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The drinks industry makes strides in diversity and inclusion

The drinks industry makes strides in diversity and inclusion

July 11, 2022
Frankie Harding & Kylie Le Lievre

The Embrace Difference Council reports on industry progress in D&I using data from the third iteration of the scorecard

The Workplace Gender Equality Agency (WGEA) is an Australian Government statutory agency created by the Workplace Gender Equality Act 2012 and charged with promoting and improving gender equality in Australian workplaces.

For the past three years, the Embrace Difference Council has created a scorecard for the drinks industry based on the WGEA data provided by its 20 member companies. Since the Council launched the first gender scorecard in 2019, it has been used to drive measurable change across the industry.

CEO Georgia Lennon says, “The Drinks Association is tasked with making the drinks industry an industry of choice for the most talented and ambitious candidates. Compared to the broader Australian business sector (all industries), WGEA data shows the drinks industry is achieving above the industry average in 7 out of 8 diversity and inclusion policies. Our sector’s growth in diversity and inclusion is very exciting, as we know that equitable, diverse, and inclusive workplaces attract the best talent.

“The See Difference team has worked so hard to create what are now indispensable industry tools in the scorecard and toolkit, enabling businesses to reflect on their individual performance as well as comparing themselves to the industry as a whole. Our great thanks to all who have contributed to creating these important assets.”

The scorecard gives Drinks Association member companies visibility of the data and insights into where their business sits in relation to the wider industry. Overall, the results of the 2022 Scorecard demonstrate that the drinks industry as a whole is making significant progress toward improving equity, diversity, and inclusion.

Data from FY 2020-2021 shows that 80 per cent of Drinks Association members have taken steps to review the gender pay gap within their organisations, and almost 60 per cent reported growth in female representation at a management level.

Of the Drinks Association’s member companies:
• 95 per cent now have diversity and inclusion policies regarding recruitment and remuneration
• 90 per cent have introduced flexible working policies
• 85 per cent of companies have paid parental leave policies in place, with this extending to secondary carers leave among 75 per cent of Drinks Association member companies.

These figures indicate that the industry is taking a more inclusive approach to balancing family and working life.

The 2022 Scorecard reveals three industry highlights since the first scorecard was released in 2019.

1. Thirty-three per cent increase in businesses taking action to address the gender pay gap.

 WGEA data shows that 80 per cent of Drinks Association members undertook pay gap analysis during FY2021, up from 47 per cent in FY2018. This is significantly higher than other Australian workplaces, with just 51.5 per cent of those undertaking gender pay gap analysis.

By the end of FY2021, of those that undertook a pay gap analysis, 94 per cent of them went on to take action to close that gap, compared to 71 per cent that did so in by the end of FY2018.

WGEA identifies 12 actions that can be taken to address gender remuneration gaps, beginning with identifying causes of gaps and setting an action plan.
The scorecard highlights that drinks companies are at different stages of their journeys. Some have undertaken one or two actions while othes have addressed all 12.
The most common actions undertaken by the drinks industry in 2021 to address these gaps were:
• identifying the cause
• reporting metrics to the executive/Board of the business and
• reviewing and analysing the methods of performance ratings to eliminate any gender bias.

Wherever the businesses are at, the Drinks Association says that it is pleasing the majority have made a start to improve gender equity.

2. Family and domestic violence support increases by 20 per cent.

Today, 80 per cent of all member companies have a policy or strategy to support employees experiencing family or domestic violence, up by 20 per cent since 2020.

3. Improvement in gender balance at the management level.

 Fifty-eight percent of all Drinks Association member companies reported growth in female representation at a management level. The term ‘manager’ is defined by WGEA to include CEO/head of business, Key Management Personnel, other executives/general managers, senior managers, and managers with direct responsibility for an operational function. Thirty-two per cent of member companies reported an increase in female appointments to the business.

The Embrace Difference Toolkit
The Embrace Difference Scorecard helps companies identify areas for focus and improvement, while the Embrace Difference Toolkit provides a framework and resources to help them get there. These tools can help companies advance their journey, beginning with improving gender equity and progressing beyond gender to embedding D,E & I within workplace culture.

Angela Burgum from Treasury Wine Estates says, “The scorecard metrics exist to find an issue, not just to measure averages. It’s an approach we accept every day when we run our businesses; we review the metrics, find the issue, and then use the metrics to take action and drive improvement.”

The first stage of using the toolkit is a maturity matrix so companies can assess their current position across four levels: Foundation, Curious, Motivated, and Integrated.

Each level of the Toolkit comes with practical resources which can be easily integrated into any business. As the drinks industry expands its diversity and inclusion initiatives beyond gender, the hope is that companies will use the toolkit to progress through the levels.

LEVEL 1 - Foundation: Sets the basis for a D&I strategy by implementing policies to provide a solid start to the organisation's journey. The Foundation level includes standard gender equity, parental leave and domestic abuse policies that can be tailored to the individual company.
The Drinks Association’s ambition is to see all member companies adopt key inclusion policies and actions. It is pleasing to see most member companies are doing just that.

Member companies can access the Toolkit and Scorecard by contacting Kylie Le Lievre.

Photo with thanks to Australian Vintage Limited.

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