Press Release No. 17/446

IMF Executive Board Discusses the FY 2016–2017 Diversity and Inclusion Annual Report

November 17, 2017

On July 19, 2017, the Executive Board of the International Monetary Fund (IMF) discussed the FY 2016–2017 Diversity and Inclusion Annual Report.

Background

The annual report is prepared by the IMF’s Diversity and Inclusion Office in consultation with the Inclusion and Diversity Council. The Council is a Fund-wide representative body that provides guidance to management, department heads, and departmental Diversity Reference Groups on diversity-related matters. The report is published annually on the Fund’s external website, and provides an accounting of the institution’s efforts to promote a more diverse and inclusive working environment for all employees.

Executive Board Assessment [1]

Executive Directors welcomed the opportunity to discuss the FY 2016–2017 Diversity and Inclusion Annual Report. They recognized the progress made in staff diversity and inclusion and management’s commitment to achieve the 2020 benchmarks. Directors emphasized that staff diversity and inclusion are important objectives for the Fund and further efforts are needed to meet the 2020 targets so as to reflect fully the Fund’s diverse membership and to enhance the quality of the Fund’s work to better serve its member countries. They also stressed the importance of enhancing gender equity through Economic Dividends for Gender Equality (EDGE) certification. A number of Directors called for refocusing the diversity efforts toward those under represented regions (URRs) where there is evidence of lack of progress and clear risks of not achieving the 2020 benchmarks.

Directors welcomed the progress towards benchmarks for women and staff from URRs, with some even being achieved ahead of the target date. They noted that there are still considerable challenges to ensure that the benchmarks on B level and recruitment of staff from URRs are met, and to further enhance an inclusive culture in the Fund. Some Directors recommended that a review of the experience with B level Diversity Program, which ended in FY2015, could be useful. Directors stressed that regional and gender diversity remain important priorities, while noting that diversity is a broader challenge than meeting the existing benchmarks. They saw a need for stronger efforts to attract people with, for example, diverse educational background, linguistic skills, and professional experience. In addition, continued efforts would be required in order to build a more inclusive culture where all staff feel valued regardless of ethnicity, gender, disability, sexual orientation or religion. Some Directors noted that progress on regional and gender diversity continues to be uneven, and recommended that the strong and determined strategy adopted for gender diversity be also applied to enhance regional diversity. A number of Directors also asked to consider setting a benchmark on hiring of women form URRs.

Directors recognized that Management has raised the accountability of Fund Departments and continues to monitor progress in diversity and inclusion, and appreciated the commitment to keep the Board informed. They called for a stronger and more proactive action plan to ensure tracking meaningful progress towards boosting diversity and inclusion. In this context, Directors urged staff to continue to identify factors that hinder the promotion of diversity and inclusion, and supported full transparency of the recruitment and selection process. They emphasized the need for stronger collaboration between Human Resources Department (HRD) and recruiting departments and ensuring that the composition of hiring interview panels is diverse. A few Directors urged management to empower HRD and the Diversity and Inclusion Office in overseeing the implementation of these measures and providing guidance to each department as appropriate. They also saw merit in benchmarking against other international organizations and leveraging off the expertise of external advisors.

Directors supported the need to strengthen the pipeline through alignment of the diversity and inclusion efforts with the HR strategy, including efforts to enhance onboarding, modernize policies and practices, strengthen talent development both in house and through external hires, and create an inclusive culture. Many Directors expressed concern that the current benefits package may not reflect the needs or expectations of a more diverse workforce and considered the upcoming comprehensive benefits review as an important opportunity to modernize this work. Directors also emphasized that HR rules need to be more flexible, including a well-articulated policy on flexible work arrangements to improve work and family life balance for all staff. Attention should also be given to raising managers’ awareness on diversity related issues and minimizing unconscious biases in recruitment, promotion, and annual performance assessment.

Directors agreed that leveling the playing field for pivotal assignments is an important component of the Fund’s overall talent management strategy. They suggested presenting concrete examples of what constitutes a pivotal assignment and specific recommendations to ensure that all staff have the opportunity to be considered for these assignments. A few Directors emphasized that efforts to achieve diversity targets should be balanced with the need to take merit into account when deciding on recruitment and promotion.

Directors welcomed the improvements in HR data in the past years. However, they emphasized the need for further efforts on transparency on diversity related issues. A number of Directors emphasized the need for the Fund leadership to give issues of diversity and inclusion more prominence in the public domain and recommended that the Fund consider developing a diversity charter that sets out vision of a diverse, open, and inclusive work environment that communicates expectations and accountability for fostering this environment.

Directors noted that the retirement dynamics at the Fund in the coming years would create a window of opportunity to advance the diversity and inclusion agenda. They called for a more systematic and structured interview process with exiting staff to understand the reasons for separation and to ensure that the Fund is able to retain the best talent to fulfil its mandate.