What is a diversity hire?
A “diversity hire” is someone recruited through a fair and inclusive hiring process that encourages people from different backgrounds to apply. It does not mean lowering standards or hiring someone just to tick a box.
In the UK, diversity hiring focuses on equal opportunities, reducing unconscious bias, and building a workforce that better reflects society and customers.
Why do businesses focus on diversity hiring?
Businesses focus on diversity hiring because different perspectives often lead to stronger ideas, better problem-solving, and wider customer understanding.
Research by McKinsey & Company found that companies with more diverse leadership teams were more likely to outperform financially.
For UK SMEs, inclusive recruitment can also widen the talent pool, improve retention, and help reduce unconscious bias in hiring.
Simply put, a workplace where different people feel welcome is often more creative, adaptable, and appealing to both staff and customers.
How does diversity hiring work in practice?
Diversity hiring works by making the recruitment process fair, accessible, and inclusive for more people. Businesses often review each hiring stage to reduce unconscious bias and widen the talent pool.
Common diversity hiring practices include:
- Writing clear, inclusive job adverts
- Removing biased wording from job descriptions
- Using structured interview questions for every candidate
- Advertising roles beyond the usual networks
- Using blind CV screening to focus on skills and experience
Common misconceptions about diversity hiring
There are quite a few myths around diversity hiring, and most miss the point entirely.
Common misconceptions include:
- “It means hiring less qualified people.” Diversity hiring still focuses on skills, experience, and suitability for the role. The aim is fair access, not lowering standards.
- “It’s only about race or gender.” Diversity in the workplace also includes age, disability, background, religion, and different ways of thinking.
- “It’s just a box-ticking exercise.” Smaller businesses often benefit hugely from wider perspectives and access to broader talent pools.
Diversity hiring and UK law - what to know
In the UK, diversity hiring must follow the Equality Act 2010, which protects people from discrimination based on characteristics such as age, disability, race, religion, sex, and sexual orientation.
Employers should focus on equal opportunity hiring and fair recruitment processes for all candidates.
Positive action is allowed in some situations - for example, encouraging underrepresented groups to apply - but hiring someone purely because of a protected characteristic can cross legal lines.
The key is simple: recruit fairly, assess consistently, and base decisions on merit and suitability for the role.
How to measure diversity hiring success
Diversity hiring success is not just about numbers on a spreadsheet. Businesses should look at whether recruitment is becoming fairer, wider-reaching, and more inclusive over time.
Useful things to measure include:
- Diversity across applicants and new hires
- Interview-to-hire rates between groups
- Employee retention and promotion rates
- Staff feedback and inclusion surveys
- Representation in leadership roles
If people from different backgrounds are joining, staying, and progressing fairly, your inclusive recruitment efforts are likely moving in the right direction.
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