We are all aware of the challenges facing our city — many due to a racial wealth gap exacerbated by years of biased economic policies and practices. According to the Chicago Community Trust, for every $1 of wealth accumulated by white families, Latino families have eight cents and Black families just one cent. And research from the U.S. Census’ most recent annual survey showed Blacks and Latinos are three times more likely to be unemployed than their white counterparts, a measure that puts Chicago 19th among the 20 largest U.S. cities.
We must close these gaps so all families can thrive in our city.
But first we must challenge the traditional corporate site selection process, which perpetuates systemic bias by targeting areas that already have abundant resources and quality infrastructure. Wealthier neighborhoods continue to benefit, while neighborhoods in need of investment continue to lag far behind.
In March 2021, Discover announced plans to open a new customer care center in Chatham, a Black community on the South Side, with a goal of providing 1,000 jobs by 2024. At the time, the decision may have seemed counterintuitive — we were amid a global pandemic, most of our employees were working from home, we were experiencing an economic downturn and materials and labor were in short supply. These factors led some to question the decision to open a new physical location.
For me, it seemed that it was precisely the right time to act. Large companies have the unique ability to bring jobs, at scale, directly to communities that were disproportionately impacted by the pandemic and suffered from underinvestment.
What we found is that it’s not just the right thing to do — it’s a great business decision.
Making change that lasts
Two years later, this decision has already benefited our customers, employees and business — and offers a blueprint for corporations to invest in our South and West Side communities and drive lasting change.
We started by being intentional about spending on suppliers. We have partnered with several minority and women-owned construction-related businesses, spending $19 million — with $4.9 million going to Black-owned enterprises. We have hired 41 local caterers and restaurants for employee meals, infusing nearly $1 million into these small businesses and enabling them to grow their operations.
We now have more than 500 employees working in our Chatham center, 87% of whom live within five miles of the center. Compared to our other best-in-class call centers, we’ve seen even higher employee engagement, significantly lower attrition rates and our customers are delighted with the service they receive. And we’ve tapped into a pipeline of talent that will grow and transform Discover — nearly half of our Chatham employees have been promoted, 41 are pursuing a fully funded higher education degree, and we have already expanded into human resources and business technology positions at the center.
We are also enjoying being an active participant in the vibrant Chatham community. Our intention for Chatham was never to simply be a good employer, but to also support local initiatives that contribute to the financial and overall health of its residents. Our facility also houses the Shine Bright Community Center, which is free to use for non-profits, schools and other organizations to host meetings, events and volunteer projects.
Our experience in Chatham has been transformational. It has helped us better serve our customers and reinforced that while opportunity has not been evenly distributed in our country, talent has. I truly believe Chatham has benefited us more than we’ve benefited Chatham.
I would encourage CEOs of other Chicago corporations to think differently about how you do business and use your platforms to advocate for change and bring job opportunities to our South and West Side communities. By offering quality, full-time jobs, we can help close the racial wealth gap, fuel small business growth and strengthen communities. Together, we can have a tangible impact on our city as we work to promote development, reduce crime, and create opportunities for all.
Think about how amazing Chicago’s economy can be if everyone fully participated in it. By investing in all of Chicago, we can do what is not only good for our city but also good for business. Now is the time to act.
Roger Hochschild is CEO and president of Discover. He is also co-chair of the Corporate Coalition of Chicago and a member of the Civic Committee of the Commercial Club of Chicago.
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