As a seasoned CEO, Chair and Investor, I’ve seen first hand the benefits of having different perspectives around the boardroom table and of drawing on a workforce with a variety of backgrounds and experiences. Harnessing the abilities of all sections of society is not just the right thing to do for fairness, it makes great business sense too.

Which is why The Hg Foundation’s mission is so important - and why this research from Generation is a major step forward in our understanding of what’s happening in those crucial entry levels tech roles, all over the globe.

What strikes me most is how so-called ‘entry level jobs’ are in fact no such thing. Despite facing hiring challenges and overall shortages, employers seem increasingly to be asking applicants to have work experience and university-level qualifications. And the research finds that this is acting against diversity – as underrepresented groups are the very people least likely to have had the opportunity to study at university or to gain on-the-job experience. For some entry level roles, no doubt an academic higher education qualification is needed. But for others, I wonder if it is less about the skills genuinely required for the role and more about managing a process the way things have always been done -- and understandable nervousness about deviating from that.  Process over outcome! 

I have a personal interest here too: I do not come from a background where going to university was the norm, and it was not affordable for me. Instead I went straight from school into work age 16. I have been fortunate to progress into an exciting and successful career. I joined Capita in a junior position in my 20’s, quickly became the MD of one of their acquisitions within just 18 months, and eventually becoming Group COO, at that time it had grown to have 75,000 employees. The next step was into Private Equity as part of the Hg family. But I suspect many people who do not fit the traditional profile are being missed — and my story is too often the exception rather than the norm.

Employers now need a very practical understanding of what they can do to make a difference.  The four recommendations in Generation’s research are a great start – and it’s heartening to see organisations that have moved to skills-based recruitment report a larger candidate base, lower costs and no drop in performance.  But the next phase of work is, to my mind, crucial in turning the theory further into reality. Which roles might be particularly suited to a skills-based approach? What are the right programmes, tools and metrics to use? What new skills and systems will hiring teams need? And how will AI in any case change the nature of entry level roles? It is only by working hand-in-hand with employers that these crucial questions can be answered and the impact of alternative hiring approaches (on individuals and on businesses) be rigorously assessed.  

Recent years have rightly seen a focus on diversity at senior levels in tech. But widening out the C-Suite starts with making sure the pipeline of entry level talent is itself more diverse and no-one is held back by their gender, ethnicity, or income level. Today’s report is a powerful reminder of why we all need to act.