The head of the American Association of Advertising Agencies told industry executives Tuesday that racism and sexism in ad agencies are real problems that can no longer afford to be the "pink elephant in the room," the industry publication Campaign US reported.

"Real change has to start with you. It has to start at the top. That means if you are the CEO, you are the chief diversity officer," 4A's CEO Nancy Hill said in her opening remarks at the association's annual conference in Miami. "Look at salaries. Is there a gap? If there is, fix it. Men, you must be part of the conversation. You have to start the conversation."

4A's industry has been rocked by a recent scandal resulting from a lawsuit filed against ad agency J. Walter Thompson Co. by a former employee who claims the ex-CEO routinely made racist and sexist remarks to staff. After the industry news site Ad Age reported on the story, it said it was inundated with comments and emails from readers reporting similar instances of mistreatment from top-level marketing execs.

In her remarks, Hill didn't mention the lawsuit but did point to the Ad Age article. She said the industry needed to do more to promote gender equality and ensure safe and fair workplaces, Campaign US reported.

"While disturbing, (the Ad Age article) raises the discourse of gender and racial inequality to a new level, and that's one positive outcome," she said. "Unfortunately, the alleged behavior does happen. And it happens more frequently than we think." http://bit.ly/1PrqaBA

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