Introduction to Management
Lecture 3: The Environment of Diversity
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Last Session…
Management theory –how it applies to contemporary & socially responsible practices
Classical viewpoint
Scientific Management
Administrative Management
Behavioural viewpoint
Early Behaviourism
Human Relations Approach
Behavioural Science
Quantitative viewpoint
Modern perspectives
Contingency Theory
TQM – e.g., Toyota
Learning organisation –e.g., Accenture
What can we learn from classical viewpoint? To be an effective manager today, can we still subscribe to classical managerial thinking?
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KEY QUESTIONS FOR THIS WEEK
What is diversity? How is it linked to both personality and organisational behaviour?
Why is it important for managers to understand and embrace diversity to create an inclusive workplace culture?
In what ways can managers develop cultural intelligences?
What is the link between values, attitudes, behaviours and organisational behaviour?
Introduction to Management
What is management?
Managing in the Digital Workplace
The Origins of Management
The Environment of Diversity
Challenges of Managerial Communication
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Diversity (People’s similarities & differences)
Diversity Management:
Managing employees’ similarities & differences
“…..creates an environment that allows all employees to contribute to organisational goals and experience personal growth” (Kramar et al.2017, p. 286).
Diversity:
Copyright Didrik Johnck/Corbis
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Some management in the news:
Nearly a third of Australians perceived some form of age-related discrimination while employed or looking for work, starting as early as 45 years of age. That’s according to a Centre for Workplace Excellence study at University of South Australia from 2017.
Succession-related views, “Most older people don’t know when to make way for younger people”
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Singapore a "super-aged country" - are we doing enough?
IBM sued for age discrimination after firing 20,000 employees
Workplaces still see disability as a barrier to employment
“I can have the best attitude in the whole entire world, but I can’t use that to get up some stairs or across a physical barrier”
http://www.abc.net.au/news/2017-02-17/people-with-disability-locked-out-of-employment-advocates-say/8278258
Management in the news:
Copyright Didrik Johnck/Corbis
Why bother managing diversity today?
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Some management in the news:
Nearly a third of Australians perceived some form of age-related discrimination while employed or looking for work, starting as early as 45 years of age. That’s according to a Centre for Workplace Excellence study at University of South Australia from 2017.
Succession-related views, “Most older people don’t know when to make way for younger people”
ABC news reported that age discrimination is happening to employees as young as 45! Worries me! 45 is not that old…but hitting that age or close to that age, you are decresing your training & developmental prospects
Workplaces also still see disability as a barrier to employment – I can have the best attitude in the whole entire world, but I can’t use that to get up some stairs or across a physical barrier, he said
Why bother managing diversity today?
The business case focuses on economic benefits, firms are still profit-based (priority). Anything that increases that competitive advantage is good!
Ethical/ideological case: Recent shifts in societal expectations placed on how firms should operate (spoke about this with the topic of CSR last week). Popular perception of an ethical company. E.g., ‘Thank you’ company?
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Can be in different terms:
Personality
Culture
Gender
Ability/disability
Sexual orientation
Age
Marital status
Diversity:
Copyright Didrik Johnck/Corbis
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People who are different are often treated poorly, marginalized
Society –we don’t define ourselves by what we are but by who they are not, the ‘us’ and ‘them’
Carl Jung– way we define ourselves by what irritates us. Everything that irritates us can lead us to an understanding of ourselves. What angers you about other groups, often it’s something that is tugging inside of you. Psychology of difference. We want to use difference, diversity as a leverage of success
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Can be in different terms:
Personality
Culture
Gender
Ability/disability
Sexual orientation
Age
Marital status
Diversity:
Copyright Didrik Johnck/Corbis
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People who are different are often treated poorly, marginalized
Society –we don’t define ourselves by what we are but by who they are not, the ‘us’ and ‘them’
Carl Jung– way we define ourselves by what irritates us. Everything that irritates us can lead us to an understanding of ourselves. What angers you about other groups, often it’s something that is tugging inside of you. Psychology of difference. We want to use difference, diversity as a leverage of success
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Personality and individual behaviour
Copyright Didrik Johnck/Corbis
Personality
The stable psychological traits and behavioural attributes that give a person his or her identity
Proactive personality
Someone who is more apt to take initiative and persevere to influence the environment
Shutterstock/Mikudun
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How would you describe yourself? Are you outgoing? Aggressive? Sociable? Tense? Passive? Lazy? Quiet? Whatever the combination of traits, which result from the interaction of your genes and your environment, they constitute your personality.
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The Big Five personality dimensions
Extroversion
Outgoing
Talkative
Sociable
Assertive
Agreeableness
Trusting
Good-natured
Cooperative
Soft-hearted
Conscientiousness
Dependable
Responsible
Achievement-oriented
Persistent
Emotional stability
Relaxed
Secure
Unworried
Openness to experience
Intellectual
Imaginative
Curious
Broad-minded
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Extroversion
– how outgoing, talkative, sociable and assertive a person is
Agreeableness
– how trusting, good-natured, cooperative and soft-hearted one is
Conscientiousness
– how dependable, responsible, achievement-oriented and persistent one is
Emotional stability
– how relaxed, secure and unworried one is
Openness to experience
– how intellectual, imaginative, curious and broad-minded one is
In recent years, the many personality dimensions have been distilled into a list of factors known as the Big Five. Current estimates are that approximately 76% of organisations with more than 100 employees now use some sort of pre- or post-hiring assessment, including personality tests, spending more than $500 million annually on such services. Companies use these tests, believing that hiring decisions will be more accurate and predictive of high performers. But are they? We’ll discuss this shortly. Dimensions in the Big Five have been associated with performance, leadership behaviour, turnover, creativity and workplace safety.
From the textbook, do you wonder if your personality has affected your behaviour at work? If students want to know where they stand on the Big Five, they can complete Self-Assessment 10.1.
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Question
Susan loves going to parties, where she talks to everyone there. Susan is probably high in:
Emotional stability
Conscientiousness
Extroversion
Agreeableness
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The correct answer is 'C', extroversion.
Multimedia Lecture Support Package to Accompany Basic Marketing
Lecture Script 6-10
Five traits important in organisations: Self-efficacy
Self-efficacy
Belief in one’s ability to do a task
Learned helplessness
The debilitating lack of faith in one’s ability to control one’s environment
Associated with low self-efficacy
What can managers do?
Give constructive pointers and positive feedback
Create goals that are progressively more challenging
Offer guided experiences, mentoring and role modelling
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Among the implications for managers are the following:
Assign jobs accordingly. Complex, challenging and autonomous jobs tend to enhance people’s perceptions of their self-efficacy. Boring, tedious jobs generally do the opposite.
Develop self-efficacy. Self-efficacy is a quality that can be nurtured. Employees with low self-efficacy need lots of constructive pointers and positive feedback. Goal difficulty needs to match individuals’ perceived self-efficacy, but goals can be made more challenging as performance improves. Small successes need to be rewarded. Employees’ expectations can be improved through guided experiences, mentoring and role modelling.
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Traits important in organisations: Self-efficacy
Self-efficacy –I can do this task!
Belief in one’s ability to do a task
Learned helplessness
The debilitating lack of faith in one’s ability to control one’s environment
Associated with low self-efficacy
What can managers do?
Give constructive pointers and positive feedback
Create goals that are progressively more challenging
Offer guided experiences, mentoring and role modelling
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Among the implications for managers are the following:
Assign jobs accordingly. Complex, challenging and autonomous jobs tend to enhance people’s perceptions of their self-efficacy. Boring, tedious jobs generally do the opposite.
Develop self-efficacy. Self-efficacy is a quality that can be nurtured. Employees with low self-efficacy need lots of constructive pointers and positive feedback. Goal difficulty needs to match individuals’ perceived self-efficacy, but goals can be made more challenging as performance improves. Small successes need to be rewarded. Employees’ expectations can be improved through guided experiences, mentoring and role modelling.
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Traits important in organisations: Self-esteem
Self-esteem – I like myself! Overall self-evaluation
The extent to which people like or dislike themselves
High self-esteem: more apt to handle failure better, emphasise the positive and take more risks
Low self-esteem: tend to focus more on one’s weaknesses, may be more dependent on others
What can managers do?
Reinforce employees’ positive attributes and skills
Provide positive feedback whenever possible
Break larger projects into smaller tasks and projects
Express confidence in employees’ abilities to complete their tasks
Provide coaching when employees are struggling to complete a task
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Some Ways That Managers Can Boost Employee Self-Esteem
• Reinforce employees’ positive attributes and skills
• Provide positive feedback whenever possible
• Break larger projects into smaller tasks and projects
• Express confidence in employees’ abilities to complete their tasks
• Provide coaching whenever employees are seen to be struggling to complete tasks
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Some ways that managers can boost employee self-esteem
Table 10.2 Some ways that managers can boost employee self-esteem
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Traits important in organisations: Self-monitoring
Self-monitoring – I am able/unable to adapt my behaviour to others
The extent to which people are able to observe their own behaviour and adapt it to external situations
High self-monitors are criticised for being chameleons, always able to adapt their self-presentation to their surroundings
Low self-monitors are often criticised for being on their own planet and being insensitive to others
What can managers do?
Provide opportunities for self-monitoring
Review work in progress on a regular basis
Ask employees to use self-monitoring tools
Watch employees work
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Consider the following article, ‘There are Five Ways to Monitor Employee Performance’:
https://www.hr.com/en/app/blog/2010/05/there-are-five-ways-to-monitor-employee-performanc_g9fn9b80.html
It provides additional ways that managers can monitor performance and encourage the development of higher level self-monitoring.
Managers need to be aware of these personality traits to understand workplace behaviour.
Each will be described on the next slides.
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Traits important in organisations: Emotional intelligence
Emotional intelligence – understanding my emotions & emotions of others
Ability to monitor your and others’ feelings, and to use this information to guide your thinking and actions
First introduced in 1909, some claim it to be the ‘secret elixir’ to happiness and higher performance
Moderate associations
Better social relations, wellbeing and satisfaction
Higher creativity
Better emotional control
Conscientiousness and self-efficacy
Self-rated performance
What can managers do?
Help develop awareness of EI level through self-assessments or using the Personal Profile Analysis during interviewing
Encourage focus and learning on areas needing improvement
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Emotional intelligence (EI or EQ) has been defined as ‘the ability to carry out accurate reasoning about emotions and the ability to use emotions and emotional knowledge to enhance thought’.
Recent research underscores the importance of developing higher EI, but it does not confirm its lofty expectations. EI was moderately associated with the above.
Interestingly, EI was not found to be a driver of supervisory ratings of performance.
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The traits of emotional intelligence
1. Self-awareness. The most essential trait. This is the ability to read your own emotions and gauge your moods accurately, so you know how you’re affecting others.
2. Self-management. This is the ability to control your emotions and act with honesty and integrity in reliable and adaptable ways. You can leave occasional bad moods outside the office.
3. Social awareness. This includes empathy, showing others that you care and organisational intuition, so you keenly understand how your emotions and actions affect others.
4. Relationship management. This is the ability to communicate clearly and convincingly, disarm conflicts and build strong personal bonds.
Table 10.3 The traits of emotional intelligence
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Daniel Goleman, a psychologist who popularised the trait of EI, concluded that EI is composed of four key components: self-awareness, self-management, social awareness and relationship management.
How can you raise your EI? (1) Develop an awareness of your EI level, and (2) Learn more about areas needing improvement. Self-assessment 11.2 focuses on EI.
Consider showing this video on ‘conversational’ intelligence (3:21): http://www.viddler.com/embed/56bbc67b/?f
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Values, attitudes and behaviour
Organisational behaviour (OB)
Dedicated to better understanding and managing people at work
Tries to help managers explain and predict work behaviour, so they can better lead and motivate their employees to perform productively
Individual, group behaviour
Figure 10.2 FORMAL AND INFORMAL ASPECTS INFLUENCING BEHAVIOUR IN AN ORGANISATION
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See Appendix 1 at the end of this slide deck for more information on Figure 10.1
If you look at a company’s annual report or at a brochure from its corporate communications department, you are apt to be given a picture of its formal aspects: goals, policies, hierarchy, structure.
Could you exert effective leadership if the formal aspects were all you knew about the company? What about the informal aspects—values, attitudes, personalities, perceptions, conflicts, culture? Clearly, you need to know about these hidden, ‘messy’ characteristics as well.
The informal aspects are the focus of the interdisciplinary field known as organisational behaviour (OB).
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Values and attitudes
Values - what is considered right/wrong?
Abstract ideals that guide one’s thinking and behaviour across all situations
Attitude – belief & feelings about certain things
A learned predisposition toward a given object
Directly influence our behaviour
Copyright Bob Goldberg Feature Photo Service/Newscom
Service day. IBM employees in New York City work with NYC CoolRoofs to try to reduce energy usage and lower greenhouse gases.
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Job satisfaction is moderately associated with performance and strongly related to turnover. Unhappy workers are less likely to demonstrate high performance, while happy workers are less likely to quit. This is why it is important for managers to track employees’ attitudes and to understand their causes.
In the photo: IBM employees in New York work with NYC CoolRoofs to try to reduce energy usage and lower greenhouse gases (see example: ‘How values and attitudes affect behaviour: thinking beyond profit to create value for society’).
IBM celebrated its 100th anniversary in June 2011 by offering a global service day, with 300 000 IBM employees signing up to perform 2.6 million hours of service to the world.
In West Africa Procter & Gamble set up Pampers mobile healthcare clinics.
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Three components of attitudes
How do you feel about companies underpaying vulnerable employees? (Affective)
What do you think about companies underpaying vulnerable employees? (Cognitive)
What do you intent to do if you were an employee being underpaid? (Behavioural)
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Please feel free to use a different and more 'local' example - perhaps this? https://edition.cnn.com/2018/02/24/asia/singapore-migrant-workers-intl/index.html
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Three components of attitudes
Affective: ‘I feel’
Feelings or emotions one has about a situation
Cognitive: ‘I believe’
Beliefs and knowledge one has about a situation
Behavioural: ‘I intend’
How one intends or expects to behave toward a situation
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All three components are often manifested at any given time. For example, if you call a corporation and get one of those telephone-tree menus (‘For customer service, press 1 . . .’) that never seem to connect you to a human being, you might be so irritated that you would say:
1. ‘I hate being given the runaround.’ [affective component—your feelings]
2. ‘That company doesn’t know how to take care of customers.’ [cognitive component—your perceptions]
3. ‘I’ll never call them again.’ [behavioural component—your intentions]
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Question
The statement, 'I am never going to eat at this restaurant again', reflects the ________ component of an attitude.
Behavioural
Decisional
Cognitive
Affective
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The correct answer is 'A', behavioural.
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Lecture Script 6-22
Globe Leadership Survey
How Culture Affects Leadership Style
and Employee Expectations
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Culture
It is largely unconscious mental constructs we use to make sense of the world
Learned & shared
General principles NOT rules
Wide variations within any society
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Dimensions of Culture (The GLOBE study)
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SOURCE: Adapted from House, R.J., Hanges, P.J., Javidan, M., Dorfman, P. W., & Gupta, V., Culture, Leadership, and Organizations: The GLOBE Study of 62 Societies, copyright © 2004, Sage Publications, Inc. Reprinted with permission.
Cultural Clusters Classified on Cultural Dimensions
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Dimensions of Culture (The GLOBE study)
Uncertainty Avoidance – How much to rely on social norms & rules to avoid uncertainty?
Extent to which a society, organization, or group relies on established social norms, rituals, and procedures to avoid uncertainty
Ex. Germany (High): value orderliness, structure, consistency; Hungary (Low): tolerance for ambiguity
2. Power Distance – How much unequal distribution of power?
Degree to which members of a group expect and agree that power should be shared unequally
Ex. HK (High): expectation of obedience; US/AU (Low): more consultative
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Dimensions of Culture (The GLOBE study)
3. Institutional Collectivism – How much to encourage & reward loyalty to social unit?
Degree to which an organization or society encourages institutional or societal collective action
Ex. Singapore (High): stress self-sacrifice for collective good, reward group rather than individual; Hungary (Low): stress individual freedom, individual rewards
4. In-Group Collectivism – How much pride & loyalty should people have for family or org?
Degree to which people express pride, loyalty, and cohesiveness in their organizations or families
Ex. Many Confucian cultures (High): hold the concept of family in high regard -> multi-generational household etc. on-site childcare less valued?
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Dimensions of Culture (The GLOBE study)
5. Gender Egalitarianism – How much should society max gender role differences
Degree to which an organization or society minimizes gender role differences and promotes gender equality
Ex. Sweden (High): men and women share power equally. Extensive welfare system allows both genders to balance work and family life
6. Assertiveness – How confrontational & dominant should individuals be in social relationships
Degree to which people in a culture are determined, assertive, confrontational, and aggressive in their social relationships
Ex. Germany (High): managers use straightforward and direct language; conflict and confrontational discussion are acceptable workplace behaviors
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Dimensions of Culture (The GLOBE study)
7. Future Orientation – How much should people delay gratification by planning & saving for future?
Extent to which people engage in future-oriented behaviours such as planning, investing in the future, and delaying gratification
Ex. Singapore (High): more time on systematic planning, long-term horizon; Russia (Low): less systematic planning, more opportunistic manoeuvres
8. Performance Orientation – How much should individuals be rewarded for improvement & excellence?
Extent to which an organization or society encourages and rewards group members for improved performance and excellence
Ex. High: emphasise training & development
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Dimensions of Culture (The GLOBE study)
9. Humane Orientation – How much should society encourage & reward people for being kind, fair, friendly & generous?
Degree to which a culture encourages and rewards people for being fair, altruistic, generous, caring, and kind to others
Ex. Malaysia/ Indonesia (High): value belonging at workplace, the paternalistic organisation; Germany (Low): emphasis on independence, solving own problems
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SOURCE: Adapted from House, R.J., Hanges, P.J., Javidan, M., Dorfman, P. W., & Gupta, V., Culture, Leadership, and Organizations: The GLOBE Study of 62 Societies, copyright © 2004, Sage Publications, Inc. Reprinted with permission.
Dimensions of Culture (The GLOBE study)
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SOURCE: Adapted from House, R.J., Hanges, P.J., Javidan, M., Dorfman, P. W., & Gupta, V., Culture, Leadership, and Organizations: The GLOBE Study of 62 Societies, copyright © 2004, Sage Publications, Inc. Reprinted with permission.
Characteristics of Clusters
Characteristics include
Anglo – competitive and result oriented
Confucian Asia – result driven, encourage group working together over individual goals
Eastern Europe – forceful, supportive of co-workers, treat women with equality
Germanic Europe – value competition & aggressiveness and are more result oriented
Latin America – loyal & devoted to their families and similar groups
Dimensions of Culture (The GLOBE study)
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SOURCE: Adapted from House, R.J., Hanges, P.J., Javidan, M., Dorfman, P. W., & Gupta, V., Culture, Leadership, and Organizations: The GLOBE Study of 62 Societies, copyright © 2004, Sage Publications, Inc. Reprinted with permission.
Characteristics of Clusters
Characteristics include
Latin Europe – value individual autonomy
Middle East – devoted & loyal to their own people, women afforded less status
Nordic Europe – high priority on long-term success, women treated with greater equality
Southern Asia – strong family & deep concern for their communities
Sub-Saharan Africa – concerned & sensitive to others, demonstrate strong family loyalty
Dimensions of Culture (The GLOBE study)
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Diversity in Organisations
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Diversity in Organisations
Diversity describes differences in race, gender, age, ethnicity, physical ability, culture and sexual orientation, among other individual differences.
Inclusivity; The degree to which the organisation is open to anyone who can do the job, regardless of their diversity attributes. The ‘best’ organisational cultures in this sense are inclusive because they value the talents, ideas and creative potential of all members.
Source: https://www.pinterest.com.au/pin/14073817569161759/
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Diversity and multicultural organisations
Diversity includes mainly age, race, ethnicity, gender, physical ability, disability, personality, culture and sexual orientation. But workplace diversity is a broader issue still, also including such things as religious beliefs, education, experience and family status, among others.
A key issue in the culture of any organisation is inclusivity — the degree to which the organisation is open to anyone who can perform a job, regardless of race, sexual preference, gender or other diversity attribute.
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The diversity wheel
Figure 10.3 THE DIVERSITY WHEEL Four layers of diversity
Source: Adapted from Diverse teams at work by Lee Gardenswartz and Anita Rowe. Copyright 2003, Society for Human Resource Management, Alexandria, VA
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See Appendix 3 at the end of this slide deck for more information on Figure 10.3
To help distinguish the important ways in which people differ, diversity experts Lee Gardenswartz and Anita Rowe have identified a ‘diversity wheel’ consisting of four layers of diversity.
Personality is the stable physical and mental characteristics responsible for a person’s identity.
Internal dimensions are those human differences that exert a powerful, sustained effect throughout every stage of our lives: gender, age, ethnicity, race, sexual orientation, physical abilities.
External dimensions consist of the personal characteristics that people acquire, discard or modify throughout their lives: educational background, marital status, parental status, religion, income, geographic location, work experience, recreational habits, appearance, personal habits.
Organisational roles include management status, union affiliation, work location, seniority, work content, and division or department.
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Diversity Trends
Diversity trends include the following:
People from a non-English-speaking background
More women
People with disabilities / different abilities
Many come from non-traditional families (e.g. single parents).
Average age is increasing
Sexual orientation & Gender diversity
Educational levels including skill shortages and youth unemployment
Source: https://www.diplomaticourier.com/2016/06/10/understanding-leveraging-trends-will-change-business-conducted/
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There are many important diversity trends in the sociocultural environment of organisations. These include:
People from a non-English-speaking background are an increasing percentage of the workforce.
More women are working.
People with disabilities are gaining more access to the workplace.
Workers are increasingly from non-traditional families (e.g. single parents, dual wage earners).
Average age of workers is increasing.
Diversity of workers’ religious beliefs is increasing.
https://www.youtube.com/watch?v=jD8tjhVO1Tc
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Diversity and the Inclusion Framework
The Inclusion Framework developed by Shore et al (2011) defines four levels of inclusion-exclusion, starting from exclusion and progressing to assimilation, differentiation and finally inclusion.Table 1: Inclusion Framework
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Shore et al (2011) argues that inclusion is the degree to which a person perceives they are an esteemed member of a dyad through experiences that satisfy their need for belonging and uniqueness. Individuals feel they are accepted and respected by others and treated as insiders. Inclusion leads to diverse individuals actively participating and contributing to the overall group outcomes. Inclusion requires the individual to feel they are present, visible, have a voice and are appreciated by their peers and superiors. Therefore, one’s degree of inclusion and/or exclusion is conceptualised as a continuum of the degree to which an individual feels they are a part of critical organisational processes. The greater the sense of inclusion the greater the level of satisfaction, organisational commitment and the experience of individual wellbeing and task effectiveness.
Shore, L.M., Randel, A.E., Chung, B.G., Dean, M.A., Halcombe Ehrahart, K., & Singh, G. (2011). Inclusion & diversity in work groups: A review and model for future research, Journal of Management, Vol. 37, No. 4, pp. 1262–1289. Retrieved from https://lms.rmit.edu.au/bbcswebdav/pid-8479458-dt-content-rid-19955057_1/courses/BUSM4500_1750/Shore-inclusion%20JOM.pdf
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Challenges Faced by Minority Groups and Women
Minority-group workers can be the targets of:
A lack of sensitivity
Sexual harassment
Culturally derogative ‘jokes’
Discrimination
In Australia, various national and state laws cover equal employment opportunity and anti-discrimination in the workplace.
Source: http://thehoneycombers.com/singapore/international-womens-day-empowering-women-singapore-global/
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The daily work challenges faced by minority cultures or populations in organisations can range from having to deal with misunderstandings and lack of sensitivity on the one hand to suffering harassment and discrimination, active or subtle, on the other. Sexual harassment in the form of unwanted sexual advances, requests for sexual favours, and sexually laced communications is a problem female employees in particular may face.
Minority-group workers can also be targets of cultural jokes.
Minority-group members may also face job discrimination. Discrimination against pregnant women is one issue.
All parties to the employment relationship should be well informed about their rights and responsibilities with regard to workplace discrimination. In Australia, various national and state laws cover equal employment opportunity and anti-discrimination in the workplace.
https://www.rmit.edu.au/media-objects/multimedia/video/staff-site/vc-respect-now-always-update-july-2018