Latest / The Diversity Career Podcast with Fexingo: Inclusion, Equity, and Underrepresented Professionals / How a Retail Giant Built a Career Ladder for Formerly Incarcerated Workers
Transcript
- Lucas: So, Luna, I was looking at a report from the National Employment Law Project, and one number jumped out: forty-five percent of formerly incarcerated individuals are unemployed a year after release. Luna: That's staggering. And it's not just about the stigma — it's about the lack of a real path forward. Lucas: Exactly. And that's why I was so interested in this program at a big retailer — I'm thinking of the one that's been running second-chance hiring for years now. They've moved beyond just filling entry-level slots. They've built an actual career ladder. Luna: A ladder — not just a job. So what does that look like in practice? Lucas: Well, they start with a six-week paid training program that covers not just the basics of the job but also soft skills — communication, time management, conflict resolution. Then they pair each new hire with a mentor who's been with the company for a while, often someone who came through the same program. Luna: So there's a built-in support system. And the mentors — are they trained specifically for that? Lucas: Yeah, they go through a workshop on coaching and on understanding the unique challenges of reentry. It's not just a buddy system — it's structured. Luna: That makes a huge difference. Because if a mentor doesn't get the background, they might misinterpret behaviors. Lucas: Right. And the training doesn't stop after the first six weeks. They have quarterly check-ins where they set career goals, and they offer tuition assistance for things like logistics or management certificates. Luna: So it's not just about getting a job — it's about building a career. What kind of advancement have they actually seen? Lucas: Their data shows that after two years, about sixty percent of these hires are still with the company, and thirty percent have been promoted at least once. Some have moved into shift supervisor or department manager roles. Luna: Thirty percent promoted — that's a solid number. And the retention rate is above their average for other entry-level hires, right? Lucas: Yeah, I think they said it's about fifteen percentage points higher than their general hourly retention. So the program isn't just a feel-good initiative — it's a talent strategy. Luna: And that's the key, isn't it? It's not charity; it's solving a business problem. They need reliable workers, and this pool is often overlooked. Lucas: Exactly. And they've been smart about partnerships. They work with local reentry organizations that do the initial screening and provide case management, so the company doesn't have to build that from scratch. Luna: That's a good point — they're not trying to do everything alone. They're leveraging community expertise. Lucas: And it also helps with the legal side, because they're careful about what roles they place people in, avoiding positions that have restrictions under state law. So there's a compliance layer that they've figured out. Luna: So what about the culture? I imagine there's been some resistance from managers or other employees at first. Lucas: There was some initial hesitation, sure. But they addressed it head-on with voluntary unconscious bias training, and they made it a point to share success stories across the company. They also have an employee resource group for justice-impacted individuals and their allies. Luna: An ERG for that — that's a step a lot of companies haven't even considered. Lucas: It gives people a community, and it gives leadership a direct line to what's working and what's not. One of the things they learned is that some folks need help with things like transportation or even getting IDs — so they connected them with local services. Luna: So it's about removing barriers beyond the job itself. That's holistic. Lucas: And the results speak for themselves. They've hired thousands of people through this program across their distribution centers and stores. And they've seen a return on investment in terms of lower turnover costs and higher productivity. Luna: I love that they're tracking those metrics. It's not just anecdotal. Lucas: Yeah, they have a dashboard. They measure everything from time to promotion to performance reviews, and they're open about sharing that data with other companies who want to learn. Luna: So this could be a model for other industries, not just retail. Lucas: Absolutely. The principles — structured training, mentorship, community partnerships, and tracking outcomes — could translate to hospitality, manufacturing, even tech. Luna: And speaking of translation — if you're listening and this kind of thing is relevant to your work, we want to make sure you can keep getting episodes like this. Everything we do here is ad-free, and that's because listeners who find value in the show sometimes support it at buy me a coffee dot com slash fexingo. Lucas: Yeah, that's the way it works. If we've helped you think through a career move or a hiring strategy, that's exactly why we do this. And the link is just there if you want to keep it going. Luna: But back to the program — one thing I'm curious about is how they handle the background check process. Do they ban the box? Lucas: They do, actually. They've removed the criminal history question from the initial application, and they only conduct a background check later in the process, after a conditional offer. That gives candidates a fair shot at getting a foot in the door. Luna: That's a big deal. It changes the whole dynamic — you're not immediately disqualified before you can even talk to someone. Lucas: And they have guidelines for hiring managers on how to evaluate criminal records in a way that's job-related and consistent. It's not just a blanket ban on anyone with a record. Luna: So it's a more nuanced approach. They're actually assessing risk, not making assumptions. Lucas: Right. And they've found that their workforce becomes more engaged when they see that the company is willing to take a chance on people. It boosts morale across the board. Luna: That's a ripple effect. So what's the most surprising thing you learned about this program? Lucas: Honestly, it's that the people who come through this program often become some of the most loyal and motivated employees. They talk about having a second chance in a way that's really powerful. And they often become advocates for the company in their communities. Luna: That's a win-win. The company gets dedicated workers, and the workers get a real shot at a stable career. Lucas: Exactly. And I think other employers could learn a lot from that — not just in terms of hiring, but in terms of how you create a culture that values people for their potential, not just their past. Luna: So what's the next step for this company? Are they expanding the program? Lucas: They're actually piloting a version in a couple of their corporate offices, not just stores and warehouses. They're looking at roles like customer service and data entry. And they've started working with a few other large employers to share their playbook. Luna: That's exciting. It could really scale up if more companies adopt this. Lucas: And that's the hope — that this becomes a standard, not an exception. Because when you look at the numbers, it's clear that investing in this talent pool pays off. Luna: I think that's a great place to leave it. Thanks for bringing this to our attention, Lucas. Lucas: Anytime. It's a story worth telling.