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

NEW YORK, Oct. 30, 2024 /PRNewswire/ -- A landmark Supreme Court decision. A polarized electorate. ESG in the crosshairs. These factors and others are putting Corporate America's diversity efforts on defense like never before. Despite the scrutiny, these programs continue to receive strong support from employees, according to new survey data from The Conference Board.

Indeed, 58% of US workers believe their organization devotes the appropriate level of effort and resources to their DEI initiatives; 21% don't believe their organization's efforts go far enough.

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

"DEI values and initiatives are essential for many US employees and continue to receive strong, positive feedback," said Allan Schweyer, Principal Researcher, Human Capital, The Conference Board. "Leaders should focus on what really matters for their workforce amid the noise, as these initiatives are crucial for attracting and retaining current and future talent."

The survey data gauges employees' and executives' perceptions of DEI initiatives and backlash. Key findings include:

Worker Views of DEI Initiatives
Findings come from a survey of 1,345 US workers, carried out in August 2024.

Employees support DEI initiatives, with nearly a quarter 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 equitable pay programs.

• 81% say their company has fairness policies and executive leaders who actively promote DEI.
• 76% have programs that promote equitable compensation and benefits.
• 74% have a dedicated DEI leader.

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

• 63% report a positive impact from executive leaders communicating the importance of DEI.
• 62% say the same for initiatives that promote equitable compensation and benefits.

However, they're uncertain 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 targets could be perceived as quotas and 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 for workplace culture but are unsure about 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 impacts productivity, 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 methodically capture and communicate productivity improvements that stem from diverse teams to better illustrate DEI's contributions."

Nearly half of women wouldn't work for a company that doesn't take DEI seriously.

• 49% of women wouldn't work for a company that doesn't take DEI seriously vs. just 29% of men.

Women's perceptions of DEI initiatives are more positive than men's.

• 73% of women report a positive impact from equitable compensation 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.

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

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

• 63% of surveyed executives view the political climate for DEI as very or extremely challenging.
• 63% say the 2023 Supreme Court decision on affirmative action negatively affected their DEI efforts.

Executives are bracing for persisting or intensifying scrutiny 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 company has adjusted its DEI terminology both internally and externally over the past year, with another 20% considering similar changes.
  • They're adjusting language to broader concepts like "inclusion," "belonging," and "engagement," which are less prone to legal 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

SOURCE The Conference Board