GAO Study Explores Minorities in Financial Services Industry

A recent survey of government employment data by the Government Accountability Office (GAO), an independent, non-partisan agency that serves as a “Congressional watchdog,” explores the presence of minorities in management positions at financial services companies. In general, minorities in financial services management roles rose from 2007 to 2015, but the elevation of underrepresented groups in leadership was not even among races or areas of the industry.

The report noted a number of benefits to having a diversified workforce, including perspectives on underserved markets and better familiarity with customer preferences. Between 2007 and 2015, minority management at financial services firms grew by 3.7% for first- and mid-level managers and only 1.7% for senior-level managers.

American Indians were classified with Alaska Natives, Native Hawaiians, and people identified as “two or more races” in the category “other.” Others saw gains from 0.6% in 2007 to 1.4% in 2015 for all positions with an almost even split between men and women.

Outside specific employment in the financial industry, Native Americans have historically struggled to access capital and utilize the bank sector. Many major banks actively participated in funding projects detrimental to tribal communities, leading many Native citizens to call for tribes and cities around the nation to “divest” from major banks. The Navajo Nation sued Wells Fargo last week for $50 million in connection with a massive conspiracy to open fraudulent accounts for vulnerable tribal citizens.

NAFSA and its members are doing their part to train the next generation of tribal financial leaders. In fact, some NAFSA members have bought out 3rd party service providers in the areas of lead generation, underwriting, customer service, marketing, and management. Not only does this translate to more jobs in Indian Country, but it is creating skilled management positions for a new generation of tribal citizens. Through in-class and on-the-job training, the next generation of tribal financial leaders will emerge and keep more money in Indian Country.