Employers who dilute their diversity, equity and inclusion (DEI) policies risk triggering a talent exodus, according to new research.
A nationally representative study of 1,000 working adults by HR tech firm IRIS Software Group found that nearly 60% of UK workers would consider quitting if their employer backtracked on DEI commitments. Two in five (39%) said they would seriously consider leaving, while one in five (20%) said they would “certainly” walk.
Gen Z is the generation most likely to consider quitting (68%), followed by Millennials (64%) and Gen X (47%). More than a third (36%) of Gen X respondents said a rollback of DEI policies would not influence their decision to join or stay with a company.
RACIAL DIVIDE ON WORKPLACE DEI EXPECTATIONS
The data also reveals a racial divide in workplace expectations: 70% of respondents from Black, Asian and minority ethnic (BAME) backgrounds said they would quit or consider quitting if DEI policies were rolled back, compared to 56% of those who identified as white.
This news comes as recent analysis of FTSE 100 companies’ annual reports revealed a sharp decline in the use of terms relating to DEI, influenced by a shifting political climate. “Our latest research makes it starkly clear that British businesses need to move beyond box-ticking when it comes to DEI,” said Stephanie Kelly, Chief People Officer at IRIS Software Group. “An inclusive culture matters deeply to employees, with many willing to leave roles that don’t align with their values.”
INCLUSIVE WORKPLACES IN DEMAND
The survey findings suggest that employees are not yet at odds with executives over DEI. Nine in ten (92%) of those polled said they feel their workplace is inclusive, and more than three in five (62%) agreed their employers have improved DEI policies over the last 12 months. A similar proportion (60%) expect this trend to continue. However, nearly half (45%) of workers surveyed believe their employers should go further in improving DEI, with just 3% calling for their organisations to scale back their approach.
“Inclusivity starts at the top. Leadership teams must champion it, live it, and embed it in everyday decisions. That means creating a culture where people feel safe to bring their full, authentic selves to work, and where different perspectives are genuinely welcomed and respected,” Kelly added.
More than a quarter (26%) of the workforce feel that they don’t see clear DEI policies in their organisation, according to IRIS’ survey. This is despite people reporting that having clear DEI policies is one of the top ways companies can foster a sense of belonging in the workplace (30%), second only to fair access to career development and promotion (35%), and ahead of fair and consistent pay and recognition among peers.
PROGRESSIVE POLICIES KET TO ATTRACTING TOP TALENT
Two-thirds (68%) of UK workers say that a company’s approach to DEI is important to them when considering a new employer, suggesting that progressive policies will be crucial in attracting top talent.
“Technology plays a vital role in helping HR teams drive meaningful, values-led DEI strategies,” said Stephanie Coward, Managing Director of IRIS HCM. “By giving teams access to the right data – and, importantly, the time back to act on it – we empower them to identify bias, track progress, and build more inclusive workplaces.”
From tracking representation to enabling fairer hiring and promotion processes, “many businesses have made huge strides in addressing discrimination and improving workplace culture in recent years. But this is something that requires continued investment – complacency is not an option,” Coward added. “DEI is about good governance and doing right by people, and understandably, that’s what attracts and retains top talent.”
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