Majority of employers favour graduates from elite universities, says class inclusion report

DCA says this bias occurs even though there is little evidence of a correlation between an employee’s alma mater and their work performance, according to a recent Harvard Business Review article (paywalled).

Two months ago, DCA, Australia’s leading not-for-profit independent peak body for diversity and includion, released preliminary findings from the report showing that a “class ceiling” saw workers from privileged social classes receiving better career development opportunities than those lower down the class system.

Today’s full report emphasises this class gap, revealing that 21 per cent of “class marginalised” workers reported they were significantly less likely to experience inclusion at work than their “class privileged” peers, of whom only 5 per cent reported the same.

Almost two-thirds (63 per cent) of survey respondents disagreed that “in Australia, anyone can get a job and do well in their career regardless of their class background,” and only 7 per cent agreed that Australia is a class-free society. Many of the workers surveyed said they had changed how they spoke, dressed or presented themselves, even not mentioning their school on their CV, to mask their background.

Regardless of their class, 79 per cent of those surveyed agreed that organisations should take action to address social class exclusion. More than three out of four class-marginalised workers reported that their social class had reduced their access to professional networks, mentors or sponsors.

The practice of filtering prospective employees by their university attendance worked against job seekers who were “class marginalised” because job seekers from middle-class or privileged backgrounds were more likely to have attended an elite university.

According to DCA, one survey participant said they were told they had attended “a country hick” university, while another was rejected from an interview process because the manager said they were “a bit rough for us.”

DCA CEO Catherine Hunter said the report challenged the myth that Australia is a class-free society.

“Your social class shouldn’t determine your career opportunities, yet our research shows class bias still impacts who gets ahead and who is left behind,” she said.

“At a time of rising cost-of-living pressures, skills shortages and economic uncertainty, organisations that allow class to influence hiring not only entrench disadvantage, they risk overlooking valuable talent that can boost productivity and drive recovery.”

Class remains one of the most overlooked areas of workplace diversity and inclusion, DCA reported. While 60 per cent of organisations collect some form of class-related data about their workforce, even if only postcodes and education levels, 86 per cent of those who collect such data admitted class was not being used to inform diversity and inclusion action, it said.

“With economic inequality at a 20-year high, class continues to impact

people’s lives in profound ways, from access to employment, to pay, career progression and professional networks,” Hunter said.

“This new report gives employers an evidence-based framework to understand and address class inequality in the workplace. By focusing on practical actions across recruitment, development, progression and workplace culture, organisations can unlock talent that is too often overlooked and ensure everyone feels included at work.

“Our hope is that Class Inclusion at Work will spark new conversations about class in

Australia and, importantly, inspire workplaces to act so that people from all class

backgrounds can thrive and contribute to a more just and equitable nation.”

More information

More detail on the report is here.

Diversity Council Australia’s website is here.