Private equity firm Kohlberg, Kravis, and Roberts announced on August 12th that its employees now have the option to bring new children and their caregivers on business trips for up to a year after the child is born, paid for by KKR. Additionally, KKR expanded the leave time it offers to new parents.
KKR is aiming to change the demographic landscape of private equity, where nine out of ten senior managers are men. Women hold 16% of senior positions in investment management according to Catalyst, a nonprofit group.
This year, according to Bloomberg, KKR assembled a council in charge of devising ways to expand the firm’s appeal to “women, minorities, gays and lesbians, who traditionally haven’t entered asset management in large numbers.”
KKR is one of the companies at the forefront of expanding the options available to new fathers and mothers. According to the New York Times, the firm joins companies such as Yahoo, Microsoft, Netflix, IBM, and Goldman Sachs, which have begun offering various maternity benefits.
Such benefits include varying amounts of expanded paid leave, travel accommodations for new parents, and the option to ship breast milk home when away on business, paid for by the company. These companies are expanding their benefits in order to attract and retain talented employees.
Ken Mehlman is quoted in Bloomberg, saying:
“The best and the brightest of the future don’t look like the best and the brightest of the past,” said Ken Mehlman, a KKR partner and former chairman of the Republican National Committee. “This is a necessary first step. I hope the whole industry improves and we all learn together.”
Co-founder George R. Roberts echoes this sentiment, telling Bloomberg:
“Too many same people means too much same thinking,” Roberts, 71, said in an interview. “We found that people were hiring people like themselves. If you want to stifle innovation, if you want to stifle diverse thinking, if you want to stifle creativity, then just keep hiring people like yourself.”
Executives at KKR have made progress over the last three years in addressing the gender gap—statistics from Bloomberg indicate the gender gap at KKR has improved by 7.3%, the highest of all the private equity firms surveyed. While there is still more progress to be made, KKR is on the right track.