In this article, we will take a look at the 20 most ethnically diverse states in the US, along with the economic implications of ethnic diversity.
Overall Diversity in the US
The United States is regarded as a melting pot of various cultures and ethnicities, but where does its ethnic makeup stand today? After the 2020 census, the US Census Bureau reported that overall, the US population had a diversity score of 61.1%. This number means there is a 61.1% chance that two randomly selected people will belong to different races or ethnicities. In 2010, this score was at 54.9%, showcasing an increase in the upcoming decade.
The 2020 census further revealed that the population under 18 had a diversity score of 68.5%, whereas those aged 18 and above had a diversity score of 58.3%. Among both sets of populations, the lowest diversity score was seen in the region of Puerto Rico, with 2.3% for the adult population, and 1.7% for those under 18. You can also check out some of the least racially diverse cities in the US. Overall, the three most prevalent racial or ethnic groups in the US were White (57.8%), Hispanic/Latino (18.7%), and Black/African American (12.1%).
Why Diversity Matters?
Ethnic diversity has positive implications not just for the general population but also for corporate organizations. In December 2023, McKinsey & Company published the fourth edition of their report on ‘Diversity Matters’. The report found that companies that were in the top quartile of ethnic representation had a 39% higher likelihood of outperformance, as compared to companies in the lowest quartile. The top quartile companies also showcased a financial advantage above other companies, which was around 27% on average.
Furthermore, companies that were in the top quartile for both ethnic and gender diversity were 9% more likely to financially outperform their peers. On the other hand, companies in the bottom quartile for both kinds of diversity were 66% less likely to financially outperform their peers. Companies within the top quartile for ethnically diverse boards also showed a 13% more likelihood to outperform competitors. This reveals that a lack of diversity can reduce profitability and may be more expensive for companies. The report also discovered that companies with increased ethnic diversity have better scores for corporate citizenship, climate strategy, and labor practice indicators.
However, despite the financial upsides of a diverse workforce, companies aren’t improving in ethnic diversity at a considerable speed. McKinsey had consistently available ethnic data for 533 companies from 2018 to 2023, during which time ethnic representation on executive teams increased from 12% to just 15%. In the United States, leading companies have 39% of their board members from historically underrepresented ethnicities, but this is still lesser than the population share of 43% of individuals being non-white. Until companies come to par with mirroring the ethnic demographics of the general population, they cannot be considered truly equitable. This is one of the reasons why, despite ethnic representation, the US is still considered one of the worst countries for racial equity.
Diversity Leaders in the US
In the American diversity landscape, Accenture Plc (NYSE:ACN), a global IT services enterprise, is one of the leading companies. In 2022, it was placed first on Fair360’s list of top 50 companies for diversity in the US. Overall, Accenture Plc (NYSE:ACN) has been on this list for 16 consecutive years. The American Indian Science and Engineering Society’s list of top 50 workplaces for indigenous STEM professionals has also recognized the company for four consecutive years. It has also been on LATINA Style Magazine’s list of the best 50 companies for Latinas to work in the US for ten consecutive years.
In its 2023 Proxy Statement, Accenture Plc (NYSE:ACN) reported that 45% of its directors are from racially and ethnically diverse backgrounds, as are the chairs of 75% of its board committees. In the US, Accenture has a total workforce of 63,244 employees, as of 2023. Within these, 45.4% are White, 24.3% are Asian or Asian-American, 12.2% are Black or African-American, 10.5% are Hispanic or Hispanic-American, and 0.2% are Native American. Compared with numbers from 2015, the White workforce has decreased by 4.9% and the Asian workforce has decreased by 8.9%. On the other hand, both African-American and Hispanic workforces increased by 4.6% and 4.2%, respectively.
Companies like Accenture Plc (NYSE:ACN) prove that building a diverse workforce is possible, especially in a country like the US. With this context, let’s take a look at some of the most ethnically diverse states in the US. You can also check out the most linguistically diverse countries in the entire world.
20 Most Ethnically Diverse States in the US
Our Methodology
In order to curate this list of the 20 most ethnically diverse US states, we consulted the Diversity Index by the United States Census Bureau. This Index uses the 2020 US Census to calculate the chance that two people, chosen at random, will be from different ethnic and racial groups. The higher the index percentage, the more diverse a state is. The states are ranked in ascending order of increasing diversity. For the purpose of this article, we have also included Washington D.C. (District of Columbia) as a separate state, as it has a considerable Diversity Index.
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20 Most Ethnically Diverse States in the US
20. Washington
Diversity Index Score: 55.9%
In Washington, 63.8% of the population is White, 13.7% is Hispanic or Latino, and 9.4% is Asian. From 2010 to 2020, Washington’s diversity score increased 10 percentage points. It currently ranks 20th on our list of the most ethnically diverse states in the US
19. North Carolina
Diversity Index Score: 57.9%
In North Carolina, 60.5% of the population is White, 20.2% is Black or African-American, and 10.7% is Hispanic or Latino. In 2010, the state’s diversity score was 52.1%. Despite its increased diversity, North Carolina ranked as the 19th most diverse US state in both 2010 and 2020.
18. Louisiana
Diversity Index Score: 58.6%
Louisiana ranks 18th on our list of the most diverse states in the US, a ranking which has decreased since 2010, when the state ranked 16th. In 2010, 55.8% of the state’s population was White, 31.2% was Black or African-American, and 6.9% was Hispanic or Latino.
17. Oklahoma
Diversity Index Score: 59.5%
Diversity in Oklahoma has increased almost 9 percentage points since 2010. In 2020, it ranked as the 17th most ethnically diverse state in the US. After a White population of 60.8%, the second-largest ethnic/racial group in Oklahoma is Hispanic or Latino (11.9%).
16. Delaware
Diversity Index Score: 59.6%
Delaware is 58.6% White, 21.5% Black or African-American, and 10.5% Hispanic or Latino. Despite being one of the most ethnically diverse states in the US, Delaware is still struggling with diversity in certain segments, such as its judicial system. A 2024 report by Bloomberg Law noted that surveys conducted in 2022 showed that 91% of Delaware attorneys were White. However, the 2023 bar exam showcased promise for diversity as only 69% of the applicants were White, still a higher percentage as compared to state demographics.
15. Illinois
Diversity Index Score: 60.3%
Illinois ranks 15th on our list of the most ethnically diverse US states. In 2020, the state’s population was comprised of 58.3% White individuals, 18.2% Hispanics or Latinos, and 13.9% Blacks or African Americans.
14. Virginia
Diversity Index Score: 60.5%
According to the 2020 census, 58.6% of Virginia’s population is White, 18.3% is Black or African-American, and 10.5% is Hispanic or Latino. The state currently ranks 14th on our list of America’s most ethnically diverse states.
13. Arizona
Diversity Index Score: 61.5%
In Arizona, 53.4% of the population is White, 30.7% is Hispanic or Latino, and 4.4% is Black or African American. These make up the three largest ethnicities in the state. In 2010, the state’s diversity score was 57.4%, which increased to 61.5% by 2020.
12. Alaska
Diversity Index Score: 62.8%
57.5% of Alaska’s population is White, while 14.8% belongs to Native American or Alaska Native communities. It is the 12th most ethnically diverse state in the US. During the 2020 census, some of the most diverse census tracts were present in Anchorage, Alaska. Out of the seven census tracts with a population of more than 2,000 and a diversity score of 82% or higher, four were in Anchorage.
11. New Mexico
Diversity Index Score: 63%
In 2010, New Mexico had a lesser diversity score (61.4%) but ranked as the 6th most diverse state in the US. After the 2020 census, its overall diversity has increased but its rank fell to 11th. 47.7% of New Mexico’s population is Hispanic or Latino, which is the largest ethnic group in the state.
10. Florida
Diversity Index Score: 64.1%
Florida ranks tenth on our list of the most ethnically diverse states in the US. In Florida’s population, 51.5% of the individuals are White, 26.5% are Hispanic or Latino, and 14.5% are Black or African-American.
09. Georgia
Diversity Index Score: 64.1%
Georgia ranks 9th on our list of the most ethnically diverse states in the US, with a diversity score of 64.1%. Out of Georgia’s total population, 50.1% is White, 30.6% is Black or African-American, and 10.5% is Hispanic or Latino.
08. New York
Diversity Index Score: 65.8%
Over the past decade, New York’s diversity score has increased five percentage points. In 2020, 52.5% of New York’s population was White, 19.5% was Hispanic or Latino, and 13.7% was Black or African-American. New York’s Queens County also had some of the most diverse census tracts from the 2020 census.
07. New Jersey
Diversity Index Score: 65.8%
New Jersey ranks 7th on our list of the most ethnically diverse states in the US, two ranks higher than its 2010 position. 51.9% of New Jersey’s population is White, 21.6% is Hispanic or Latino, and 12.4% is Black or African American.
06. Texas
Diversity Index Score: 67%
Texas ranked as the 3rd most diverse state in the US during the 2010 census, but it had a diversity score of only 63.8%. The state’s rank might have fallen, but its overall diversity has increased since then. In 2020, only 39.7% of Texas’ population was White, whereas 39.3% was Hispanic or Latino.
05. Washington D.C (District of Columbia)
Diversity Index Score: 67.2%
The capital of the United States ranks as the 5th most ethnically diverse region in the whole country, with a diversity score of 67.2%. In 2020, the largest ethnic group in the city was Black and African-American individuals, who made up 40.9% of the total population.
