American businesses are waking up to the importance of frontline workers, according to the Ford Foundation
Every generation has a moment of reckoning – and the pandemic is ours. The advent of COVID-19 in 2020 sheds light the importance of essential workers—Sellers, delivery drivers, first responders, and others — who provide enormous value to society but have long been overlooked. These individuals are disproportionately exposed to poverty and unhealthy conditions without fair wages or health care, which is why protections for all Labor will play a central role in reversing centuries of inequality.
Everyone deserves fair treatment, a safe working environment and good benefits. Those are the ingredients of higher quality work that leads to financial stability. Nice to see the steps in the right direction. For example, the US government has historically measured how many jobs the economy creates but not whether those jobs sustain and lift the morale of those inside them.
The Ford Foundation works with Family and Employee Fundcooperated with the Ministry of Labor on Good Work Initiative to improve work quality measures and promote good job creation through federal infrastructure investment.
Take a look at the Texas construction industry — the deadliest and deadliest industry in the country — where one worker dies every three days, 60% reported no safety training and only 40% received workers’ compensation. This is not only morally wrong, but it is also bad for the business, with construction companies struggling to attract, retain and develop talent.
The Better Builders Program, an effort of the Ford Foundation-supported Worker Protection Project, has created employment quality standards that focus on living wages, safety training, and compensation. for workers. In partnership with business and local governments, these standards were adopted by the Austin Connectivity Project transit plan, making them mandatory for the $7.2 publicly funded project. billion dollars to transform the city’s transportation system.
This is a huge win for tens of thousands of workers, our economy and our recovery, and we hope it will be a guiding star for economic security. and mobility for undervalued and underserved workers.
End growth at all costs
Today, workers are choosing to join companies that share their own values. Companies that used to demand long hours of work and foster a toxic culture are slowly losing ground.
In addition to lower employee turnover and customer interest, employers who invest in quality jobs often reap higher bottom-line returns. Companies on Fortune’s 100 Best Companies to Work for have outperformed their peers in stock returns by almost five percent from 1998 to 2016.
Businesses should invest in workers through operational choices that enhance productivity and well-being, rather than minimizing costs to workers.
Discover untapped potential
Ensuring disadvantaged groups have the opportunity to participate meaningfully in our economy has become essential as we adapt to a new workforce.
In the United States, women and people of color only control 1.4% of $71 trillion in assets under management, while racial disparities are estimated to cost the US economy the least 1 trillion dollars between 2019 and 2028 because of its impact on consumption and investment.
Initiatives like The company’s call to action—A partnership between the Ford Foundation, the Connecticut Treasurer’s Office, and nearly 20 financial institutions to drive $30 billion in economic impact to communities of color and create thousands of internship opportunities for diverse talents — has shown the positive impact of expanding economic access.
Another important way to build a more inclusive workforce is to hire local workers to ensure equal opportunities, wages and benefits for historically marginalized communities. These conditions are often included when government agencies issue contracts, but are usually not in effect.
Jobs to move to the US, a coalition of dozens of community, civil rights, labor and faith groups supported by the Ford Foundation, has taken up this challenge head-to-head. They leveraged the power of Public Interest Agreements — legal instruments that oblige private-sector developers to create value for the community — in a manufacturing plant in Anniston, Alabama. ; the first of its kind in the deep south. New Flyer, a national bus manufacturer, has agreed to have 45% of its new employees under a $500 million contract with Los Angeles County drawn from historically marginalized groups, including including black and indigenous workers, women and veterans.
The union also won terms for the project to implement workforce training programs and create a mechanism for workers to complain. This is a huge win driven by the workers in Alabama who have taken their futures into their own hands. With newly passed federal investments in infrastructure and climate resilience, imagine if this standard were replicated nationally and the benefits of historic investments This goes to all workers.
To future-proof our economy, we must look at what hasn’t worked in the past and fix it. We know that promoting higher quality jobs and expanding economic opportunities will keep us going. Leaders and investors must commit re-imagine a form of capitalism from which everyone can benefit.
José García is a director at Ford Foundation, where he leads the Future of Work(ers) team. Since 2017, he has served as senior program officer and program officer guiding Ford’s efforts to support organizations that are innovating new ways to build voice and influence of workers.
Opinions expressed in Fortune.com commentary are those of their authors only and do not reflect the views and beliefs of Luck.
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