Hispanics in the Corporate World
Because many boards still do not reflect the diversity of their customer base or the demographics of the broader society in which they operate, Hispanics are nearly invisible at leadership levels in corporate America. Although Hispanics constitute approximately 19 percent of the U.S. population, as of 2023 they occupied 3.6 percent of directors positions at Russell 3000 companies (a market index of the performance of publicly traded companies that account for approximately 98% of all U.S. stocks). The difference between the labor force participation and executive representation is greater among Hispanics than any other group. In terms of raw numbers, almost 1,000 Hispanic directors are at Russell 3000 companies of whom approximately 360 are women. As context for Hispanic representation, the average number of directors in a single Russell 3000 company is 9.2 – and the approximate total number of directors is 27,600. The number of female Hispanic directors has more than doubled since 2019. However, the increasing representation of Hispanic women still lags the increases of women in other ethnic minority groups.
These findings are echoed by the Latino Corporate Directors Association (LCDA), an organization of Latino corporate leaders that is committed to developing, supporting and increasing the number of U.S. Latinos on corporate boards. Esther Aguilera, President and CEO of LCDA, stated that “historically, Latinos have been overlooked for c-suite roles and especially for CEO positions.” Whereas a new milestone was achieved in 2021 with 16 Latino CEOs leading S&P 500 companies, thus far only one Latina has held a CEO role.
Much remains to be done to increase the presence of Hispanics at the top levels of American corporations. Given the importance of education as a requirement for C-level jobs, it is worth noting that more Hispanics are attending and graduating from college than ever before. Given greater Hispanic participation in education, the question remains as to why less than 5 percent of corporate executives and board members are Hispanic.
U.S. businesses have begun to take diversity more seriously. A few progressive companies have introduced initiatives such as employee resource groups and mentorship to augment advancement opportunities for their Hispanic employees. Similar corporate efforts, notably Coca‑Cola’s Hispanic Leadership Business Resource Group that incorporates scholarship and leadership development programs, have been stymied by the uncertain immigration status of otherwise qualified Dreamer candidates. Consequently, Hispanic presence on corporate boards and in C-suites is not expected to increase dramatically. Only about 20 percent of corporate respondents to a 2023 survey by the Harvard Law School Forum on Corporate Governance say their boards are prioritizing the recruitment of women and underrepresented minorities. Thus far the results showed that only 9 percent of the new directors appointed at S&P 500 corporations in 2023 were Hispanic, an increase of 1 percent from 2022.
This realization has led to hiring practices that reach out to different communities and to the start of company programs that build collaboration and trust between people of all backgrounds. For example, in September of 2020, Chairman Peter T. Grauer of Bloomberg (a worldwide media corporation that provides financial news and information) signed The Hispanic Promise, the first-of-its-kind national pledge to hire, promote, retain, and celebrate Hispanics in the workplace. According to Grauer, “We recognize that change requires action, and we continue to work with business managers to make sure Latinos are included in the leadership dialogue.” Subsequently, 300 companies have “committed” to the Hispanic Promise framework. In this vein, the annual Corporate Visionary Awards conferred by the Latino Corporate Directors Association recognize companies that have at least two U.S. Latinos serving on their boards.
Despite such good intentions, the less well understood problem of cultural difference between mainstream corporate culture and Hispanic culture often interferes with their integration into traditional U.S. corporate life. Unconscious cultural biases may adversely influence the evaluation of both the performance and potential of Hispanics. For example, sociocultural factors have been cited to explain the underrepresentation of Hispanics in leadership positions in corporate America. It has been suggested that humility is a widely shared cultural value among Hispanics that manifests itself in reluctance to boast about one’s achievements. Because modesty is seldom rewarded in the corporate world, the corporate job interviewer may interpret this expression of a characteristic Hispanic cultural value to be a sign that the candidate will not be assertive enough to supervise a group of subordinates.
Unfavorable stereotypical beliefs about Hispanics present additional obstacles. Non-Hispanics often incorrectly assume that as many as one-third of Hispanics are undocumented and, therefore, should only be considered for low-level jobs. Such misperceptions of Hispanics reduce the likelihood of promotion to higher-level organizational positions. Corporate America must understand the actual difference between real job requirements and cultural preferences that are not important determinants of job success.
According to Chapter 4 of the Definitive Guide to Latino Corporate Success, “Corporations need to stop saying they want to hire Latinos for their differences and subsequently coach them to set aside those differences.” What appears important for Hispanics applying for or accepting jobs in corporate America is that they see their ethnicity as a social strength that is of genuine value while building a career in corporate America.
All Hispanics who hope to grow careers in corporate America should read the Latino Executive Manifesto. Its 10 clauses identify the bases for lasting Latino career success. Three of these clauses (below) are easily recognizable in the careers of the Latina and Latino executives described below.
- “Latinos need to double down on the relentless pursuit of higher education and rally behind it as a civil rights issue. Education is the greatest protection against hostility and biases. It is also necessary for achieving the highest levels of leadership.”
- “Latinos must embrace ambition as an honorable intent. While maintaining humility, we also must not be naïve. No one is going to hand Latinos opportunities if they are not openly seeking them. The community should celebrate those who demonstrate this ambition because we all benefit.”
- “Latino leaders must give back to the community. Latinos who have attained high corporate status success should help others achieve success. The journey of the Latino executive is incomplete if they don’t give back to others.”
Before You Proceed
It must be emphasized that the Latina and Latino biographies that make up the content below represent only a few of the corporate success stories of Hispanic executives. Spreading the word about the accomplishments of corporate Hispanics is a cause taken up by several ethnic organizations, three of which are described briefly below under Additional Resources.
The executives’ names that serve as headings for the brief biographies most often are links to additional written material about their careers. Where they were available, links are provided to videos in which these successful Hispanics describe their executive experiences. Note that on other pages below containing biographies of distinguished Hispanic entrepreneurs and renowned contributors in various professional fields, this same format will be used to describe their careers.