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The Society for Human Resource Management (SHRM) recently announced a strategic shift in its approach to diversity, equity, and inclusion (DE&I), opting to drop the focus on equity and adopt the acronym "I&D" (Inclusion and Diversity). This change has sparked a mix of reactions within the HR community, with many questioning the motivations behind this move.

What’s Behind the Change?

SHRM President & CEO Johnny C. Taylor, Jr. emphasized that the decision aims to address the perceived shortcomings of traditional DE&I programs, which he claims have led to societal backlash and polarization. The new “Inclusion-first” approach is positioned as a catalyst for holistic change in workplaces and society.

But is it, really?

This shift raises concerns about the genuine intentions behind the change. Is this a substantive evolution in strategy, or merely a rebranding exercise to appease critics and align with the current socio-political climate?

Skepticism and Concerns

Equity as a Subcategory? By integrating equity under the broader inclusion framework, SHRM risks diminishing the importance of equity, which requires focused attention to ensure fair treatment and opportunities for all employees. Equity addresses systemic imbalances that inclusion alone cannot rectify.

Motivations and Perceptions Critics argue that this move could be an attempt to make DE&I efforts more palatable to organizations resistant to comprehensive equity initiatives. By simplifying the acronym and focusing on inclusion, SHRM might be appealing to those who find the concept of equity contentious.

Impact on DE&I Programs There is a concern that prioritizing inclusion without equally emphasizing diversity and equity may oversimplify the complex dynamics of workplace diversity. Real progress in DE&I requires a balanced approach that addresses all three components holistically.

The Role of Recruiting Professionals

For recruiting professionals and leaders, this development is a reminder of the importance of maintaining a critical perspective on organizational strategies and their implementation. Here are a few key takeaways:

1. Commit to True Equity: Ensure that equity remains a standalone priority in your DE&I efforts. This means actively working to identify and eliminate systemic biases and barriers within your organization.
2. Evaluate Motivations: Be cautious of strategic shifts that may prioritize optics over substantive change. Evaluate whether new initiatives genuinely address the root causes of inequality and exclusion in the workplace.
3. Lead by Example: As leaders in talent acquisition, it is crucial to advocate for comprehensive DE&I strategies that do not shy away from difficult conversations about equity. Set a standard for your organization by fostering an inclusive culture that truly values diversity and equitable treatment.

Swift Backlash Online

The announcement has seen a swift backlash online, with numerous professionals voicing their disappointment and skepticism. Natalie Piskor, a Human Resources & Talent Acquisition Consultant, expressed her dismay: "SHRM, after reading your new position on EED&I, I immediately feel like I can no longer say that you are the most credible and progressive leader in our space. It's a sad day for me and many other HR professionals"

Sunshine Clemons, Co-Founder of Black Lives Matter SPI, questioned the timing: "Why was this not announced during the national conference? To delay fallout till after their largest annual event..." 

Different DEI, a full service DEI consulting firm was also one of the first to respond stating, "Given the backlash DEI is facing today, we too believe this work needs to be done differently, but we're focused on the "how" aspect because the "what" has and has always been clear."

The Business Case for Equity

Research has consistently shown that diversity and equity are not only moral imperatives but also business imperatives. A column for the World Economic Forum calls the business case for DEI "overwhelming". The Harvard Business Review in multiple publications has shared research demonstrating that "diversity significantly improves financial performance on measures such as profitable investments at the individual portfolio-company level and overall fund returns".

Investors are increasingly focusing on businesses that promote DEI. According to Mercer, “DEI has become a vital consideration for investors who are increasingly aiming to align their portfolios with their values”. Companies that fail to prioritize equity risk falling behind in both attracting talent and achieving long-term sustainable returns.

For more insights on the importance of learning equity in businesses, readers may also find the Nasdaq article on why the smartest investments are businesses with learning equity of interest.

Conclusion

SHRM’s decision to shift to an “Inclusion-first” approach has sparked significant debate within the HR community. While the stated intent to prioritize inclusion is commendable, it is essential to critically assess whether this change genuinely advances DE&I goals or merely serves as a strategic rebranding or an effort to earn political favor for the organization and/or Mr. Taylor, specifically. Recruiting professionals and leaders must remain vigilant and committed to fostering workplaces where diversity, equity, and inclusion are all given the attention they deserve.