DEI is not dead, but evolving: experts interpret new trends in corporate diversity

Beyond layoff talk, discussions about shelved diversity, equity, and inclusion (DEI) programs dominated HR discourse. In 2020, after the police murders of Ahmaud Arbery and George Floyd and the police shooting of Breonna Taylor, corporations quickly voiced support for the Black Lives Matter movement. Many Black activists wereskeptical of performative allyship, but corporate America carried 2020's momentum into 2021.

In 2022, however, things shifted.

Despite reports that employers were narrowing the gap betweenDEI intent and action, the death knell sounded late that year. Research released by Glassdoor in November 2022 showed thatcorporate investment in diversity recruiting initiatives, pay equity audits, and employee resource groups rose between 2019 and 2021, but dipped slightly in 2022. Monster reported that only 5% of recruiters considered DEI one of theirtop three priorities for 2023. In that same report, 10% of respondents said diversity programs were among the first to be cut in a weak economy.

In response to this shift, HR Dive spoke with two DEI practitioners about the seemingly bleak outlook for 2023.

Argument 1: DEI may not be dead, but it needs a revival

"It's just not a priority," Randi Bryant, a self-described DEI disruptor, told HR Dive when asked about the stalled progress of DEI. Her theory: corporate leaders don't have a clear view of diversity, equity, and inclusion work.

"I think there are a lot of people—especially those in power—who are so far removed from the real-world picture of everyday people that they don't understand how much of a priority this has to be. I think many leaders view it as a 'soft area,'" she said. "They do it to be nice to employees, not realizing that DEI is absolutely necessary for employees to be nice to each other."

Bryant also described the need for a DEI revival, borrowing Merriam-Webster's definition—"restoration to consciousness or life; a return from a state of depression, inactivity, or disuse: a bringing back; a renewing in the mind or memory." In her experience as a DEI consultant, she has found that corporate leadership views DEI as "an act of altruism, like social responsibility, or they view it as marketing."

"I've been in a lot of companies where it's important to them to look like they care about creating a diverse, equitable, and inclusive environment," she said, "but they don't actually create it."

Argument 2: DEI is getting a rebrand

According to Cinnamon Clark, DEI service practice lead at McLean and Company, DEI is still on HR's 2023 "shortlist." But notably, Clark and her team have seen a rise in HR's interest in employee experience. "I think—and there's a lot of evidence to support this—'employee experience' is the new way to talk about inclusion without offending certain audiences," she told HR Dive.

She pointed to the "polarized environment" in which HR practitioners do inclusion and equity work, referencing "Stop WOKE" bills and "Don't Say Gay" laws. "All of that has contributed to discomfort and negative associations around the term 'DEI,'" Clark observed.

In February 2023, TexasGovernor Greg Abbott issued an anti-DEI memo, following former President Donald Trump's 2020executive order restricting diversity training. While Clark doesn't "necessarily agree" with the idea of repackaging DEI goals as employee experience initiatives, she understands its importance.

"If the term 'DEI' is going to be a barrier to getting the work done, then we have to take an authentic approach based on stakeholders and audience, and be very intentional about it," Clark said.

Solution 1: Revisit the business case—maybe

How should HR professionals looking to advance DEI move forward in this climate? While many practitioners consider the"business case for DEI"to be hollow, in recession-like times, focusing on financial gains and ROI may be crucial.

A Glassdoor economistpreviously told HR Divethat as interest in DEI declines and leadership reassesses organizational budgets, HR leaders will have to make a "stronger" case for diversity and inclusion programs.

But Bryant said the responsibility for diversity, equity, and inclusion shouldn't rest solely on HR. Her point is twofold: first, DEI issues touch every part of a business, from supplier diversity and product accessibility to creating an inclusive workplace.

Second, in her experience, HR professionals aren't properly trained to handle DEI issues. She suggested that the C-suite should appoint a chief diversity officer and give them the same analytical authority and power as the CFO.

Solution 2: Recognize that trust is the real DEI

Both Clark and Bryant emphasized the importance of trust in attracting and retaining talent. Clark said that if an organization centers on trust, the work—whether it's called "DEI" or "employee experience"—will move forward. "When you don't feel like management has your back, or more importantly, that theyunderstandyou, you're not going to want to share those parts of yourself," she said. Clark added that a lack of trust shows up as "a lack of engagement, a lack of empowerment, a lack of innovation," as well as attrition.

"We look at these as isolated, single things, but they're actually all interconnected and make up the overall employee experience," she said.

"It comes down to productivity, and what people will give you when they feel comfortable, safe, and protected—if they feel empowered, feel they can share opinions without criticism, see people like themselves, and feel they can advance," Bryant added. "I mean, how hard am I going to work for a company to get promoted, to reach the highest levels of success, if I feel like it's not possible? Why would I do that?"