Since Trumps first day in the office, he has already taken the decision to roll back on transgender protections and stop federal EDI programmes. US companies such as META, McDonald’s, and Amazon have already shared their plans on pulling back on their DEI initiatives. This has caused growing concern and many are wondering how this will impact workplaces in the UK.
Occupational Health Assessment conducted a survey involving over 140 UK companies. The results revealed that 69% of professionals surveyed believe the rapid decline of diversity and inclusion projects in the United States is likely to impact British workplaces and existing EDI policies.
Trump’s Inaugural Address and the Shift in Corporate EDI Efforts
Trump made his inaugural address on 20 January 2025, where he suggested transgender protections would be reversed. During his speech, he stated that the government would only recognise two genders, male and female. There was also mention of federal diversity, equity, and inclusion initiatives discontinuing. This was reinforced the following day when he signed an executive order to put all US government employees involved in DEI work on paid administrative leave.
This has put a spotlight on corporate businesses such as McDonald’s and META who have taken the decision to scale back on EDI efforts. META specifically has caused growing concern and upset with their workforce in the UK. The Prospect Union who represents META employees has written to the business to share their concerns.
Prospect Assistant Secretary, Andrew Sturtevant said: “Our members are concerned over Meta’s future direction and the potential impact of policy changes on employees and on the company’s reputation.”
These developments have heightened worries in UK workplaces, with many fearing that other employers may follow suit, potentially undermining progress in diversity, equity, and inclusion.
Occupational Health Assessment Survey Results
Overall, the Occupational Health Assessment Survey results revealed that HR professionals opinions are divided. The research revealed that 69% of employers believed the US reversal on EDI policies would lead to some changes in British workplaces. However, only 6% anticipated these changes to be significant. Meanwhile, 16% of employers felt there would be no impact in the UK, with an equal percentage uncertain about what might happen.
Steve Herbert, Brand Ambassador at Occupational Health Assessment Ltd said;
“Reports in the American media suggest that a number of major employers – including many that have a very significant employment and business presence here in the United Kingdom – have formally announced the curtailment or complete rollback of elements of their previously established and promoted EDI policies. This process appears to have begun in the middle of 2024, and the number and scale of such announcements has increased rapidly as the Presidential inauguration approached.
This raises the important question as to whether those same employers will change their approach to EDI policies here in the UK. And, if so, what impact that will have on workplace culture, engagement, productivity, and employee wellbeing.”
What This Means for UK Businesses and How Businesses Should Respond
UK businesses now face a critical juncture in deciding how to approach their own DEI policies in light of these developments. While some employers may consider following the example of their US counterparts, it is important to recognise the potential implications such decisions could have on workplace culture, employee engagement, and brand reputation.
Key Considerations for UK Employers:
- Workplace Culture and Employee Wellbeing
Scaling back DEI efforts could risk damaging an inclusive workplace culture, leading to reduced employee satisfaction, morale, and productivity. UK employers must prioritise the wellbeing of their workforce, ensuring that every employee feels valued and supported. - Reputation Management
Organisations that reduce their focus on DEI may face backlash from employees, customers, and stakeholders, particularly in a UK context where inclusion and equality are highly valued. Companies should consider the long-term reputational risks of such decisions. - Legal and Regulatory Compliance
Unlike the US, the UK has strict equality and anti-discrimination laws, such as the Equality Act 2010, which employers must adhere to. Any rollback on DEI initiatives should be carefully assessed to ensure compliance with legal obligations.
How UK Businesses Can Respond:
- Maintain DEI Momentum
Businesses should double down on their EDI efforts to show their commitment to creating an inclusive environment, regardless of trends in the US. This could include investing in training, reviewing policies, and strengthening support for underrepresented groups. - Engage Employees and Unions
Open dialogue with employees, unions, and other representatives can help organisations gauge the concerns and expectations of their workforce. This can guide decisions and foster trust. - Collaborate Across Sectors
Sharing best practices and collaborating with other organisations can help strengthen DEI initiatives across industries, mitigating the risk of widespread setbacks.
In light of these changes, UK employers must remain vigilant and proactive to ensure that the progress made in diversity, equity, and inclusion over recent years is not undermined. By taking a clear and principled stand, businesses can safeguard their workplace culture, employee wellbeing, and overall success in a rapidly changing landscape.
Current UK EDI Legislation
Equality Act 2010
The Equality Act 2010 was designed to promote fairness, protect individuals from discrimination, and ensure equal opportunities in workplaces and beyond. The Act provides protection for individuals against discrimination based on the following nine protected characteristics:
- Age
- Disability
- Gender
- Reassignment
- Marriage and civil partnership
- Pregnancy and maternity
- Race
- Religion or belief
- Sex and sexual orientation.
This Legislation applies to all employers, regardless of size, and covers every stage of the employment cycle, including recruitment, training, promotion, and dismissal. Employers have a legal duty to prevent discrimination and promote equality within the workplace.
Employers are required to make reasonable adjustments to ensure that individuals with disabilities can work effectively and without disadvantage. This may include changes to physical workspaces, flexible working arrangements, or providing specialised equipment.
Sexual Harassment Duty
The new Sexual Harassment Duty came in to force on 26th October 2024. Employers can now be held accountable by the Equality and Human Rights Commission unless they can demonstrate that they took all reasonable steps to prevent sexual harassment in the workplace. Additionally, tribunals will have the authority to increase compensation by up to 25% if it is proven that the employer has breached these new regulations.
While employers are not currently liable for sexual harassment of their staff by third parties, they will be in breach of the new duty if they fail to implement proactive and preventative measures.
Draft Equality (Race and Disability) Bill
The Government plans to consult on the Equality (Race and Disability) Bill, focusing on improving pay gap reporting. Organisations with over 250 employees will be required to report ethnicity and disability pay gaps, building on gender pay gap reporting to address wage disparities and promote fairness. Employers must ensure effective data collection to meet these obligations and foster inclusive workplaces.
The Bill will also strengthen equal pay rights, ensuring fair remuneration for work of equal value regardless of race or disability. Employers will be prohibited from using outsourcing to bypass equal pay obligations.
The Bill must undergo parliamentary debate before being enacted as part of this year’s employment law updates. However, it is expected to be introduced during the current parliamentary session this spring 2025.
Why It’s Important to Have a Equality, Diversity, and Inclusion Policy
Having an Equality, Diversity, and Inclusion (EDI) policy is crucial for creating a fair and inclusive workplace where all employees feel valued and supported. Beyond meeting legal requirements, an EDI policy demonstrates an organisation’s commitment to promoting equality and combating discrimination. It fosters a positive workplace culture, attracts and retains diverse talent, and encourages innovation by bringing together varied perspectives. Additionally, a robust EDI policy helps reduce the risk of workplace disputes and reputational damage while strengthening employee engagement, productivity, and trust. By embedding EDI principles, organisations not only comply with the law but also contribute to building a more equitable society.
What an EDI Policy Should Include:
- Commitment Statement: A declaration of the organisation’s dedication to EDI principles.
- Scope and Objectives: Clear explanation of the policy’s purpose and who it applies to.
- Legal Framework: Reference to applicable laws, such as the Equality Act 2010, and protected characteristics.
- Roles and Responsibilities: Defined duties for leaders, employees, and stakeholders in promoting EDI.
- Reporting and Resolution Procedures: Steps for addressing complaints of discrimination or harassment.
- Training and Monitoring: Plans for regular staff education and assessment of policy effectiveness.
How The HR Booth Can Help
At The HR Booth, we understand the importance of fostering equality, diversity, and inclusion within your organisation. Our team of experts is here to guide you in developing robust EDI policies, ensuring compliance with legal obligations and helping you create a workplace where every employee feels valued. We provide tailored advice, training programmes, and practical tools to support your EDI initiatives, enabling you to address challenges proactively and strengthen your organisational culture. By partnering with us, you can confidently navigate the complexities of EDI and build a more inclusive, innovative, and successful business. Feel free to contact our HR experts now.
