How to Keep Equity, Diversity, and Inclusion on the Agenda During Tough Times

Expert Insights from Toby Mildon

In challenging economic climates, equity, diversity, and inclusion (EDI) often face cuts, seen as expendable rather than essential. However, Toby Mildon, Workplace Inclusion Architect and founder of Mildon, offers a different perspective. Below, in a Q&A format, Toby shares practical advice to help businesses sustain and even strengthen their EDI initiatives during difficult times.

Q1: Why should senior leaders prioritise EDI, especially during challenging times?

Toby: Senior leaders need to understand why EDI is critical for their business, both in good times and bad. It’s easy to invest in EDI when budgets are healthy, but scaling back during tough times can have long-term negative impacts on organisational culture. Leaders must move beyond cognitive understanding—reading McKinsey reports or Harvard Business Review articles—and internalise how EDI aligns with their unique business objectives.

In short, leaders need to get clear on their “why.” As Simon Sinek says, “Start with why.” People buy into your purpose, not just your actions. Reflect on how EDI drives innovation, employee satisfaction, and market competitiveness.

Q2: Do you think organisations treating EDI as a tick-box exercise are more likely to cut it during downturns?

Toby: Absolutely. Research shows that organisations engaging in superficial, box-ticking EDI activities are quick to slash their EDI budgets under financial pressure. Conversely, businesses embedding EDI into their DNA are doubling down. This is encouraging because superficial efforts don’t address root issues—they may create awareness but fail to deliver meaningful change. Long-term commitment yields far greater impact.

Q3: How can businesses ensure EDI remains authentic and not just performative?

Toby: Authenticity is essential. Employees can sense when leadership isn’t genuine about EDI efforts. Research from Catalyst highlights the importance of authenticity, especially in times of crisis. When organisations responded to the murder of George Floyd or supported employees during the pandemic, those that acted authentically fostered greater trust and engagement.

Authenticity means aligning words with actions. Posting on social media without implementing internal changes is performative and counterproductive.

Q4: What role does fairness play in decision-making during tough times?

Toby: Fair and equitable decision-making is crucial, especially during restructuring or redundancy programmes. Economic downturns often disproportionately impact certain groups, so leaders must assess decisions through an equity lens. Tools like equality impact assessments can help identify and mitigate potential biases.

Biases are a natural part of being human, but they can hinder objective decision-making. Leaders need to ask: Are we making decisions based on clear, measurable criteria, or are implicit biases creeping in?

Q5: Should organisations still invest in EDI when recruitment slows or stops?

Toby: Yes. Even if hiring slows, organisations should focus on retaining and supporting their current workforce. Building a culture that values diversity helps prevent unequal exits during redundancies and ensures that remaining employees feel respected and secure. Poorly managed redundancies damage trust and morale, leaving employees fearful about their own futures.

Retention efforts must include ongoing EDI initiatives. By fostering inclusivity and psychological safety, businesses strengthen their culture and position themselves for success when the economy rebounds.

Q6: How can businesses expand their EDI agenda while others are cutting back?

Toby: Expanding the EDI agenda requires senior leaders to recognise that it’s not solely an HR responsibility. Every department has a role:

• Marketing: Consider diversity in campaigns and messaging.
• Procurement: Evaluate supplier diversity.
• Facilities: Ensure accessible and inclusive workspaces.

Empowering employees to take initiative is equally important. Ground-up activities—such as events for the International Day of Persons with Disabilities—should align with overall business strategy.

Finally, gather data. Use surveys, focus groups, and engagement metrics to understand employee experiences and inform EDI strategies.

Q7: What are the risks of poorly managing redundancies from an EDI perspective?

Toby: Poorly managed redundancies not only harm those directly affected but also create a ripple effect among remaining employees. If employees see their colleagues treated unfairly, they lose trust in leadership. This damages morale and productivity, leaving the organisation weaker overall.

Respect and transparency are non-negotiable. Communicate openly about decisions and show empathy towards those impacted.

Q8: Are you seeing signs that EDI is falling by the wayside in some companies?

Toby: Yes, but I’m also seeing clients double down on their EDI efforts. These organisations recognise that investing in people and culture during tough times positions them to bounce back stronger. Companies making deep cuts to EDI now may struggle to recover as quickly or effectively when the economy improves.

Conclusion

Sustaining EDI during challenging times isn’t just the right thing to do—it’s a smart business strategy. Organisations that stay committed to fairness, authenticity, and inclusion will emerge stronger, with resilient cultures and engaged workforces.

As Toby highlights, leadership is key. Senior leaders must own the EDI agenda, empower their teams, and make data-driven decisions to build equitable, inclusive organisations.

What steps will you take to keep EDI a priority in your business? Share your thoughts in the comments below.