Canadian branding may create misalignment risks in talent strategy, says expert
With the pushback against diversity, equity, and inclusion (DEI) continuing in the United States, HR leaders should tread carefully when leveraging national identity to attract talent, according to one expert.
“Right now, Canadian firms are still very committed to things like equity, diversity, inclusion, accessibility, sustainability—topics that are a bit more of a no-no right now, for example, in the U.S.,” says Carol Robinson, founder and principal at Harbour West Consulting.
“And so what happens is these companies leverage the idea or the optics of being Canadian to remain competitive.”
However, some companies may fall into the practice of “corporate maple-washing”—where organisations emphasise their Canadianness without actually being Canadian-owned or -operated, according to Robinson.
“It can create a false sense of true alignment with the intent of these initiatives.”
Previously, a group of tech leaders pushed back against the axing of DEI funding by major Canadian tech companies.
Robinson notes that as Canadian companies recalibrate their communications to emphasise Canadian ownership and values, this has become a key element in their effort to attract talent.
“There’s a real shift right now to articulate company branding messaging,” she says. “And not only to secure work or sales or whatever your business might be doing, but also to attract employees that might be committed to aligning themselves with Canadian brands or firms.”
Meanwhile, the national identity of a business is becoming increasingly relevant to job seekers, especially those prioritising social values, says Robinson.
Some individuals are “really looking to commit to these initiatives, or seeking employment where companies can clearly articulate that they are Canadian-founded and operated and headquartered," she says.
“People want to come to work feeling a bigger sense of operational duty. They want to know that they are representing an organisation that represents who they are or sees who they are in a broader community.”
This is “one of the big drivers right now in terms of recruitment and retention,” says Robinson.
However, a previous Glassdoor report notes that 30% of workers say their current employer does not match their values, and 35% believe it would be difficult to find an employer that aligns with their values.
Corporate maple-washing can negatively impact business, even if employers initially succeed in hiring talent based on perceived values alignment, says Robinson.
“I don’t think there’s the same sort of tolerance or handcuffs to employers that people used to see in more dated environments, or traditionally. I don’t think there’s the same tolerance from employees, if there isn’t that alignment.”
In such scenarios, many workers may simply choose to leave, she warns.
Among younger workers in particular, “there’s more comfort around switching jobs than we’ve seen in the past.”
And employee turnover is costly for employers. Replacing a worker costs employers $30,674 annually on average, covering the cost to rehire and lost productivity, according to a previous Express survey. For some Canadian employers (15%), turnover costs them more than $100,000 per year, they say.
To avoid the unnecessary costs associated with corporate maple-washing, employers should prioritise authenticity in recruitment messaging, Robinson advises.
“It’s just really important that companies are truly authentic and you don’t try to skirt things like your ownership or your values.”
“Let people make informed decisions,” she says. That will lead to “better matching for both the company and staff.”
She recommends that HR leaders use interviews, corporate websites, strategic plans, and internal documents to clearly communicate company values from the outset.
