Jun 8, 2021 - Economy & Business

Report: Corporate boards tapping limited circle of executives of color to fill open slots

Data: Deloitte and the Alliance for Board Diversity; Chart: Will Chase/Axios

Corporate boards are getting less white and male, but companies are "recycling" to achieve the feat — i.e., tapping a limited circle of executives of color to fill open slots.

Why it matters: In some cases, more diversity came "by recycling ... existing Fortune 500 board members rather than bringing in new individuals with different skills, backgrounds, and perspectives," according to a report out Tuesday by Deloitte and the Alliance for Board Diversity.

  • Roughly 36% of board seats held by people of color were occupied by executives on several boards last year. That doesn't account for involvement on boards outside the Fortune 500.
  • Two out of every five Black board members belong to several boards.
  • Hispanic/Latina women serve on roughly 1.3 Fortune 500 boards. Compare that to white men, who serve on an average of 1.1.

Sober stat: No Fortune 500 corporate boards are representative of U.S. demographics.

See the report.

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