Workforce Diversity in Minnesota

In a first-of-its-kind study, DEED reached out to Minnesota employers last year to better understand how they are approaching workforce diversity. 

Generally, the study found that larger employers (those with 250 or more workers) are more actively trying to increase racial diversity in their workforces than smaller employers (those with fewer than 50 workers). 

Among the findings:

• 77 percent of large employers are trying to increase racial diversity in entry-level positions, compared with 29 percent of small employers. 

• 78 percent of large employers are working to increase racial diversity in management, compared with 23 percent of smaller employers. 

• About 99 percent of those employing 250 or more workers say they are diverse, compared with 48 percent of employers with fewer than 50 workers. 

• Small employers were much more likely to report not knowing any reasons to increase racial diversity. Large employers, on the other hand, cited an improved work environment or culture and improving racial equity as reasons for increasing racial diversity in their workforces.

The findings raised a number of questions, including: Is there a business case for diversity that can appeal to small employers? Does successful diversity management look different for small employers than it does for large? 

The study’s authors concluded more research will be needed to answer those and other questions about workforce diversity in Minnesota. 

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