Abstract

A considerable body of research substantiating the importance of workforce diversity to public organizations has accrued over the past two decades. However, research on workforce diversity has also been narrow in scope and frequently fails to link diversity to important individual and organizational outcomes. Using data (n = 1,109,134 employees from 500 sub-agencies) collected in three waves (2010, 2011, and 2012) of the Federal Employee Viewpoint Survey (FEVS), this study examines whether (1) increased diversity influences organizational goal clarity, (2) diversity and goal clarity, in turn, influence employee job satisfaction, and (3) diversity management policies influence job satisfaction by clarifying organizational goals for workers. FEVS is administered yearly by the U.S. Office of Personnel Management (OPM) and is designed to assess whether and to what extent federal employees believe the characteristics of successful organizations are present in their agency. Results from a multi-level structural equation model (MSEM) suggest diversity is associated with greater goal clarity and that diversity management policies, by clarifying organizational goals, positively affect job satisfaction. Findings also indicate that the type of diversity matters.

Highlights

  • The number of women and minorities in the U.S civilian workforce has increased considerably over the past sixty years

  • This paper focuses on the relationships between workforce diversity, goals, and job satisfaction, it is important to rule out plausible alternative explanations

  • Does increased gender and racial and ethnic diversity affect the perceived clarity of organizational goals? Contrary to expectations, greater racial and ethnic diversity is associated with higher degrees of goal clarity

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Summary

Introduction

The number of women and minorities in the U.S civilian workforce has increased considerably over the past sixty years. Hispanics and Latinos (8.5%), African Americans (10.9%), and Asians (3.7%) constituted roughly 23% of the labor force in 1990 (Toossi 2012a, 2012b); by 2019, these figures had increased to 18% for Hispanics and Latinos, 13% for African Americans, and 6% for Asians, totaling roughly 37% of the civilian workforce (U.S Bureau of Labor Statistics 2020). If these trends continue in the coming decades, the effects of a shifting workforce will likely be pronounced in the public sector for two reasons. Public organizations already employ a sizable percentage of the civilian and non-civilian workforce—approximately 15% of all workers in 2019

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