DEI Initiatives Are No Longer Optional. They Are A Requirement For Businesses Today.
Over the last couple of years, we have seen a surge in Diversity, Equity & Inclusion hiring as well as training. In fact, last year companies spent over $8B in DEI initiatives. There were over 220,000 jobs in the DEI space – all great! We also saw many posts, articles and studies talking about the benefits of DEI strategies and actions for companies. The Great Resignation is uncovering that people, employees, leaders want more diversity, more equity, more inclusion…and, more belonging.
I am not sure how long the interest in DEI will stay – we see less posts on DEI from non-people of color, less urgency in spending, little to no budget for DEI, shorter tenures of DEI leaders…so what is that saying? Perhaps, we won’t see as much spending in 2022?
Let’s flip the script a bit and talk about the risks of NOT having a DEI strategy. Of not incorporating DEI into the overall business objectives and goals for a company.
Millions of people resigned over the last year from their companies – anyone asking why?
- They are saying:
- They want to feel like they belong.
- They want to see more people like them.
- They want equitable pay for their work.
- They want to be valued.
- They want more career progression.
- They want to work in a hybrid or remote workplace
So, what are some risks of not doing anything around DEI?
Being performative and doing the bare minimum won’t attract diverse talent – in fact, it will erode trust in an organization as well as their leaders.
When there is no DEI strategy or road map in place, companies stand to lose more than their perceived gains:
- Turnover will increase – that’s about a 33% replacement cost
- Employer brand could decline – what will those former employees say about your company
- Employees will lose trust in their organization/leader
- Lawsuits could arise if there is no accountability for bad actors
- Hiring the best talent may not be easy
- Clients will go elsewhere and work with like-minded companies
- Regulatory entities will mandate requirements
- Private Equity firms will choose to invest in culturally diverse organizations
The list can go on – so it is more than just hiring people that look different. It is about doing the right thing to ensure all employees have equitable access to career advancement. It is about removing discrimination in the workplace so people of color feel safe, valued, seen and heard.
If your leading core value is Integrity, then you will have a DEI initiative that is more than performative – it will be transformational!
Starting the DEI journey isn’t as difficult as one may think. There are practical and simple acts to begin the process – how you make employees feel and how you value them in the workplace is starting with empathy and building from there.
