The NAACP Opportunity and Diversity Report Card: Hotel and Resort Industry CALL TO ACTION

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Harold Jackson
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1 The NAACP Opportunity and Diversity Report Card: Hotel and Resort Industry CALL TO ACTION

2 NATIONAL CALL TO ACTION In an effort to increase transparency around the hiring practices of leading hotels, the NAACP has issued a call to action for all hotels to begin collecting EEO-1 reports from all of their franchised owners that fall under their corporate umbrella. This level of reporting will allow the hotel corporation to truly evaluate the diversity of their workforce. In addition we are asking all organizations and consumers to request EEO-1 Forms when vetting hotels for conferences and other major events. While hotels are not legally required to disclose their EEO-1 reports to the public, transparency should never be a problem for businesses that have nothing to hide. We have evaluated the top 100 cities and listed on our website, workforce data for each city. This information will allow you to compare the hotels EEO-1 report data against the workforce average for the city. The EEO-1 Form (sample on page 8), a federal requirement for private sector businesses with over 100 workers, records internal diversity data on nine EE0-1 job categories (sample report pg 10). They were originally created to address Title VII of the Civil Rights Act of 1964, which prohibits employers from discriminating on the basis of race. WHAT TO DO IF A HOTEL WON T COMPLY When considering a particular hotel to host an event, and they refuse to provide you with a copy of their EEO-1 data we are asking you to consider another hotel property to do business with. Please report the non-complying hotel to the NAACP at odreport@naacpnet.org WHY DIVERSITY & INCLUSION IS IMPORTANT Bridging racial economic inequality is fundamental to strengthening the future of America s economy. The racial wealth divide in both the United States and abroad boils down to access. Millions of women and men around the world continue to be denied access to jobs and training and are paid low wages unable to afford a sustainable lifestyle. With economic security being inextricably linked to sustainable jobs and advancement opportunities, economics has been one of the cornerstones of the NAACP agenda since its inception. In the late 1980 s the NAACP monitored and evaluated diversity and inclusion of America s largest industries, particularly where African Americans constitute a sizeable consumer base. This year, we will celebrate the 50th Anniversary of the March on Washington for Freedom and Jobs. The leaders who spoke on that historic day (August 28, 1963) challenged our nation and told the world of their dream for jobs, freedom and justice. Their thunderous and majestic words continue to inspire our work today. Former head of the NAACP, Roy Wilkins said We want employment and with it we want the pride and responsibility and self-respect that goes with equal access to jobs. To that end, The NAACP Opportunity & Diversity Report Card: Hotel & Resort Industry is one of the advocacy tools we are using to elevate the need for greater diversity and opportunities for African Americans in corporate America. For the last 50 years African Americans unemployment has remained at about twice the rate of unemployment for white Americans, in this 21st century these old divides must be bridged. The battle for full inclusion and diversity must be won before we can realize a strong economic future for all.

3 THE FUTURE OF THE HOTEL AND RESORT INDUSTRY The hotel industry comprises one of the largest service sectors in the country, with two out of three (65%) industry employees working in service-related posts. Experts predict that the 21st-century economy will be largely driven by the service sector, which already accounts for three-fourths of all jobs in the United States. Given its projected influence, the hotel industry could play a major role in revitalizing the American workforce if it resolves to improve policies around equal workplace opportunity, promotion, and supplier diversity. If the hotel industry would strengthen career pathways to stronger wages, affordable healthcare, job security, and other benefits that do not typically come with service-sector jobs, the industry can put the middle class within reach for communities with a history of disenfranchisement and exclusion. The following chart compares the diversity of the hotel and resort industry workforce against the diversity of the general population, providing a context to the grades assigned to each corporation. INDUSTRY AVERAGES RELATIVE TO POPULATION African Americans Governing Body 8% 13% Workforce Diversity Top Management 4% 19% Mid/Lower Management 9% 31% Highly Skilled 12% 46% Semi-skilled 17% 47% Unskilled 19% 63% Employee Transition New Hires 17% 56% Promotions 12% 36% Supplier Diversity 1% 6% Property Ownership/Mgt. 2% 17% People of Color Red numbers indicate inclusion at levels below the working age population. Green numbers indicate inclusion at levels equal to or higher than the working age population.

4 HOW TO EVALUATE A HOTEL S EEO-1 REPORT After receiving a copy of the EEO1 report (Section D) from a hotel examine the Employment Data. Here, you will find a table that details the hotel s workforce broken down by job categories and race/ethnicity. 1. The leftmost column, Job Categories lists the 10 different job category types. For the most part, the higher status, higher paid positions are toward the top of the chart and the lower paid, lower status positions are toward the bottom of the chart. The status level of each of the job categories is as follows: The top positions are the Official and Managers positions, with Executive/Senior Level Officials and Managers (Row 1) being the highest positions and First/Mid-Level Officials and Managers (Row 2) just below that. Below the official and managers in status are the highly skilled positions, which include Professionals (Row 2), Technicians (Row 3), and Craft Workers (Row 6). The next level consists of the semi-skilled positions, which includes Sales Workers (Row 4), Administrative Support Workers (Row 5), and Operatives (Row 7). Finally, the lowest level positions, which are the most common at most hotels, are the unskilled workers positions, which consist of Laborers (Row 8) and Service Workers (Row 9). In Row 10, the category of Total includes all of the employees at that location, which is a summary of all of the workers at that location, regardless of job category. ANALYZE THE DATA To determine the number of African Americans working at the hotel establishment, add the total number of Black or African American males found in Column D (total 1-9 category) with the number of Black or African American females found in Column J. For example if for the job category Executive/Senior Level and Managers officials there are 4 Black African American males (column D) and 3 for Black or African American females (column J), then we know the total Black or African Americans for Executive/Senior Level and Managers officials is 7 (columns D +J). To determine the percentage of African Americans, divide the total number of African Americans (column D + column J = total African Americans) into the total, which is available in the far right column Total Col (Column O). For example if the number of Black or African American males and females for the job category Executive/ Senior Level and Manager Officials is 7 (columns D + J) and the total number for all races and ethnicities male and female is 32 (column O), then you would divide 7 (the total of columns D and J) by 32 (column O). This would get you which you should round to.22 or 22%. So Black or African American males and females for the job category Executive/Senior Level and Manager Officials is 22%. To determine the percentage of people of color add up all the columns for both men and women for Hispanic or Latino, Black or African American, Native Hawaiian or Other Pacific Islander, Asian, American Indian or Alaskan Native, and Two or more races. These entail Columns A, B, D, E, F, G, H, J, K, L, M, and N. Divide this sum into the total (in Column O). For example if columns A, B, D, E, F, G, H, J, K, L, M, and N for a particular job category equal 79 and the total number of all employees in this job category equaled 232 (column O) then you divide 79 by 232. This equals You would round this to.34 and have 34% of the employees for this particular job category is people of color.

5 (Tip: Another way to get the number of employees of color that requires less work is to subtract White men (Column C) and White women (Column I) from the total (Column O). This number is the number of people of color!) Now that you ve created percentages for African Americans and people of color for each job category and the total workforce, what should you do? 1. Look at the percentages. Overall, do they look diverse, less diverse, or somewhere in between? Are African Americans and other people of color highly represented in lower level positions but poorly represented in higher level positions, as is often the case? For those of you who live near medium or larger metro areas, you can use our hotel and lodging diversity data for the largest 100 cities. DIVERSITY DATA FOR THE 100 LARGEST METROPOLITAN AREAS To find your city, you can search alphabetically by city name through the document. Keep in mind that your nearest city might be listed under the name of a larger city in the nearby area, even if it is across a state border. For example, Camden, NJ is listed under Philadelphia, PA. To assess how a hotel property is doing, you can compare it to its peers in the local area. If you are thinking of doing business with a single hotel, perhaps one that you have already used in the past, you can use the diversity data of the 100 largest metropolitan areas to see if their diversity practices are in line with your region. If you use or are considering using multiple hotels, you can compare their different diversity and inclusion data as part of your decision making process. If your location is not listed, your location may not have enough lodging properties for an industry average to be published. You can still compare the percentages to a figure that makes sense, such as the closest Metropolitan area or the national diversity figures shown on page 4.

6 SAMPLE EEO-1 REPORT NAACP FINANCIAL FREEDOM CENTER th Street, NW Washington, DC

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A Better, More Diverse Senior Executive Service in 2050 Al Behrman/AP Photos AGENCY/PHOTOGRAPHER The Center for American Progress is a nonpartisan research and educational institute dedicated to promoting a strong, just and free America that ensures opportunity