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"The path forward requires a collective effort from organizations, educators, governments, and individuals. By embracing strategies such as redefining leadership norms, implementing mentorship programs, and addressing structural barriers, we can create an inclusive future where everyone has the opportunity to lead and succeed." - Gwen Young

Over the past few months, shifting federal policies on diversity, equity, and inclusion (DEI) have prompted a wave of corporate recalibrations. Organizations are grappling with how to respond—not only to policy shifts but also to public and internal expectations. In today’s dynamic landscape, one trend is becoming unmistakably clear: consumers and employees expect visible, authentic commitments to inclusion—and they’re choosing to put their money into companies and communities that reflect their values. At Women Business Collaborative (WBC), we see this daily, especially in the growing demand for and support of women-owned businesses and women in leadership.

High-Stakes Decisions and Market Reactions

The corporate responses have been wide-ranging:

  • Target, Walmart, McDonald’s, and John Deere have scaled back DEI initiatives. Some have faced serious repercussions. For example, in a May 21 earnings call, Target CEO Brian Cornell cited consumer boycotts as a key reason for the company’s sales drop—nearly 3 percent year-over-year—accompanied by a staggering 37 percent decline in share price.
  • Costco and JP MorganChase, in contrast, have reaffirmed their DEI commitments. Jamie Dimon, CEO of JP MorganChase, defended their approach: “We are going to continue to reach out to the Black community, Hispanic community, the LGBT community, the veteran’s community.”

For organizations looking to stay the course, resources like the Corporate DEI Tracker offer insights into companies committed to sustained inclusion.

The Business Case for DEI—Including Women at the Top

The consequences of retreating from DEI are both internal and external, including lower employee morale, diminished ability to attract and retain top talent, consumer backlash, and financial decline.

A recent article by WBC partner organization, Seramount, provides compelling data:

  • 67 percent of consumers prefer brands that actively promote DEI.
  • 78 percent of employees say working for an inclusive organization is important. Gen Z workers are especially drawn to companies that elevate diverse talent, including women, into leadership roles.
  • Multi-cultural consumers, now 40 percent of the U.S. population, seek brands that reflect their values, including gender equality.

Furthermore, Seramount’s recent Think Bigger Summit highlighted:

  • A major sports franchise who increased jersey sales by expanding size inclusivity,a move seen as a broader commitment to inclusion.
  • A global retailer who saw stronger customer loyalty after shifting 15 percent of its suppliers to Black-owned brands, demonstrating consumer response to authentic representation.
  • A financial services firm who by embedding DEI into employee experience saw  productivity rise sixfold, representing a direct return on investment for creating and maintaining an inclusive workplace culture.

Clarifying DEI: Centering Opportunity, Not Compromising Merit

Critics often demonize DEI as antithetical to meritocracy. This misconception erodes the fundamental aim of DEI: expanding opportunities based on talent and potential. Effective DEI ensures that high-performing individuals, including women, often underrepresented at senior levels, receive equal consideration and opportunity.

Strategic Steps to Preserve DEI Gains

  1. Reassess, Don’t Retreat: The data show that abandoning DEI weakens organizations across talent, loyalty, and financial metrics, particularly when women’s leadership is overlooked or undermined in the process.
  2. Refine the Message, Not the Mission: Rhetoric around DEI may need adjusting for the current climate, but the commitment must remain. As Seramount aptly notes, “You can evolve your language without evolving your commitment.”
  3. Listen First: Before acting, gather input from employees and consumers. Women’s voices offer essential insights into how inclusive leadership is perceived and valued by both employees and consumers.
  4. Partner Strategically: Collaborate with organizations aligned in a DEI vision. WBC’s mantra, #FasterTogether, underscores the power of collective momentum as we strive for lasting inclusion and gender parity.

At WBC, we see firsthand that when organizations prioritize inclusive leadership—including elevating women—they enjoy tangible gains, including heightened employee engagement, innovative thinking, better recruitment outcomes, and stronger financial performance.

As Seramount summarized: “Inclusion is more than moral. It’s measurable.”

And as stakeholders increasingly demand gender-balanced leadership:  Inclusion is non-negotiable.

Author

  • Gwen K. Young

    Gwen K. Young is the CEO of the Women Business Collaborative. She is also a Visiting Scholar at the Elliot School of International Affairs, George Washington University and former Director of the Global Women’s Leadership Initiative at the Wilson Center. She is an Advisor to Concordia. Ms. Young has worked across the globe to promote economic development, good governance and peace. She has developed strategy, programming and advocacy in the areas of humanitarian policy, international affairs and international development. This includes developing public private partnerships focused on public health, agriculture, gender equality, and access to finance. Further, Ms. Young has advocated for and published on international criminal law and designed SGBV guidelines. As an attorney, Ms. Young has worked as a professional advocate for women and human rights in corporate law settings, with the ICTY and the Kroc Institute for Peace and Justice at the University of San Diego. Her career has encompassed a comprehensive array of international organizations including the Bill & Melinda Gates Foundation, Medecins Sans Frontieres, International Rescue Committee, and the Harvard Institute for International Development. An alumna of Smith College, Harvard’s Kennedy School of Government and the University of California Davis, School of Law, Ms. Young has pursued a career of international public service focused on humanitarian relief, international development, and human rights starting with gender equality and equity.

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