Organisations today face a rapidly changing risk landscape, from policy shifts to cybersecurity threats and new workplace regulations. Strategic leadership and governance are more important than ever.
A recent survey by Littler Mendelson, a leading US employment law firm, found that 71 per cent of employers report that changes to DEI-related policies and executive orders have had a business impact. The survey, which gathered responses from over 350 in-house lawyers, C-suite executives and HR professionals, highlights the significant operational and strategic challenges organisations face as the regulatory environment around DEI continues to shift.
Key findings from the survey
The survey found that 45 per cent of respondents have already made changes to their DEI programs in response to the current environment, and a further 26 per cent are considering doing so. Only 29 per cent reported no changes or planned changes.
Among those making changes, the most common actions included reviewing and updating DEI-related communications and materials, reassessing supplier diversity programs, and modifying employee training content. A smaller proportion reported eliminating DEI roles or restructuring DEI teams.
The risk of inaction
While some organisations are scaling back visible DEI commitments in response to political and legal pressure, the survey data suggests that inaction carries its own risks. Organisations that fail to adapt their DEI strategies to the current environment may face increased legal exposure, reputational risk and talent retention challenges.
At the same time, organisations that abandon inclusion commitments entirely risk losing the operational and commercial benefits that well-designed DEI programs deliver, including improved decision-making, stronger innovation capacity and better alignment with diverse customer and community expectations.
Strategic adaptation rather than retreat
The most effective response to the current environment is not to retreat from inclusion but to ensure that DEI strategies are evidence-based, legally sound and clearly connected to business outcomes. This means moving away from programs that are primarily symbolic or compliance-driven towards approaches that embed equity into governance, talent systems and operational decision-making.
At Equi Consultancy Partners, we support organisations to navigate this transition. Our work focuses on building inclusion strategies that are resilient, measurable and aligned with both organisational values and the evolving regulatory environment. If your organisation is reassessing its approach to DEI in the current climate, we welcome the conversation.