Jun 24, 2020
On June 23rd, 2020 Larry Fink, chairman and CEO of the American investment management giant, BlackRock Inc. announced through a LinkedIn blog post, that the company plans to increase its Black personnel by 30% by 2024.
“BlackRock is committed to doing its part, consistent with our purpose, to help build a better, fairer society. This commitment to make change is core to who BlackRock is and the difference we can make in the world.”
BlackRock was amongst the first in the financial industry to comment on its ambitions to improve racial diversity within its organization. The company plans to increase the amount of Black senior managers within its organization which currently is just 3% of the total management team. Worldwide Blackrock employs over 16,000 people of which just 5% is Black.
The news is somewhat unsurprising; following the brutal killing of an unarmed Black man, George Floyd, by a Minneapolis policeman, multiple riots broke out in the United States as well as globally in an effort to support racial diversity and tackle discrimination. The Black Lives Matter movement has been pressuring corporate America to abolish racial inequality within organizations.
BlackRock will focus on “guiding and developing the careers of their Black Professionals” by offering bespoke leadership and development programs that should increase career progression as well as retention rates. The company will focus on recruiting ethnically diverse candidates. Larry Link also commented that Blackrock plans to increase its “partnerships with minority business enterprises” that support their client investment activities.
Finally, Larry Link mentioned that BlackRock plans to donate $5 million to organizations that endorse Black and Latinx social entrepreneurs and, $5 million to businesses that focus on safeguarding racial equity. BlackRock has maintained a positive reputation due to its support of social justice, humanitarian, and environmental causes. In early 2020, Larry Fink addressed the issue of sustainability and sustainable investing to BlackRock’s clients and the asset manager promised that the “focus on long-term sustainability is embedded across our business”.