ReportWire

Tag: Advancement

  • Want to Keep Your Workers Happy? Don’t “Fake Promote” Them With New Job Titles

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    Shakespeare really nailed the “what’s in a name?” question — roses do smell as sweet no matter what you call ‘em. But when it comes to writing business text and job titles, rather than poetry and names, things get a little more complex as workers’ egos and motivational benefits like pay rises join in. Now a new report shines an interesting light on a strange job title-related phenomenon that’s afflicting the average worker: “title inflation.” Even Shakespeare would have a hard time shaping this story into a beautiful verse.

    As you may have expected, the workers don’t emerge on the positive side of this trick. In fact, 92 percent of the 1,000 U.S. workers questioned by online resume building service MyPerfectResume said they’d seen companies use overblown job titles to make it seem like their career was progressing. And this played out even as their managers weren’t accompanying the “fake” promotion with meaningful benefits like higher pay or extra recognition alongside an inflated job name.

    As someone who’s held an innumerable number of job titles over the years, from junior business analyst to technician I’ve seen some of this go on. And if you think about it, you certainly have too: I bet you know a junior section manager of XYZ or two who’s been “promoted,” and lost the “junior,” but that’s as far as things went in terms of pay or other compensation.

    MyPerfectResmue’s data also show that two in three workers think this habit of job title inflation is actually happening more than in the past. And, as industry news site HRDive notes, there’s a sad, mind games-related reaction happening to this sort of managerial trick: workers admitted that they were afraid to negotiate with management when this occurs, and 9 percent have been given a new more senior title without a raise, and shockingly 15 percent had even accepted a more “senior” job title that came with a functional salary cut. Worse, perhaps, some 37 percent of the survey respondents said they had felt pressured to accept a new job title without negotiating more pay.

    We can assume that the gloomy job market, endless headlines reporting layoffs and the ever-growing threat that AI may take people’s jobs is playing a role here. After all, reports say that people are so afraid of being fired that they’re feeling guilty about taking vacations, and they’re “task masking” too — pretending to work hard even when their workload is light so that managers see them and think they’re busy, and not worth replacing with an AI

    Combine a nervous job-hugging workforce with a management system that’s under constant pressure to deliver more productivity, without necessarily being given budget or authority to “reward” workers properly, and you’ve got a perfect recipe for managers pulling off dirty tricks like offering someone a new, grander-seeming job title that comes with extra duties, but no managerial authority or, indeed, extra pay. This is backed up by MyPerfectResume data which showed 20 percent of workers think employers inflate job titles to justify assigning more responsibilities, 19 percent think it’s merely about flattery, and 16 percent think it’s a ploy to retain workers long term.

    Now, you can argue that job titles don’t matter, and you may feel that in your small enterprise everyone’s got a simple, meaningful one that doesn’t overstate or overpromise their role.

    But the thing is job titles do matter in subtle ways. For example, 41 percent of survey respondents in this new study said a title had made them seem either over or under qualified when they were applying for a new role, and 11 percent said that an unusual job title had made it harder to explain and justify their work experience. 

    And, just like being given the corner office, a new, more senior-seeming job title without an accompanying raise or other benefit really represents no advancement at all for a worker. Keep pulling this trick off and you could build up resentment in your workforce, which could then drive down engagement and, with that, your profits.

    Simply: it might be time to audit your promotions and rewards program, and to check that everyone feels they’ve got the right job title and that their pay reflects that title properly.  

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    Kit Eaton

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  • New DDI Study Reveals Minority Leaders Getting More Promotions, But More Likely to Switch Companies to Advance

    New DDI Study Reveals Minority Leaders Getting More Promotions, But More Likely to Switch Companies to Advance

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    Part of the Global Leadership Forecast series, DDI’s new Diversity and Inclusion Report 2020 shows strong benefits of corporate inclusion efforts, as well as retention risks for minority leaders

    Press Release



    updated: Oct 28, 2020

     Senior minority executives plan to leave their current position at twice the normal rate of other executives. And this exodus could be coming within the next year, according to DDI’s Diversity and Inclusion Report 2020.

    This is just one finding from the report, which is part of the Global Leadership Forecast series by DDI. The report includes data from 15,787 leaders and 2,102 human resources professionals. These leaders represent more than 1,740 organizations across more than 25 industries globally. The report delivers data on gender and racial/ethnic diversity among leaders, and its effect on companies’ financial results. Companies can use the data to help guide their diversity and inclusion efforts, as well as their talent strategy.

    “While leaders from diverse ethnic and racial backgrounds are finally advancing at a faster rate, our study showed that organizations face high retention risks for these leaders,” said Stephanie Neal, director of DDI’s Center for Analytics and Behavioral Research. “It’s likely that these leaders still face significant barriers as they move up the ladder, which may be why they feel like they have to leave the company to advance. Companies should be paying close attention to how inclusive their culture and talent practices are to ensure they retain these diverse and highly talented leaders.”

    The study found that fewer than one in four leaders reported their organization consistently recruits and promotes from a diverse talent pool. Furthermore, only 27 percent of leaders believe inclusion is a strong part of their organizations’ culture and values.

    The Diversity and Inclusion Report 2020 found that while organizations are working to build more diverse and inclusive workforces, there are still gaps that need to be addressed. The study also found:

    • Diversity has a greater impact on financial performance than any other organizational demographic factor. Organizations with above-average gender, racial and ethnic diversity had at least 30 percent of women and 20 percent of leaders from diverse racial and ethnic backgrounds in leadership roles. These organizations were eight times more likely to be in the top 10 percent of organizations for financial performance.
    • Leaders from minority backgrounds are more likely to feel the need to change companies to progress their career across all leadership levels. Also, they were much more likely to say they plan to leave within the next year. This is especially true among senior-level minority leaders, who are more than twice as likely to leave as their non-minority peers.
    • Diversity and inclusion efforts resonate across organizations’ entire workforce. More than one-third of leaders from companies that qualify as “Best Places to Work” reported that inclusion is a strong component of their work culture and value. This is in comparison to the 20 percent of leaders from other companies without the same label.
    • Organizations with more diversity in high-potential pools typically see higher financial performance. Organizations in the top 10 percent of financial performance report that women make up 24 percent of their high-potential pool, and 19 percent are from diverse racial and ethnic backgrounds. Organizations with below average financial performance report less diversity in their high-potential pools. Their pools include only 16 percent women and 12 percent from diverse racial and ethnic backgrounds.
    • Women continue to struggle to advance. At higher levels of leadership, women indicated an increasing need to switch companies to climb higher in their roles. In fact, 45 percent of women executives said they would likely need to switch companies to advance, compared to only 32 percent of male executives.

    “There’s a clear bottom-line benefit to workplace diversity and inclusion, and organizations can only benefit from increasing these efforts,” Neal said. “It’s important that leaders take the time to assess the state of diversity and inclusion in their organization and employ best practices if they want to realize the benefits of a diverse and inclusive workforce.”

    For more information, including the full report, visit ddiworld.com/research/inclusion-report.

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    About DDI

    DDI is a global leadership consulting firm that helps organizations hire, promote and develop exceptional leaders. From first-time managers to C-suite executives, DDI is by leaders’ sides, supporting them in every critical moment of leadership. Built on five decades of research and experience in the science of leadership, DDI’s evidence-based assessment and development solutions enable millions of leaders around the world to succeed, propelling their organizations to new heights. For more information, visit ddiworld.com.

    Available for Interviews

    Stephanie Neal, director of DDI’s Center for Analytics and Behavioral Research

    Contact:
    Brad Pedersen
    PR Specialist, DDI
    Brad.Pedersen@ddiworld.com 
    412-485-9767

    Source: DDI

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