Despite narratives that executives are cutting DEI, 80% of C-Suite leaders say their company will continue investing in diversity, equity and inclusion
In a sign of the polarized climate, 87% of executives believe taking a public stance on a social issue is riskier than staying silent
Chief, the largest network of senior executive women, published new data in its New Era of Leadership Report, revealing the perspectives of C-Suite executives on investing in diversity, equity, and inclusion (DEI) and speaking up on social issues.
The New Era of Leadership Report is based on a survey of 600 U.S. C-Suite executives at companies with a minimum of 500 employees.
Executives are still investing in DEI, and view it as a crucial leadership capability
Despite the wave of headlines about companies scaling back their DEI programs, an overwhelming majority of C-Suite executives remain committed to investing in DEI initiatives. A significant proportion of executives also view DEI as a crucial capability for C-Suite leadership.
80% of C-Suite executives say they are still investing in DEI initiatives at their company.
Only 20% of companies plan to cut back or eliminate DEI initiatives in 2024.
Despite some paring back, 36% plan to continue with their current initiatives at the same level and 44% plan to ramp up existing initiatives or develop new ones.
Two in five executives place understanding and promoting diversity, inclusion and access among the most important leadership capabilities for the C-Suite in 2024.
C-Suite executives say speaking out is more risky than staying silent
From racial equity, to geopolitics, to gun control, to abortion rights, there’s no shortage of political and social issues that executives feel pressured to address. And it’s a lose-lose situation for executives — 87% of executives believe taking a public stance on a social issue is riskier than staying silent.
Nearly all C-Suite leaders (9 in 10) are under pressure from stakeholders to take (or not take) a public stand on current issues.
The pressure comes from three angles:
External voices such as the public, customers and community leaders (73%),
Internal stakeholders such as employees and shareholders (60%), and
Company leadership, including the values of the leadership team and the board of directors (58%).
Customer, employee and shareholder expectations hold greater influence (47%) in shaping a company’s decision to make a public stance than its own leadership or company values.
“This data touches on two areas that have grown in importance in recent years,” said Carolyn Childers, Co-Founder and CEO, Chief. “It’s proven that investing in DEI is good for business and I’m heartened that the majority of executives remain steadfast in their commitment, with many planning to do even more this year.”
Childers continued, “When we looked at how executives feel about taking – or not taking — a stand on social issues, it was not surprising to see their hesitance especially in an election year. The tension between growing stakeholder expectations and the risk executives are feeling reinforces how crucial it is for companies to know their values and act in accordance with them.”
These insights will inform Chief’s programming, ranging from roundtable discussions, executive coaching, and local summits, as it continues to equip the largest network of senior executive women to maximize their leadership impact.