key business—and diversity—force for employers today.
Growing Clout
Latinos accounted for more than half (54 percent) of total U.S. population growth from 2000 to 2014, according to the latest available analysis of the Pew Research Center, a nonpartisan “fact tank” in Washington. Over the past decade, in fact, Latinos have sealed their place as the country’s largest minority group.
Moreover, Hispanics are indeed the youngest major racial or ethnic group in the U.S. About one-third, or 17.9 million, of the nation’s Hispanic population is younger than 18, and about a quarter, or 14.6 million, of all Hispanics are Millennials (ages 18 to 33 in 2014), according to another Pew Research Center analysis of U.S. Census Bureau data.
Key takeaway: Altogether, nearly six-in-ten Hispanics are Millennials or younger.
“As the demographics of the country continue to shift, Hispanic inclusion in corporate America has become more critical,” says Cid Wilson, president and CEO of the Hispanic Association on Corporate Responsibility (HACR), a Washington-based advocacy organization representing 14 national Hispanic organizations in the United States and Puerto Rico.
HACR, in fact, sponsors an annual program that’s specifically aimed at shaping the next generation of Hispanic leaders. Called the “HACR Young Hispanic Corporate Achievers,” the initiative offers young Hispanic professionals the opportunity to build leadership skills and apply them in ways that enhance Hispanic inclusion at their companies, Wilson says.
Common Bonds
Employers are uniquely positioned to offer promising practices that leverage this demographic change to achieve organizational success, notes the joint-SHRM/CHCI report. Based on guidance from employers, HR researchers, recruiters, and Hispanic leaders, the following strategies are emerging as a road map to help advance opportunities for Millennial Hispanics in your workforce:
Peer support. Hispanic affinity, networking, or peer groups have long provided meeting places for individuals with common interests. Now, they’re organized, funded, highly visible and business-focused, according to research by The National Council of La Raza in Washington, a nonprofit Hispanic civil rights organization. Of the 50 companies it studied, nearly 90 percent reported having a Hispanic affinity group.
Example: Leaders of Allstate Insurance Company, based in Northbrook, IL, engage members of its Hispanic network to help drive recruitment, retention, and advancement. The Professional Latino Allstate Network (PLAN) has grown from a social support group of about 12 members in 1986 to a formal organization of 763 members this year. PLAN won the 2015 Latina Style Top 10 Employee Resource Groups in the national award as a result of its impact to “the 4Cs of commerce, careers, community and culture,” according to PLAN president Lupe Gallardo, which she says led to multiple career promotions and successful mentor-mentee relationships.
Education and training. Education improves the occupational status of workers— but less so for foreign-born Hispanics. Immigrants who do not speak English have a probability of switching occupations within 5 years, according to Pew Hispanic Center research. Workforce planners, therefore, must allow for and deliver education, training programs, and apprenticeships for younger workers as important anchors for success.
Partnering with regional or community-based groups can help support employers’ skills-based goals. The Hispanic Women’s Network of Texas, for example, provides professional development and skills training, leadership opportunities, and educational sessions for Hispanics. It also raises money for college scholarships for Latinos.
In tomorrow’s Advisor, we will present three more ways to harness your company’s diversity power.