Pay equality contributes to effective diversity management and organizational
performance. Diversity management in remuneration requires complete application of the principle of equal pay and a performance-based pay system. Empirical evidence suggests that the compensation structure, the wage determinants and the benefit schemes should be designed not only on common principles but also considering individuals in terms of their ability, knowledge and skill.
An individual-driven remuneration system facilitates individual lifestyles and further promotes diversity. To implement HR diversity practices, scholars also placed strong emphases on educating employees to understand diversity principles and accept their responsibilities, developing identity-based networking groups and targeting communi- cations to different affinity group members (Kramar 1998; Friedman and Holtom 2002).
At the operational level, a major diversity management issue arises when an individual
tries to balance work and family life. In this regard flexible employment has great advantages over the traditional employment system. Employment flexibility provides individuals with the freedom to choose the working schedule based on their personal capacity. The diverse workforce has different priorities for themselves as well their families and societies. Flexibility provides a reasonable balance and allows employees to address significant issues. BHP Billiton, a leading Australian organization is one of the first companies in the world to combine health, safety, environment and community matters in one policy and one set of management standards. At the centre of diversity practices at BHP Billiton are the company’s