Abstract:
This article demonstrates that a diversity and equality management system
(DEMS) contributes to fi rm performance beyond the effects of a traditional
high-performance work system (HPWS), which consists of bundles of work
practices and policies used extensively in high-performing fi rms. A DEMS typi cally includes diversity training and monitoring recruitment, pay, and promo tion across minority or other disadvantaged groups. Our analysis of quantita tive data from service and manufacturing organizations in Ireland confi rms that
HPWS practices are associated with positive business performance and fi nds
specifi cally that DEMS practices are positively associated with higher labor
productivity and workforce innovation and lower voluntary employee turnover
