Relationship between diversity climate and employer brand amongst current employees

Abstract

This study investigates the relationship between the diversity climate of an organisation and its employer brand. Unlike most employer branding studies, which focus on potential employees, this one focuses on current employees and examines both the internal employer brand and the construed employer brand. The study also seeks to investigate whether ethnicity plays a role in the relationship between the diversity climate and employer brand amongst current employees in South Africa. The study uses a quantitative approach and makes use of Structural Modelling Equation to test the proposals and hypotheses outlined. The results show that there is a significant positive relationship between the diversity climate and the internal employer brand amongst all employees of all ethnicities. This implies that organisations can use diversity initiatives as an effective employer branding strategy amongst its employees. In addition, the study finds that the construed employer brand dampens the relationship between the diversity climate and the internal employer brand. This could imply that should organisations convey a more positive image than that which employees actually experience, this can cause them to disengage from the organisationÕs diversity initiatives. Organisations therefore need to carefully manage their formal and informal diversity messages, internally and externally, in order for their diversity efforts to be effective amongst employees.