Mitigating diversity barriers in growth potential and promotability of employees

To maximize their available pool of talent, companies today aspire to hire, retain and promote the most competent workers based on skills, performance and growth potential, and regardless of personal characteristics, such as gender, ethnicity, and age. However, studies find that, holding skills fixed, ethnic minorities, women, and older workers are subject to systematic discrimination. We will study if perceived growth potential drives gender gaps in promotion, and if perceived potential can be debiased without harming firm performance. We will use behavioral experimental techniques, both in the lab and among a sample of managers and employees in large Danish firms.