Achieving the ideals of stakeholder capitalism requires a comprehensive restructuring of “the way things are.” Take, for instance, how companies value their employees—it’s not equitably. Must we repeat the tired fact that women earn only 82 cents for every dollar white men earn? And that for women of color, the pay gap is even worse, with Black women earning 62 cents and Latinas earning 54 cents on the white male dollar?
Doing right by all stakeholders means paying workers equitable wages. And that means business leaders must hardwire equity and inclusion into the value systems they use to determine employee pay. While this change won’t happen overnight, pay equity legislation can expedite the path forward. In turn, businesses can look forward to reaping the benefits of a more diverse, equitable, and inclusive workforce, and our economy can look forward to an accelerated recovery.
That’s why the U.S. needs to follow in the footsteps of countries such as Iceland, France, and Canada and adopt decisive pay equity legislation. We need infrastructure to bridge the gap between good intentions and tangible progress. Read more via Fortune