Diversity, Equity and Inclusion (DEI) in the Workplace

Diversity, equity and inclusion are interconnected concepts that refer to the variety of unique individuals that make up a group of people and the environment that allows them to work together as equally valued contributors. Workplaces that prioritize DEI efforts have been proven to be safer, happier and more productive work environments.

What Is Diversity, Equity and Inclusion?

Diversity, equity and inclusion (DEI) encompasses any policy or practice designed to give people of various backgrounds the resources they need to excel in the workplace. These three values establish a framework for taking into account individuals’ differences and informing how companies go about making their workplaces equal, fair and welcoming to all employees.

When promoting DEI in the workplace, businesses may focus on variables like gender, socioeconomic status, race and disability status. Recognizing these factors can reveal barriers workers of certain backgrounds face and give leaders more insights into what support is needed to help their employees overcome those barriers and flourish professionally.

What Is Diversity?

Diversity refers to the set of traits that make an employee or group of employees different from one another. Diversity may exist due to differences in age, gender, sexual orientation, class, religion and other variables. 

Benefits of Diversity

Investing in a diverse workforce can deliver promising returns for businesses:  

• Increased profits: Companies that score in the top quartile for ethnic diversity are 27 percent more likely to financially outperform the average business.  
• Stronger retention: At companies with diverse and inclusive workplaces, employees are 5.4 times more likely to stay long-term.  
• Higher recruitment: Job seekers are more likely to apply to jobs that mention diversity, even if other jobs promise more pay. In fact, 50 percent of job seekers say diversity is important and want to know if an employer agrees. 

What Is Equity?

Equity involves taking steps to ensure employees of all backgrounds have the same access and opportunities at a company. To create an equitable workplace, employers must understand what obstacles individuals of certain backgrounds face, so they know what support individuals need to overcome those obstacles. Only then can employees of different backgrounds compete on a fair and level playing field.  

Benefits of Equity

Businesses that cultivate equitable environments can enjoy major advantages: 

• Healthier company culture: At companies that made the Fortune ‘100 Best Companies to Work for’ list, 78 percent of employees say promotions are fair.  Biased and unfair career advancement practices can lower an employer’s reputation among its employees. 
• Enhanced leadership: Women leaders are often credited with being more compassionate, driving more collaboration and better uniting employees behind a company’s mission than their male counterparts. Companies that fail to promote women lose out on these benefits. 
• Heightened productivity and potential: While 62 percent of financially stable employees seek out upskilling opportunities on their own, only 50 percent of financially unstable employees do so. Companies without upskilling programs and other resources not only miss chances to help underskilled and struggling employees, but they also risk employees succumbing to stress and being less productive as a result.  

What Is Inclusion?

Inclusion means making sure employees feel welcome in the workplace by embracing their differences. By adopting an attitude that values differences, companies can encourage employees to bring their whole selves to work and give employees the confidence that they’ll be seen and heard when they advocate for themselves.   

Benefits of Inclusion

Developing inclusive workplaces can have lasting effects for employers:

• Improved decision-making: When teams are inclusive, they’re 87 percent more likely to make better decisions than non-inclusive teams. Inviting a range of perspectives informs decisions and can spur innovation.  
• Greater revenue and profitability: Companies that invest specifically in disability inclusion experience 1.6 times more revenue and two times more economic profit than those that don’t. 
• Deeper employee satisfaction: While feeling a sense of belonging matters to 94 percent of workers, one in five workers don’t feel like they belong in their workplace, including 23 percent of Black workers and 22 percent of Hispanic workers. Not supporting employees of marginalized groups can then lead to reduced motivation, less productivity and weaker coworker relationships.  

What Is DEIB?

Diversity, equity, inclusion and belonging (DEIB) make up a framework designed to create a workplace that is fair and welcoming to employees of various backgrounds. Belonging was added to DEI to more clearly define what the results of a successful DEI approach should look like. 

Belonging refers to the feeling employees experience when they’re celebrated for bringing their authentic selves to work. When DEIB is enacted properly, employees can feel comfortable in the workplace knowing they have the support and acceptance of those around them.

DEI Training

DEI training is a program of learning aimed at educating employees on how they can contribute to a safe and welcoming workplace for all as part of a company’s DEI framework. These trainings can cover unconscious biases, microaggressions, structural inequities and other issues employees of different groups face while providing clear steps all employees can take to ensure everyone gets the support they need in the workplace.

The form of DEI training depends on the needs of an organization and the challenges its employees face. It can be an in-person workshop or a series of workshops that build on each other, or it can be an online course that teaches different components of DEI over several weeks. No matter the format, company leaders should consult with employees — especially members of any related employee resource groups — to develop a DEI training program that is relevant to their workforce.

In the end, a successful DEI framework requires buy-in from all levels of a company, ranging from executives to entry-level employees. DEI training explains to employees why a DEI framework is necessary and what actions they can take to contribute to the goals of this framework. It also shows job candidates that a company is willing to go beyond diversity statements and is serious about creating a fair and welcoming workplace for all.    

DEI Initiatives

DEI initiatives are the actual steps companies take to cultivate a diverse, equitable and inclusive workplace. While DEI initiatives empower employees of marginalized backgrounds to advocate for themselves, they also provide ways for allies to support their colleagues. In this sense, DEI initiatives engage an organization’s entire workforce by uniting employees behind company-wide strategies, programs and goals.

Investing in DEI initiatives takes abstract concepts and translates them into concrete objectives that benefit both employees and the company. When employees see leadership taking steps to support them, they’re likely to stay longer in a place where they feel like they belong. And employees who are given the resources to overcome challenges may feel more motivated and focused at work, raising their productivity. Job candidates of varied backgrounds may also take notice of a business’ DEI initiatives, giving a company access to a wider talent pool.

With these upsides in mind, here are some common DEI initiatives companies can explore: 

• DEI employee resource groups: Companies may allow and encourage employees to form ERGs based on race, gender, sexuality and other categories centered around marginalized traits or backgrounds. 
• Unbiased hiring practices: Hiring teams may target candidates from marginalized communities, rewrite job descriptions to make them more inclusive and conduct blind resume reviews. 
• DEI trainings: Companies may establish in-person workshops, online courses and other learning resources to educate employees on issues those of certain backgrounds face and steps they can take to make the workplace safe and supportive for them.  
• DEI mentorships: Teams may offer mentorship programs catered toward women, Black workers and employees of other underrepresented groups to give them additional professional support and connections. 
• DEI policies: Businesses may design stronger policies centered on anti-harassment, anti-discrimination and other topics to ensure employees feel safe at work. 
• Fair promotion practices: Companies may establish quotas aimed at internally promoting a certain number of women and those of other marginalized backgrounds into management positions to build more diverse leadership.   

Diversity Recruiting

A diversity recruiting strategy is a plan for revising a company’s existing recruitment processes and developing new ones to diversify a workforce. It includes policies and programs aimed at different aspects of recruiting, from how teams write job descriptions to how interviewers interact with candidates. By scrutinizing the recruiting process, leadership can find ways to make the company more accessible and appealing to job candidates of varied backgrounds. 

Companies looking to start and strengthen their diversity recruiting strategies can take a number of approaches. For example, recruiters may add statements at the end of job ads that encourage candidates who don’t meet all the requirements to apply anyway. Recruiting teams can also visit institutions like HBCUs to diversify their candidate pool and use technology when appropriate to perform blind resume reviews.

Company leadership can also reinforce diversity recruiting strategies by setting up diversity-focused internships for those of marginalized backgrounds and making sure their recruiting teams are diverse as well. Taking these measures can prove to candidates a company is committed to supporting employees of different backgrounds and convince them this is the place where they want to be.