Inclusive HR Research Insights in Eastern Canada

Diversity, Equity, and Inclusion RESEARCH March 2022 Eastern Canada CPHR CANADA | DEI RESEARCH 1

Contents 3 Methodology 6 Insights 16 Benefits of DEI 21 Role of Leadership 25 Recruitment 29 Corporate Culture 2

Methodology Survey Type Online Survey Length 9 min Screeners Human Resources Professionals # Completed Surveys 128 Dates of Interviews Jan-Feb 2023 Note: This report is designed to highlight selected insights from the research. Full data tables are available in the topline reports. 3

Demographics Eastern Canada s age and gender distributions are in line with other regions of Canada, as is also the case for role in HR and work location; those in Eastern Canada are less likely than several other regions to have been raised or educated outside of Canada or the U.S. Age Gender Role in HR Authorize/ final decision-maker Recommend/ part of 30% 27% 79% 77% 59% Female 57% 43% 47% 17% 20% process Male 29% 27% Consult/ influence decisions 18% 21% 1% 1% Other 11% 10% 7% 5% 4% 3% Minimal involvement Prefer not to disclose 3% 2% 2% 0% No Influence 18-27 28-39 40-59 60+ Work Location Characteristics Total Canada Eastern Canada Learned English as a second/third+ language (non-mother tongue) Raised or educated outside of Canada 16% 11% 15% 15% or United States 8% 14% Workplace Workplace Home Home Mental health challenge that interferes with work /neurodiverse 35% 12% 11% 41% 7% 4% lgbtqia2s+ Member of a religion that experiences 6% 3% discrimination Hybrid Hybrid Have an evident physical or health challenge/disability 5% 3% 45% 51% 55% None of these 63% Total Canada (n=1328) Significantly higher than more than 2 other regions Significantly lower than more than 2 other regions 4 Eastern Canada (n=128)

SENIOR LEADERSHIP STRUCTURE: Diversity in senior leadership Among the HR professionals surveyed in Eastern Canada, only 15% describe the senior leadership of their organization as Well-diversified; the majority describe their senior leadership as Acting towards (30%) or Aspiring (43%); this is in line with other Canadian regions Senior Leadership Well-diversified There is representation from several of the groups above 15% Acting towards Definite formal plans to address diversity with some diverse 30% representation Aspiring Mostly not diverse, making attempts to diversify 43% Not diversified Mostly not diverse with no apparent interest in change 13% CPHR CANADA | DEI RESEARCH 5 5. How would you describe the senior leadership of your organization when it comes to diversity?

INSIGHTS 6

INSIGHTS: Eastern Canada Enthusiasm for DEI: In Eastern Canada, HR professionals are more likely to cite a variety of tactics for implementing DEI and bringing change; they are more likely to suggest hiring new talent from diverse communities and creating DEI committees to discuss experiences as key to implementing an effective DEI strategy; they are also more likely to suggest hiring and promoting diverse talent at senior levels in order to bring change Work/Life Balance: HR professionals in Eastern Canada are more likely to say that employees left because they wanted more flexibility with work hours and work-life balance issues, and because of increased workload without additional pay Getting Employees Involved: HR professionals in Eastern Canada are more likely than those from other regions to say employees/staff accountable are also accountable for enacting meaningful DEI plans; they are also more likely to suggest investing in training, especially for junior staff, as a way to retain talent from marginalized communities 7. Would you say that your organization s diversity plans are . 7

WHY DEI? Part I: The UPSIDE of Investing in DEI What is the VALUE of DEI? HR professionals in Eastern Canada say the benefits of inclusiveness include: Better workplace culture 87% Doing the right thing/being authentic in the workplace By showing the organizational benefits of DEI, HR professionals can prove it is key to a healthy workplace culture. 74% 73% More innovation/creativity Position inclusiveness as a core competency to make it a priority, and less vulnerable to budget cuts CPHR CANADA | DEI RESEARCH 8 4. What are the key organizational benefits of working in a fully inclusive work environment?

WHY DEI? Part II: The DOWNSIDE of Ignoring DEI What is the COST of ignoring DEI? HR professionals in Eastern Canada say the threats of not addressing DEI include: The risk of homogeneity group think 69% Losing access to the best new talent Management may be surprised to learn that the greatest threat of ignoring DEI is not to reputation, but to core competencies and access to talent 69% Losing good current employees 55% Remind management that ignoring DEI can mean losing access to the skillsets of existing and prospective employees CPHR CANADA | DEI RESEARCH 9 10. Which of the following do you see as the biggest threats if your organization does not address diversity equity and inclusion?

BEST PRACTICES How to Implement an Effective DEI Strategy What STEPS should HR tell their company to take? HR professionals at more diversified companies in Eastern Canada suggest: Senior leadership support in backing the initiative 86% Hiring new talent from diverse communities 79% HR professionals at diversified companies believe DEI starts at the top; all employees play a role, but leadership support is key Diversity/inclusivity/bias training/mgmt programs (for employees and management) 77% Having a game plan to implement a DEI strategy helps HR professionals help their companies CPHR CANADA | DEI RESEARCH 10 11. Which of the following steps are most important for an organization to implement an effective DEI (diversity equity and inclusion) strategy (even if your organization is not using them)?

BEST PRACTICES Effecting Change HR professionals at less diversified companies in Eastern Canada suggest: What really makes a DIFFERENCE? Hiring diverse talent at senior levels 68% Promoting diverse talent to senior levels 54% HR professionals who need real change believe it is key that senior leadership become more diverse, either through hiring or promotion Setting diversity goals and targets 53% Real change starts at the top; for companies looking to increase diversity, senior leadership is the most effective place to start CPHR CANADA | DEI RESEARCH 11 12. Which of the following do you think would be most likely to bring change in your company? (Select all that apply if this is not currently happening at your company.)

BEST PRACTICES How to Signal Real Change HR professionals in Eastern Canada rate their DEI plans: How do you show that DEI programs are AUTHENTIC? Effective/helping to advance culture of diversity/diversity to senior management Non-existent Communication & training only/ no real actions 5% 17% 35% Communication and training aren t enough; assembling a diverse senior management team shows real action 43% A real attempt, but lacking action/change in senior management composition How does your company rate? Talk is cheap; if senior management isn t diverse, other efforts may be interpreted as lacking or disingenuous CPHR CANADA | DEI RESEARCH 12 7. Would you say that your organization s diversity plans are .

ROLE OF LEADERSHIP: Accountability HR professionals in Eastern Canada suggest the following are accountable for DEI: Who is Senior Leadership (Including Chief Diversity Officer or equivalent) ACCOUNTABLE for DEI? 90% 66% While most HR professionals say senior leadership is ultimately responsible for DEI, many also see their own department, and other employees, as playing a key role HR department overall 59% Employees/staff The buck stops here; senior leadership plays a key role in enacting DEI plans, but many HR professionals believe accountability extends to all company employees CPHR CANADA | DEI RESEARCH 13 8. Thinking about your organization s diversity equity and inclusion plans, who do you see as accountable for them being enacted in a meaningful way?

RETENTION: Retaining Talent Aside from exit interviews, HR professionals at more diversified companies in Eastern Canada suggest: The RIGHT WAY to Retain Talent Celebrate cultural occasions 74% When trying to retain talent from marginalized communities, what are the most diverse companies doing differently? An emphasis on personal celebrations and promoting and investing in employees Leadership promotion from within 74% 68% Investing in training A wise investment; recognizing cultural occasions, providing training, and a chance at promotion are smart ways to invest in employees CPHR CANADA | DEI RESEARCH 14 14. Which of the following is your organization doing to retain talent specifically from traditionally marginalized communities?

RETENTION : Retaining Key People Is Diversity the Secret to RETENTION? % HR professionals in Eastern Canada who agree key people tend to stay with their organization: Less diversified companies 34% 54% 11%1% More diverse companies are likelier to retain key people. Is this due to their inclusiveness? Or is diversity one of many benefits of a company with a healthy work environment Agree completely Agree somewhat Disagree somewhat Disagree completely More diversified companies 7% 2% 56% 35% Agree completely Agree somewhat Disagree somewhat Disagree completely Whether cause or correlation, diversity is at the very least a sign of a healthy company, and perhaps a key driver CPHR CANADA | DEI RESEARCH 15 18. Key people tend to stay with the organization: Please rate the following regarding your organization:

BENEFITS OF DEI 16

BENEFITS OF DEI: Organizational Benefits Almost all HR professionals in Eastern Canada cite at least one organizational benefit of working in a fully inclusive work environment; the top benefit is a better workplace culture, as is true for Canada overall Benefits 87% Better workplace culture 74% Doing the right thing/being authentic in the workplace 73% More innovation/creativity 67% All Canada: 55% Access to the highest quality employees 66% Employee morale and loyalty Company reputation/reduced perception of discrimination/inequity 64% 63% Improved collaboration 60% Better decision making All Canada: 50% 59% Understand clients/customers better 27% Higher revenue/more clients/business success 2% None CPHR CANADA | DEI RESEARCH 17 4. What are the key organizational benefits of working in a fully inclusive work environment?

BENEFITS OF DEI: Best Practices Keys to Implementation Almost all HR professionals in Eastern Canada cite at least one key tactic to implementing an effective DEI strategy Those in Eastern Canada are more likely to cite the importance of diversity in hiring and in the formation of internal committees Keys to Implementation 83% Senior leadership support in backing the initiative Formal diversity/inclusivity/unconscious bias training & mgmt programs for all employees including sr mgmt 73% All Canada: 63% 73% Hiring new talent from diverse communities Creating diversity/inclusivity committees/taskforces/ networks/affinity/safe space to discuss experiences 65% All Canada: 56% 52% DEI strategy is led by diverse leaders 49% Creating mentoring/allyship opportunities 45% All Canada: 34% Partnering with outside diverse talent initiatives 34% Ensure talent slates are more diverse 30% Hiring a dedicated diversity officer All Canada: 21% 27% Performance measures and incentives for leaders 16% Select vendors based on their DEI performance 1% None CPHR CANADA | DEI RESEARCH 18 11. Which of the following steps are most important for an organization to implement an effective DEI (diversity equity and inclusion) strategy (even if your organization is not using them)?

BENEFITS OF DEI: Best Practices Strategies for Bringing Change Diversity at senior levels, through hiring or promotion, is most commonly viewed as likely to bring change, and is more likely to be cited by those in Eastern Canada Tactics for Change 67% Hiring diverse talent at senior levels All Canada: 54% 58% Promoting diverse talent to senior levels All Canada: 49% Mandatory diversity, anti racism training to produce systemic change 54% All Canada: 46% 50% Setting diversity goals and targets 45% Specific retention strategies for diverse hires All Canada: 35% 43% Senior level mentoring to diverse talent specifically A role of diversity specialist (job function with a minimum of 25%+ DEI related) 29% All Canada: 21% Diversity goals are directly tied to executive compensation and advancement 26% Making a public pledge to increase senior level 20% diversity None of these there are no actions that will bring 1% change in this company CPHR CANADA | DEI RESEARCH 19 12. Which of the following do you think would be most likely to bring change in your company? (Select all that apply if this is not currently happening at your company.)

BENEFITS OF DEI: Perceived Threats of Failing to Address DEI Among those whose leadership is less diversified, there is significant concern about the lack of diversity: overall, levels of concern in Eastern Canada are in line with other regions Concern over lack of diversity in senior leadership Not at all Concerned Not very Concerned Very Concerned Somewhat Concerned 17% 49% 30% 5% Concerned: 66% Perceived threats The risk of homogeneity group think 69% Losing access to the best new talent 69% Losing good current employees 55% Reputational risk and image management 47% Falling behind the competition 40% The risk of overconfidence loss of creativity 31% Losing clients/customers 16% None of these, we can be a successful business without addressing 1% diversity CPHR CANADA | DEI RESEARCH 20 9. How concerned are you about the lack of diversity in senior leadership at your organization? 10. Which of the following do you see as the biggest threats if your organization does not address diversity equity and inclusion?

ROLE OF LEADERSHIP 21

ROLE OF LEADERSHIP Makeup of organization Among those at companies with Acting towards or Well-diversified senior leadership, most say women are represented in senior leadership Those in Eastern Canada are more likely to say women aged 55+ Represented Groups 82% Women overall 63% All Canada: 54% Women aged 55+ 60% Those who speak more than 1 language Those who identify as Racialized, Black, and/or People of colour or other non-European ethnicity 60% 28% Indigenous Peoples including First Nations, M tis and Inuit 26% lgbtqia2s+ and/or gender and sexually diverse individuals People with disabilities (including invisible and episodic 19% disabilities) 12% Member of a religion that experiences discrimination Mental health challenge that interferes with work / 5% neurodiverse 2% None of these CPHR CANADA | DEI RESEARCH 22 6. As far as you know, which of the following groups are represented in the senior leadership at your organization?

ROLE OF LEADERSHIP: Current State of Engagement Most HR professionals say their organization s diversity plans are either effective or a real attempt As in other Canadian regions, those in more diversified companies in Eastern Canada are much more likely to agree that their organization s diversity plans are at least a real attempt Perception of Diversity Plans Effective and are helping to advance a culture of diversity (including bringing diversity to senior management jobs) Non-existent Communication and training only, with no real actions that I have seen 5% 17% 35% 43% A real attempt, but lacking in action especially related to change in senior management composition 7. Would you say that your organization s diversity plans are . 23

ROLE OF LEADERSHIP: Accountability for DEI As in other Canadian regions, in Eastern Canada, senior leadership is most likely to be seen as accountable for DEI plans, regardless of diversity of senior leadership Those in Eastern Canada are more likely than other regions of Canada to say senior leadership and employees/staff are accountable Accountable for DEI All Canada: 82% 90% 93% 87% Senior Leadership (Including Chief Diversity Officer or equivalent) 66% 72% 62% HR department overall 59% 63% 56% All Canada: 49% Employees/staff Senior Leadership More diversified 16% 13% 11% All Eastern Canada Clients/customers Less diversified CPHR CANADA | DEI RESEARCH 24 8. Thinking about your organization s diversity equity and inclusion plans, who do you see as accountable for them being enacted in a meaningful way?

RECRUITMENT 25

RECRUITMENT: Attracting a Diverse Candidate Pool: Top 5 Using inclusive language in job postings is the top tactic for attracting all available talent Those in Eastern Canada are more likely than in other regions to say advertise your jobs and recruit through diverse channels /diverse job boards and highlight diversity in job descriptions Tactics for Recruitment 68% 67% 65% Use inclusive language in job postings 52% 63% 57% Advertise your jobs and recruit through diverse channels /diverse job boards All Canada: 49% 56% 55% 56% Highlight diversity on your career site Senior Leadership 65% 43% 53% More diversified All Eastern Canada All Canada: 42% Highlight diversity in your job descriptions Less diversified 26% 53% 38% Hiring / interview panel is diverse 13. Which of the following is your company using to ensure that you are considering all available talent for the job? (Including BIPOC/women/neurodiverse/ lgbtqia2s+) CPHR CANADA | DEI RESEARCH 26

RECRUITMENT: Retaining Talent from Marginalized Communities To retain talent from marginalized communities, those at more diversified companies are more likely to celebrate cultural occasions, promote from within, and invest in training Tactics for Retention 63% 62% 61% Exit interviews to understand why they are leaving 48% 74% 59% Celebrate cultural occasions (Black History Month, Asian Heritage Month, Truth & Reconciliation Day, Pride Month) 48% 60% 53% Flexibility/sensitivity to employees needs in terms of work hours/days/working from home 35% 74% 52% Leadership promotion from within 38% 52% 68% All Canada: 45% Investing in training - especially for junior staff 50% 58% 44% Onboarding and mentorship/allyship process designed to make employees feel welcome and valued 38% 58% 47% Celebrate anniversaries / milestones 27% 47% 36% Competitive compensation that keeps pace with other Senior Leadership offers 25% 44% 34% More diversified Weekly/monthly/quarterly check ins with leadership/boss All Eastern Canada 18% 42% 29% Less diversified Toxic hires are terminated (regardless of level or other value to organization) 14. Which of the following is your organization doing to retain talent specifically from traditionally marginalized communities? CPHR CANADA | DEI RESEARCH 27

RETENTION: Reasons for Leaving A desire for more flexibility with work hours is the top reason for preventable loss of employees, and is more likely to be cited by those in Eastern Canada Preventable Reasons for Leaving 36% 63% 52% All Canada: 39% Wanted more flexibility with work hours/ work-life balance issues 38% 58% 49% Lack of career advancement opportunities 40% 44% 46% Mental health challenges due to workload/stress trouble coping with work challenges 45% 41% 36% All Canada: 34% Increased workload without additional pay 19% 20% 21% Wanted to continue to work from home (our company is returning to the office) 17% 19% 21% Lack of mentorship 14% 2% 9% Lack of diversity and inclusion in the workplace/feeling Senior Leadership unwelcome or not valued More diversified 2% 11% 7% All Eastern Canada Lack of diverse/inclusive leadership and initiatives Less diversified 15. As far as you know have employees left your organization for any of the following reasons over the past 12 months? CPHR CANADA | DEI RESEARCH 28

CORPORATE CULTURE 29

CORPORATE CULTURE: Engagement Discrimination in the Workplace Frequency of Feeling Disengaged Those in Eastern Canada are most likely to say that feeling disengaged means they do not perform at their best level, and makes them care less about the success of the business overall Frequently Never Sometimes Rarely Always 1% 4% 19% 41% 36% At least sometimes: 24% Reactions to Feeling Disengaged 57% I am not performing at my best level 50% I care less about the success of the business overall I am actively thinking about how to address the situation, 30% instead of doing my job 27% I spend time looking for another job 23% All Canada: 17% I am considering leaving my profession completely 17% All Canada: 28% I am talking to coworkers about the situation 16. How often are you personally less engaged at work due to either institutional, interpersonal, structural and/or internalized systems of discrimination? 17. When you are less engaged at work due to discriminatory action/policies, how does this manifest at your job? CPHR CANADA | DEI RESEARCH 30

CORPORATE CULTURE: Engagement Impact on Sentiment of DEI Efforts Most HR professionals would feel more or slightly more positively about their job and working in HR if their company made significant efforts to increase DEI Sentimental Impact of Company Efforts to Increase DEI More diversified Less diversified More positive Slightly more positive No impact whatsoever Repellent More positive Slightly more positive No impact whatsoever Repellent 0% 0% 16% 16% 84% 84% 25% 52% 59% 32% 20. Thinking about the answer you gave above, what impact would it have on your sentiments if the company you worked for was making significant efforts in increasing Diversity, Equity and Inclusion? CPHR CANADA | DEI RESEARCH 31

CORPORATE CULTURE: Retaining Key People HR professionals at more diversified Eastern Canadian companies are more likely to completely agree that key people tend to stay with the organization Key people tend to stay with the organization ? Agree completely Agree somewhat Disagree somewhat Disagree completely Less 34% 54% 11%1% diversified Agree: 88% Agree completely Disagree somewhat Disagree completely Agree somewhat More 56% 35% 7% 2% diversified Agree: 91% 18. Key people tend to stay with the organization: Please rate the following regarding your organization: CPHR CANADA | DEI RESEARCH 32