Question

With most new employees in the late twenties or early thirties, Albertson & Sons Inc. has learned that helping new employees secure home loans has been a valuable service that pays off in the long term. This is an example of what type of diversity initiative or program?

Answer 1

Albertson & Sons Inc.'s home loan assistance initiative is a workforce diversity program that aims to improve employee work-life balance and loyalty.

Step-by-step explanation:

The initiative by Albertson & Sons Inc. to assist new employees with securing home loans can be classified as a workforce diversity program. This kind of program recognizes the diverse needs of employees and creates policies that assist them in achieving a work-life balance. Such initiatives are aimed at reducing work-family conflict and are beneficial in fostering long-term employee loyalty and satisfaction.

Companies like IBM, Lucent Technologies, and SC Johnson have implemented similar policies, as observed by Posig & Kickul (2004), to support their employees' personal life events and daily responsibilities. The impact of these schemes is significant, as it not only supports the workforce but also contributes to a company's growth by ensuring a committed and diverse team.

Regarding financial strategies for businesses, loan diversification is crucial for banks to protect themselves against high rates of loan defaults and asset-liability mismatches. By lending to a variety of customers in different industries and locations, banks minimize their exposure to default risk and improve their chances of maintaining a positive net worth.