People

inclusive diversity
& equity

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Explanation of the material topic and its boundary

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The management approach and its components

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Percentage of employees receiving regular performance and career development reviews

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Systemic racism is prevalent in our society, and we must not be complicit by inaction or silence. For our world to eliminate inequities, each of us needs to have the will to change, the heart to trust and the energy to lead. Allstate condemns racism and is committed to leading change for a more just and equitable society.

Overview

A third-party partner is conducting a top-to-bottom review of our operating practices, pay and promotions for people of color and women to further promote equity and equality at Allstate. The results of this review will refine our strategy.  

Allstate strives to develop and retain a workforce that mirrors the diversity of the customers and communities we serve. Our collective differences, backgrounds, educations and cultures create an inclusive environment where diverse perspectives are encouraged and embraced. For more information on our company demographics, please see our EEO-1 disclosure. 

In 2020, we formally added equity to complement inclusive diversity as a core value. Our commitment to improve diversity representation at higher levels of leadership has been a key component of our Inclusive Diversity & Equity (IDE) strategy for many years. We’re increasing our commitment and accountability to drive greater results by establishing enterprise goals to increase female and ethnic/racial diversity at all leadership levels. 

  • In 2020, we announced The Allstate Foundation would formally add equity as a third focus area, in addition to youth empowerment and ending domestic violence.  
  • We began observing Juneteenth as an annual company holiday to provide Allstaters the opportunity to reflect on its significance.  
  • In 2020, Allstate’s CEO joined the CEO Action for Diversity & Inclusion, a coalition of almost 2,000 CEOs of the world’s leading businesses, to collectively take measurable action that advances D&I in the workplace.  
  • Allstate is one of the founding members of the OneTen coalition, which will combine the power of committed American companies to upskill, hire and promote 1 million Black Americans over the next 10 years into family-sustaining jobs with opportunities for advancement. 

More about How Allstate is working to advance racial equity in America.

Accountability

30,976
courses on IDE completed by Allstate employees in 2020

Inclusive Diversity & Equity is a priority at every level of the organization and outside the organization. Allstate is developing an IDE strategy that will be overseen by the Board of Directors.

The Allstate Enterprise Diversity Leadership Council (EDLC), Employee Resource Groups (ERGs) and Agency Owner Advisory Groups provide oversight on IDE. Allstate has 15 officers and directors who are EDLC members and 25 officers who are ERG sponsors.   

  • Starting in 2021, executive compensation will be tied to their performance against IDE goals  
  • Allstate is committed to increase our Board diversity representation 
  • Allstate is committed to doubling the spend with diverse-owned suppliers (against a 2020 baseline of $235 million) 
  • Allstate will initiate efforts to improve IDE across the insurance industry 

Enterprise Diversity Leadership Council

The EDLC is made up of senior leaders throughout the enterprise focused on advancing Inclusive Diversity & Equity at Allstate. The group supports commitments in every business unit to promote IDE through recruitment, retention, advancement and development to expand the diverse representation at Allstate. The group provides recurring updates to the CEO. In 2020, Allstate’s Enterprise Diversity Leadership Council was named on the DiversityInc Top Companies for Executive Diversity Councils list.  
 

The EDLC helps increase IDE across the company by: 

  • Identifying and prioritizing actions – The EDLC was a catalyst for the creation of IDE commitments to increase visible leadership commitment and accountability. 
  • Taking accountability for achieving target results – The EDLC ensures our IDE commitments are integrated into business objectives. 
  • Ensuring clarity and understanding of the business relevance of IDE – The EDLC promotes best practices, including integrating communication of commitments with other business priorities; assigning officer sponsors to individual commitments; incorporating commitments into department goals; and ensuring ERGs are integrated and applied in the context of business priorities. 

 

Policies and practices

Allstate’s corporate policies and practices related to Inclusive Diversity & Equity help guide our daily operations. Our Shared Purpose – which outlines Allstate’s values, operating standards and behaviors – highlights IDE as one of our core values. We hold each other accountable to encourage and embrace our collective differences. It’s our individual characteristics, values and beliefs, along with backgrounds and experiences that give us fresh perspective and purpose. We work harder, meet customer needs more effectively, share better, and identify more innovative ideas when we are accepted for who we are by the world around us. Our success comes from a chorus of many different voices. At Allstate, every voice counts. 

We actively seek out individuals with varying characteristics (age, gender, race, color, national origin, sexual orientation, disabilities), values and beliefs (religion, attitude, lifestyles, political views), and backgrounds and experiences (personal, educational, functional). At Allstate, employees are not just empowered to help shape our future, they are expected to lead the way. 

We are committed to being a positive force for change in the diverse communities we serve. Our employees and customers care deeply about how we contribute to society, which means we need to deliver goods and services, employment opportunities and business results. 

Employee Resource Groups (ERGs) 

ERGs provide an inclusive and open forum where all employees with a shared interest are invited to connect, develop and collaborate. Allstate supports and funds 11 ERGs, each with unique value propositions and goals. ERGs are aligned to IDE goals at Allstate, providing opportunities to support recruitment, retention, development, and advancement of all forms of diverse talent. 

ERGs offer specific opportunities for employees to partner and collaborate through professional development workshops, recruiting events, volunteer projects and mentoring. Officers from across the enterprise support the ERGs with their time, networks and resources, and advance IDE at Allstate. In 2020, ERGs hosted employee listening series and built resiliency plans for those struggling with mental health issues due to racial trauma and the effects of the coronavirus. As a result, ERG’s help drive goals to positively influence our efforts related to retention, promotion and workplace culture.  

In 2020, Allstate allocated 52% of our total IDE budget to ERGs to demonstrate our commitment to financially supporting the positive impacts of ERGs on our business and member employees. 

In 2020, more than 9,000 employees participated in an ERG, with more than half of those employees participating in two or more ERGs. ERGs offer specific opportunities for employees to partner and collaborate with each other through professional development workshops, recruiting events, volunteer projects and mentoring. Officers from across the enterprise, leverage their time, networks and resources to support the ERGs and advance IDE at Allstate.The shift to a virtual workplace has increased global partnerships and involvement in Allstate ERGs.  

Allstate has committed to investing in ERGs to support the ongoing growth, development and impact of these critical groups.  

Current ERGs at Allstate: 

  • Allstate Asian American Network (3AN)
  • African American Working Network (AAWN) 
  • Abilities Beyond Limitations and Expectations (ABLE) 
  • Allstate Veterans Engagement Team and Supporters (AVETS)  
  • Allstate Women’s “I” Network (AWIN) 
  • Allstate Foster and Adoption Network (FAN) 
  • Intrapreneurs@Allstate (I@A) 
  • Professional Latino Allstate Network (PLAN) 
  • Allstate PRIDE 
  • Parents Working Together (PWT) 
  • Young Professionals Organization (YPO) 

Programs and performance

Our Shared Purpose guides how Allstaters conduct business and live their lives every day. Our inclusive culture and emphasis on diversity and equity are strengthened through day-to-day activities and standard practices that encourage us to remain focused on our values.  

Talent planning  

Allstate is focused on developing best practices in talent planning with a diversity, inclusion and equity lens. For example, in 2020, we imbedded IDE content into the succession planning process and resources.  

Inclusive hiring 

Our Talent Acquisition team regularly monitors workforce demographics to determine the greatest opportunities to bring more diverse talent into the organization. The team’s recruiting and outreach strategies target, identify and recruit qualified diverse candidates. Allstate launched its first Cyber Security Apprenticeship Program in 2020 with students pursuing an associate’s degree from community colleges. In addition, a Returnship program will be launched in May 2021 with midlevel software engineers returning to the workforce after a gap in employment due to caregiving responsibilities. 

Allstate builds relationships with external organizations to enhance the diversity of our hiring pipeline, including:  

  • AnitaB.org 
  • ALPFA (Association of Latino Professionals for America) 
  • BDPA (Black Data Processing Associates) 
  • Blacks United in Leading Technology International (BUiLT) 
  • Carolina Women in Tech 
  • CASY (Corporate America Supports You) 
  • Disability:IN 
  • Fleurix 
  • Hirepurpose 
  • Hispanic Alliance for Career Enhancement (HACE) 
  • International Association of Black Actuaries (IABA) 
  • Microsoft Software and Systems Academy (MSSA) 
  • Military Spouse Employment Partnership (MSEP) 
  • National Association of Black Accountants (NABA) 
  • National Association of Hispanic Real Estate Professionals (NAHREP) 
  • National Black MBA Association (NBMBAA) 
  • National Sales Network (NSN) 
  • National Society of Black Engineers (NSBE) 
  • Path Forward 
  • RecruitMilitary 
  • SHPE (Society of Hispanic Professional Engineers) 
  • Society of Women Engineers (SWE) 

We work with programs like Junior Achievement and One Million Degrees that encourage youth empowerment through education initiatives, including career programming and mentorship. We also partner with our Employee Resource Groups to encourage a more diverse referral pipeline for entry-level through executive positions.  

The Talent Acquisition team works with external parties for events held by the National Sales Network and National Black MBA Association. Allstate also supports historically Black colleges and universities and Hispanic-Serving Institutions to attract talent to our employment and entrepreneur career opportunities. 

Performance and pay practices review 

As part of our commitment to fair and equitable compensation practices, we complete an annual pay equity analysis.  

The pay equity analysis compares the pay of men and women, and non-minorities and minorities within similar jobs. If any statistically significant gaps in pay are identified, adjustments are made. Based on the 2020 analysis, Allstate has no evidence of systemic gender or racial pay discrimination. 

Inclusive Diversity & Equity training 

Allstate educates recruiters, managers and hiring managers to foster inclusive hiring and value diversity and equity in the workplace. We require all new employees to complete Inclusive Diversity & Equity training. The training includes topics such as self-awareness regarding cultural identity and unconscious bias, and provides tools to help employees create a more inclusive environment. Participants can complete self-assessments on their level of cross-cultural competency. 

Learning about these topics can also happen through open dialogue and sharing. For example, officers held a town hall the week after the George Floyd murder to discuss the societal topic of systemic racism and the impact of recent world events on employees’ lives. More than 6,000 Allstaters joined live to listen or share stories. 

In 2020, employees completed 30,976 courses on IDE. The number of courses completed in June through December 2020 was more than double the total of IDE courses completed in all of 2019. 

The Inclusive Diversity & Equity team, along with leaders and partners throughout the organization, committed to several new workstreams to better support Allstaters as we work to address systemic racism. For example, three new virtual instructor-led sessions were launched in July 2020 in line with our focus on reflection, learning and action: 

  • Inclusive Diversity Foundations 
  • Leading with Inclusion Part 1 – Time to Learn 
  • Leading with Inclusion Part 2 – Time to Act 

We continued to offer the Disrupting the Unconscious Bias of Cultural Fit course, designed to target the ways we may unconsciously label diverse candidates as not “the right fit” for a role. The course presents new ways to evaluate how everyone can add to the organization and create impact. Multiple business units have included this course in their leadership training, and approximately 8,050 employees have participated. In 2020, we launched four courses on disability inclusion, and approximately 100 employees have participated.  

In 2020, the Inclusive Diversity & Equity team continued quarterly Inclusive Conversations events and offered monthly sessions after June 2020. Topics included learning to more deeply understand racism, equity, allyship, and family dynamics during the pandemic, and more than 10,000 Allstaters attended. These conversations help Allstaters build Inclusive Diversity & Equity capabilities, foster more meaningful relationships with their peers and discuss current, relevant topics like privilege and unconscious bias. Many business areas partnered with the IDE team to host their own inclusive conversations, and more than 2,000 employees joined. 

We regularly host diversity and equity programs on critical topics such as gender identity, religion in the workplace and generational differences. Many of these topics—particularly those aimed at deepening understanding around systemic racismin the world, and the concepts of oppression and equity—are embedded into management development training and programs throughout the enterprise. Two Changemaker Chats were held in 2020 with over 600 attendees, and topics included “Unpacking Racism At The Kitchen Table” and “Inclusive Diversity Changemaker Chat”. We launched an Anti-Racism Resource Center for employees and created an Inclusive Diversity & Equity toolkit to help increase knowledge and awareness and build dialogue.

Allstate is committed to doubling participation in diversity training and conversations in 2021, benchmarked against 2019 rates (which had 13,000 participants).   

Looking ahead

The third-party comprehensive IDE assessment in 2021 will include a full evaluation of our programs, policies and practices to ensure we are building, maintaining and supporting an inclusive and equitable environment where everyone can achieve their full potential and be their best self. 

Supplier inclusion

Allstate strives to improve the communities where we work, live and connect through responsible supply chain practices. In 2020, we spent $235 million with minority-, woman-, veteran-, LGBTQ- and disabled-owned businesses. In 2020, analysis indicated that $1 spent with Allstate’s diverse suppliers results in $1.93 in total economic production. This means the economic impact of Allstate’s purchases with diverse-owned suppliers in 2020 is estimated at $450 million, which supports jobs and wages/benefits within that supplier chain and the communities where those businesses operate.

In 2020, Allstate made headlines by working exclusively with a group of minority-, women- and veteran-owned businesses for a $1.2 billion corporate bond offering. This is the first time a corporate bond offering of this size has been managed exclusively by diverse enterprises. We consider it an important milestone for improving equity in our financial markets.  

We are working hard to further increase diverse supplier spending. We completed a Benchmarking and Category Analysis, which provides guidance on our greatest opportunities to grow diverse spending. In early 2021, Allstate established quantitative spending goals by category and Executive Category Owners, which reinforces shared accountability for growth.  

To meet our goals, we will develop scorecards for business leaders to measure performance and navigate gaps. We will identify opportunities for incremental spending growth with current diverse suppliers and onboard ready-to-engage new suppliers, especially in categories where enterprise investments are growing. We also strive to expand the number of non-diverse prime suppliers reporting their respective Tier 2 diverse subcontractor spending to Allstate through this initiative.  

To be eligible for our Supplier Diversity Program, a company must provide certification as a minority-, woman-, veteran-, LGBTQ- or disabled-owned business by one of the following councils: 

  • National LGBT Chamber of Commerce (NGLCC) 
  • National Minority Supplier Development Council (NMSDC) 
  • USPAACC (U.S. Pan Asian American Chamber of Commerce) 
  • Women’s Business Enterprise National Council (WBENC) 
  • National Veteran Business Development Council (NVBDC) 
  • Disability:IN (formerly U.S. Business Leadership Network) 
  • Certification from local, state or federal government agencies 

We measure spending in the first five categories listed below. We also measure our inclusive spending in all 13 categories identified by the Small Business Administration as diverse and of special interest in meeting statutory obligations. These include: 

  • Minority/woman-owned business enterprises 
  • Minority-owned business enterprises 
  • Woman-owned business enterprises 
  • Lesbian-, gay-, bisexual-, transgender-, questioning-owned business enterprises 
  • Disabled business enterprises 
  • Disabled veterans business enterprises 
  • Disadvantaged business enterprises 
  • Historically Black colleges and universities 
  • Historically underutilized business zone 
  • Small Business Administration 8(a) program 
  • Small disadvantaged business enterprises 
  • Veteran-owned business enterprises 
  • Small-business enterprises 

Building ties with diverse groups 
through memberships 

Allstate works with select organizations to conduct national benchmarking, connect with diverse suppliers and identify successful practices in supplier diversity. Allstate is a member of the following organizations, among others: 

  • National Minority Supplier Development Council (NMSDC) 
  • Women’s Business Enterprise National Council (WBENC) 
  • National LGBT Chamber of Commerce (NGLCC) 
  • Financial Services Roundtable for Supplier Diversity (FSRSD) 
  • The Conference Board Supplier Diversity Leadership Council 

Training the next generation 
of diverse suppliers 

The annual Allstate Supplier Diversity Exchange (Exchange) gives diverse suppliers and startups the opportunity to network with key Allstate decision-makers and our major suppliers and strategic partners. The program helps Allstate support businesses in underserved areas, and participating companies become better positioned to compete for contracts. 

Since the Exchange started, nearly 600 businesses have attended. While attendance at the Exchange does not guarantee business, approximately 200 participants have competed for Allstate’s business. In 2020, the virtual event brought together nearly 1,400 leaders from many industries. It included Office Hours and Virtual Capabilities Briefings to connect diverse suppliers with Allstate decision-makers for potential sourcing opportunities. Allstate also hosted an Inclusive Conversations Webinar with employees in September 2020, attended by more than 400 participants. 

Allstate Mentoring Program 

The Allstate Mentoring Program helps diverse business owners strengthen and grow their companies by helping them work on their business – not just in it. Participants are matched with Allstate executives whose expertise is aligned with the developmental need of the business owner. This historically 12-month program involves live sessions and webinars focused on leadership and employee development, financial management, sales and marketing, and technology enhancement.  

We are reimagining and relaunching the Allstate Mentoring Program to include startup venture entrepreneurs in addition to established business owners to jump-start growth, capacity, equity and economic prosperity. We will shorten the program duration, leverage virtual meeting technology to increase the number of cohort participants and accessibility, as well as enable virtual mentorship engagement. The relaunch is expected by the end of the second quarter of 2021.  

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