TAKING RESPONSIBILITY At PepsiCo, Workers with Disabilities Are En When one in five workers in the United States has some dis- ability, selection processes that include these people are not only socially responsible, but also meet practical needs in a tight labor market. The practicality of this attitude is even more relevant in light of the aging population (assuming that age brings more health conditions) and the ongoing wars that increase the share of workers who are veterans with disabilities. One company that has appreciated the opportunities that come with openness to hiring disabled workers is PepsiCo. The company partnered with an organization called Disability Solutions to create a program called Pepsi ACT (for Achiev- ing Change Together). The staff of Disability Solutions worked with PepsiCo's HR department to identify job requirements, and it reached out to community groups such as veterans' organizations and public employment agencies to identify job seekers who might have the necessary qualifications. In the first few years of Pepsi ACT, about 300 employ- ees with disabilities were hired for jobs in nine U.S. cities. The company tracked the performance of employees hired through the program. The results included practical ben- efits, most notably a higher retention rate for employees with disabilities, relative to nondisabled workers in compa- rable jobs. Also, at some of the company's locations, hir- ing has become more efficient: the ratio of the number of interviews per hire is lower with the Pepsi ACT applicants. One successful hire is Juan Olivo, who was wounded dur ing his almost dozen years of military service. He struggled to find a job that would fully use his talents until he had a chance to apply to PepsiCo through the Pepsi ACT pro- gram. Three years later, he remains a loyal employee, envi sioning a long-term future with the company. Pepsi ACT started as a test case with a socially respon- sible goal of inclusiveness. Based on its utility to the com- pany, it has become a part of PepsiCo's overall strategy for meeting its talent needs. The results have been impressive enough to convince other companies, including American Express and Aon, to follow PepsiCo's lead and partner with Disability Solutions to meet their own talent needs. Pep- siCo and Disability Solutions were recently given top hon- ors by the U.S. Department of Labor for their hiring efforts on behalf of individuals with disabilities. Questions 1. U.S. law requires that employers make reasonable accom- modations for qualified employees with disabilities. But although discrimination is illegal, some employers are reluctant to consider disabled workers or at least to actively recruit them. What advantages and disadvantages could arise from actively seeking out disabled workers? 2. Do you think the Pepsi ACT program gives PepsiCo a competitive advantage? Why or why not? How could the company determine this? Sources: "U.S. Department of Labor Announces Recipients of Excellence in Disability Inclusion Awards," U.S. Department of Labor, March 11, 2020, https://www.dol.gov/newsroom; Kristine Foss, "From Pepsi to Polaris, Talent