By Tom Gresham
A new survey sheds light on how diversity, equity, inclusion and belonging (DEIB) initiatives are taking root in the senior living industry, demonstrating not only ways the field has evolved but where opportunities for growth remain.
The second Senior Living Diversity, Equity, Inclusion and Belonging Survey, which was conducted by Ferguson Partners and sponsored by the Senior Living DEIB Coalition, provides important benchmarking information for senior living firms looking to establish or improve their DEIB programs. The Senior Living DEIB Coalition is a partnership among Argentum, American Seniors Housing Association (ASHA) and the National Investment Center for Seniors Housing & Care (NIC). This coalition is committed to promoting diversity, equity, inclusion and belonging within the seniors housing industry. The second survey aims to continue to track the industry’s progress in addressing DEIB initiatives.
Among the key findings of the survey is that 40% of participants have a formal DEIB program (up 13 percentage points from last year), while another 37% have implemented some DEIB initiatives or policies. Also notable was that survey participation increased 36% – from 44 to 60 companies – indicating that more owners and operators are prioritizing DEIB initiatives to meet their organization’s strategic goals.
The results show both an increasing understanding of the value of DEIB efforts and notable room for improvement.
“Although there is still more work ahead, it is important to acknowledge and appreciate the progress that has been made so far,” said James Balda, President and CEO, Argentum. “It is exciting to note that this year’s survey showed an increase in the percentage of companies with formal DEIB programs, from 27% to 40%, which indicates a growing recognition within the industry of the importance and positive impact of promoting diversity, equity, inclusion and belonging among employees and residents. A formal DEIB program is an important step to foster a culture of diversity, equity, inclusion and belonging which also bolsters employee engagement.”
The survey helps to identify some critical gaps within the industry. For instance, 46% of senior living professionals overall are people of color, but people of color make up just 14% of those in executive management, 18% of senior-level-employees and 26% of mid-level employees. Similarly, people of color comprise 55% of community staff – and 25% of community management. Also eye-catching is that 73% of senior living professionals are women compared to only 50% of executive managers.
In senior living, Dionna Johnson Sallis, head of diversity, equity and inclusion for Ferguson Partners, said that “we know that the higher that you go, the less representation there is.”
In order to unearth staffing trends, the survey examined the hiring, retention and promotion of mid-level professionals within the industry. Of particular note is that women who are persons of color are leaving their jobs at a much higher rate than they are being promoted – 20% to 9% – in contrast to other demographics, particularly white men who were promoted (30%) at a significantly higher rate than they departed (22%).
As a sign that senior living is looking to improve in that area, 95% of survey participants said they are taking steps to increase retention and/or the promotion rates of underrepresented groups. Sallis said those ongoing efforts are among the most positive results of the survey.
“Organizations should establish a holistic vision for what they are trying to achieve through their DEIB efforts,” the report said. “It is time to move beyond the focus of just recruiting diverse talent. Companies must foster inclusive work environments that provide a sense of belonging, so that they can retain the talent that they work hard to attract.”
Sallis noted that people who leave companies are more likely leaving their managers rather than their CEOs. “For executives, the challenge is working to develop culturally competent leaders within their organizations who demonstrate empathy and awareness and who understand the differences within their team – all while seeking to use their position to empower all the members of their teams,” Sallis said. “As senior living leaders strive to bolster their DEIB efforts, they will want to avoid those efforts being ‘frozen in the middle’ and never cascading down from the C-suite throughout an entire organization,” Sallis said.
Sallis noted that the more inclusivity is practiced in every facet and level of an organization and the more organizations strive to help foster a sense of belonging, it will strengthen recruiting of like-minded talent. While major initiatives and cultural shifts are necessary to improve DEIB conditions in senior living, Sallis said leaders also can take smaller steps to help foster a culture of belonging that can have an impact throughout an organization.
“It could be having a conversation, it can be making oneself approachable, it can be operating in the spirit of service leadership,” Sallis said. “All small, small things that have a lasting impact and will help provide a sense of belonging. We always say it starts at the top.”
Organizations surveyed shared what dimensions of diversity are addressed in their initiatives. The most frequently cited dimensions included race/ethnicity (98%), gender (91%), sexual orientation (89%) and age (83%). Socioeconomic background (50%), mental health condition (48%) and mental or cognitive disability/neurodiversity (41%) were less commonly addressed.
“The survey results give us a market overview of how the senior living industry is addressing DEIB in 2023,” said David Schless, President & CEO of the American Senior Housing Association. “The data collected provides valuable insights into current industry trends, best practices and areas of improvement for those looking to further their DEIB efforts.”
Survey participants represented a wide range of organizations, including a variety of sizes, property portfolios and business certifications – allowing for the examination of trends across the industry as a whole. The largest contingent of firms, 40%, fell in the range of between 1,000 and 4,999 employees, while the second largest at 32% had fewer than 250 employees. Sixty-six percent of the surveyed companies were operators, and another 30% were owners – the remaining 4% were industry vendors or debt providers/lenders.
The survey provided some insight into how senior living companies approach DEIB structurally. Only 7% of respondents have a dedicated DEIB employee who oversees DEIB-related planning. In contrast, 57% of DEIB initiatives are developed by members of the C-suite. However, 52% of those surveyed said that they have a formal DEIB committee responsible for developing, implementing and/or reviewing DEIB strategies or initiatives in some way.
Sallis said one of the most notable challenges that the survey reveals is that DEIB is still a relatively low priority in senior living. For there to be meaningful progress, senior living firms should understand the importance of making sure that their DEIB efforts are tied to their overall business strategy and “not just a box-checking activity,” she said.
“For instance, it’s one thing to have a committee, and it’s another thing to ensure that your committee is supported by executive team members, that your committee has a budget, that your committee has goals and that your committee has a voice,” Sallis said. “It’s about making sure that your efforts are a high priority just like other facets of your business. It should not be a separate thing – DEI needs to be a thread through every facet of an organization – and it should be seen as important as everything else.”
In addition to grounding DEIB in business objectives, Sallis advocates for incorporating DEIB in performance measurement.
“That means that leaders are evaluated on inclusivity and measured on the inclusivity practices of their leadership style of their respective teams,” Sallis said. “Are you hiring diverse members? Are you retaining them? Are you properly evaluating them? Are you not just giving feedback but are you open to receiving it as well?”
Sallis said the survey “provides a line of sight into areas of progress and areas of opportunity.”
“Something that gets missed with surveys is the next step,” Sallis said. “What we don’t want to do is continue to survey our industry year after year with no action plan or implementation of best practices. … What we want to see in tandem with a survey, especially on a topic of this level of importance, is also an action plan for next steps, an action plan for improvement, and leaders saying, ‘Based on this year’s results, these are the things that we want to try to implement. This is what we want to try to improve.’”
Ultimately, the report noted that the organizations within the senior living industry who are adopting a DEIB framework are building “a nurturing environment for a high-achieving workforce.”
“Senior living is about creating communities where everyone feels welcome and valued,” said Ray Braun, President and CEO of the National Investment Center for Seniors Housing & Care. “The results of this survey provide us with a roadmap for furthering our DEIB initiatives and creating an industry that is truly inclusive for all.”
Download a copy of the 2023 Senior Living DEIB Survey Executive Summary to get a comprehensive snapshot on the current state of Diversity, Equity, Inclusion, and Belonging within the senior living industry.
