At the International Consumer Electronics Show (CES) 2015, Intel Corporation (INTC) announced that it will increase the number of women and minority workers as part of its plan to create a more diverse global workforce over the next five years.
To boost the diversity of its workforce, Intel’s Chief Executive Officer (CEO) Brian Krzanich plans to spend $300 million. He stated that the company will recruit women and underrepresented minorities at all levels of the company.
According to a 2013 equal employment opportunity (EEO) report, only 24% of Intel's total workforce constituted women. Taken together, 57% of Intel's total employees constitute white people, 29% Asian, 8% Hispanic or Latino, 4% Black Americans and the remaining 2% from other races.
CEO Krzanich agreed that it will be difficult to meet the target but expects to adequately represent women and minorities at all levels of the workforce by 2020. This is the boldest move yet by any technology company to address the issue of diversity in the workplace.
Therefore, in order to successfully meet its goal Intel said that it will hire more of women and minority candidates. The company will make all efforts to promote and retain its new employees by funding engineering scholarships and working with computer science departments at schools and colleges that primarily cater to the various ethnic groups.
Setting aside such a significant amount to ensure workplace diversity is recommendable. Though other tech giant including Facebook (FB) and Microsoft (MSFT) have also talked about increasing workforce diversity, Intel is the first one to take a meaningful step in this direction. However, bringing diversity in a huge company like Intel is a huge task and may take years. So it is yet to be seen whether Intel would succeed and set an example for others to follow.
Currently, Intel has a Zacks Rank #3 (Hold). Another stock that has been performing well is STMicroelectronics NV (STM) with a Zacks Rank #2 (Buy).
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