Let’s talk about a hot topic: affirmative action in job hiring. This is a big deal, especially now that the Supreme Court has banned it in college admissions. It’s all part of the Diversity, Equity, and Inclusion (DEI) ideology.
The goal of going to a top-notch college is to land a great job, right? Sure, some might say college is also about gaining status, building a strong network, and finding a life partner with similar ambitions. But ultimately, it’s about earning a good living. Isn’t it interesting how it all comes back to personal finance?
Now, imagine being hired just because you add to a company’s diversity quota. That would feel pretty insulting, wouldn’t it? It would feel like all your hard work and talent were being overlooked. I’d much rather be hired for my skills and achievements.
But here’s a twist: as a parent, I might not mind if my kids were hired for diversity reasons, as long as they never found out. Quite the contradiction, isn’t it?
This post aims to explore the complex issue of diversity hiring. We’ll discuss where we draw the line between getting ahead based on identity or merit, question if our actions align with our beliefs or if we’re just virtue signaling, and discuss how to make opportunities more equitable. We’ll also look at how far parents are willing to go to give their kids a leg up, how to take advantage of societal trends, and how to combat the stereotype that all underrepresented people are diversity hires.
During a recent parent outing, the topic of diversity hiring came up. Everyone agreed they’d rather be hired based on their merits. After all, we can’t control how we were born. We’d rather be recognized for our abilities and efforts. But we also acknowledged that due to structural inequities and economic disadvantages, not everyone has the same opportunities. So, we should actively seek to give these people a chance. Otherwise, the rich and privileged just get richer and more privileged.
One parent voiced a fear that being a diversity hire could lead to colleagues discrediting their skills. The same goes for their kid getting into college, despite being well-qualified. They wouldn’t want others to think their kid got in based on their identity or legacy status rather than their achievements.
One solution proposed was transparency in grades, test scores, and salaries. If everyone could see each student’s grades, SAT scores, and extracurricular achievements, it would be clear who deserves to be there. It would also hold the admissions office accountable to a meritocratic process. This transparency could extend to job salaries, consulting rates, book advances, speaking fees, and more. If we knew what everyone was earning and the revenue they were bringing in, pay anomalies could be rectified.
For example, Stanley Zhong had a near-perfect GPA, scored 1590 out of 1600 on the SATs, and founded his own startup, RabbitSign, in his sophomore year. Yet, he was rejected by 16 out of the 18 colleges he applied to. On the other hand, when the media profiles students who get into all the top universities they apply to, they often don’t reveal the student’s grades, test scores, and extracurricular activities. To avoid suspicions of being diversity admits, the media should reveal these details and let the public decide.
Despite not getting into a top university, Zhong was hired by Google for his talents. This shows that getting a well-paying job in a field you like is the ultimate goal of getting into a good university.
As a parent, I worry about my kids getting their first good jobs. Maybe I’d be okay with them being diversity hires. But I wouldn’t want them to be hired or advanced due to their identity. This might be pride talking, but I also want to protect them from feeling like frauds if they found out they hadn’t made it on their own. If they discovered they were hired due to their identity or connections, it could damage their self-confidence. They might feel grateful for the opportunity, but they might also feel guilty for taking a spot from a more deserving individual.
Even though most of us don’t want to be rewarded based on our identity or connections, that’s not how society works. Even in a capitalistic society, where meritocracy is supposed to reign supreme, people are always trying to find ways to get ahead beyond just hard work.
For instance, I promised to teach my son how to ride a bike by the new year. I was determined to do it myself, even if it meant hunching over and pushing him from behind for weeks. But when I arranged a playdate for some kids to learn how to ride bikes together, I found out all the other boys already knew how to ride. Their parents had hired a bike teacher to teach them. I felt bad that my son was behind because I hadn’t prioritized teaching him how to ride a bike. Maybe I should have hired a bike coach. I could afford it. But I didn’t want to miss out on the magical moment where he thinks I’m still pushing him from behind, but I’ve already let go.
Most people will say they don’t want to be a diversity hire. But I bet most people would happily accept a higher pay for their identity. If companies want to overpay for diversity, then let them! If you can earn more money by being a diversity hire, why not take advantage of it? Just stay humble and use this opportunity to improve your skills.
The best way to take advantage of the system is to be a diversity hire at a large organization that publicly embraces DEI. These organizations have more resources and are less efficient, so they are more willing to pay diversity hires above average to meet diversity objectives.
On the other hand, joining a small organization or becoming a solopreneur means you’ll have more responsibility and nowhere to hide. Your performance will be more visible, and if it doesn’t meet standards, your colleagues might start resenting you and the business could suffer.
When I joined Goldman Sachs in 1999, I knew I was a nobody. The only reason why clients picked up the phone was because I was calling from Goldman Sachs. I probably was a diversity hire given there weren’t many Asian people in the equities department. This thought undermined my confidence and created self-doubt about my abilities.
If you believe everything is rational long term, then you might as well rationally take advantage of the system. If you don’t, someone else will. If companies want to overpay someone to create more diversity, take advantage. Use the extra money to get one step closer to financial freedom.
The key is to be aware that you could be a diversity hire. While you’re earning more than others, do your best to improve your skills and stay humble. Think of your diversity hire role as an incubation period for you to catch up to non-diversity hires with greater skills.
Life isn’t fair. You’re either going to complain or you’re going to do something about the situation. So, would you accept a role as a diversity hire if it meant earning more than average? What’s the best way to take advantage of your identity to earn maximum money? Are you okay with your children being diversity hires?
