The Conference Board Inc.

10/30/2024 | Press release | Distributed by Public on 10/30/2024 14:25

Despite DEI Backlash, Nearly 60% of US Workers Support Current DEI Policies

A landmark Supreme Court decision. A polarized electorate. ESG in the crosshairs. These factors and othersare putting Corporate America's diversity efforts on defense like never before. Despite the scrutiny,theseprograms continue to receive strong supportfrom employees, according to new surveydatafrom The Conference Board.

Indeed, 58% of US workers believe their organization devotes the appropriate levelof effort and resources to their DEI initiatives; 21% don'tbelieve their organization's efforts go far enough.

The study also explores the views of workersfor whom these efforts are essential: nearly halfof women (49%) and Black (56%) respondents say they wouldn'twork for a company that does not take DEI seriously.

"DEI values and initiatives are essential for manyUS employeesand continue to receive strong, positive feedback," said Allan Schweyer, Principal Researcher, Human Capital, The Conference Board."Leaders shouldfocus on what really matters for their workforceamid the noise, as these initiatives are crucial for attracting and retaining current and future talent."

The surveydatagauges employees'and executives'perceptionsof DEI initiatives and backlash. Keyfindings include:

Worker Viewsof DEI Initiatives

Findings come from a survey of 1,345 US workers, carried out inAugust 2024.

Employees support DEIinitiatives, with nearlyaquarter expressing a desire for more.

  • 58% say their organization's DEI approach is appropriate-but 21% say it is insufficient.

  • 21% feel too much effort and resources are allocated.

Most companies have DEI initiatives that include fairness policies and equitablepay programs.

  • 81% say their company has fairness policies and executive leaders who actively promote DEI.

  • 76% have programs that promote equitablecompensation and benefits.

  • 74% have a dedicated DEI leader.

Employees find initiatives that emphasize the importance of DEI and fair paythe most impactful.

  • 63% report a positive impact from executive leaders communicating the importance of DEI.

  • 62% say the same for initiatives that promote equitablecompensation and benefits.

However, they'reuncertain about the impact of measuring DEI objectives.

  • 52% say that measuring DEI targets has a neutral or negative effect on their work experience.

    • This may be due to concerns over whether DEI targetscould be perceived as quotasand could unfairly advantage some groups over others.

Demographic differences shape employees' views of DEI, with millennials showing the most support.

  • Millennials: 52% say their organization dedicates the right amount of effort to DEI and 32% say their efforts are not enough.

  • Gen X: 57% and 22%, respectively.

  • Baby Boomers: 63% and 12%, respectively.

Employees consider DEI vital forworkplace culturebutare unsureabout its impact on productivity.

  • 71% of respondents say that DEI initiatives improve their sense of belonging.

  • 62% say they enhance engagement.

  • 59% say they help collaboration and retention.

  • Only 43% believe DEI positively impactsproductivity, with 17% seeing it as detrimental.

"While DEI initiatives can establish a foundation for diverse perspectives and creativity, their impact is not easily quantifiable," said Diana Scott, US Human Capital Center Leader, The Conference Board."Companies should methodicallycapture and communicate productivity improvements that stem from diverse teams to better illustrate DEI's contributions."

Nearly halfof women wouldn'twork for a company that doesn'ttake DEI seriously.

  • 49% of women wouldn'twork for a company that doesn'ttake DEI seriously vs. just 29% of men.

Women's perceptionsof DEI initiatives are more positive than men's.

  • 73% of women report a positive impact from equitablecompensation initiatives vs. 51% of men.

  • 71% of women report a positive impact from DEI workshops vs. 50% of men.

Black respondents are more likely to perceive DEI efforts as insufficient.

  • 56% of Black respondents say they would not work for a company that does not prioritize DEI, compared to 40% of White (non-Hispanic), 33% of Hispanic, and 33% of Asian respondents.

  • 40% of Black respondents say their company's current DEI efforts are not enough, compared to 19% of White (non-Hispanic), 25% of Hispanic, and 23% of Asian respondents.

ExecutiveViews of DEI Backlash

Findings come from a survey of 73senior DEI, HR, ESG, and Corporate Citizenship executivesat US public companies, carried out in March 2024.

The political and legal landscape for corporate diversity efforts is increasingly contested.

  • 63% of surveyed executivesview the political climate for DEI as veryor extremelychallenging.

  • 63% say the 2023 Supreme Court decision on affirmative action negatively affected their DEI efforts.

Executives are bracing for persistingor intensifyingscrutiny of their diversity initiatives.

  • 69% expect scrutiny of DEI efforts to persist or increase in the next three years.

Most companies are revising their DEI terminology, but few plan to reduce their DEI communications.

  • 53% say their companyhasadjusted itsDEI terminology both internally and externally over the past year, with another 20% considering similar changes.

    • They'readjustinglanguage to broader concepts like "inclusion," "belonging," and "engagement," which are less prone tolegal challenge.

  • Only 9% of surveyed executives intend to scale back external DEI communications over the next year-and just 3% plan to do so internally.

About The Conference Board

The Conference Board is the member-driven think tank that delivers Trusted Insights for What's Ahead™. Founded in 1916, we are a non-partisan, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States. www.ConferenceBoard.org.

For further information contact:

Katie Puello