Inclusion, Equity
and Diversity
C-Suite Survey Report
JANUARY 2024

Executive Summary
Employers are being confronted with numerous legal and workplace complexities in managing
inclusion, equity and diversity (IE&D) programs, from the repercussions of the U.S. Supreme Court’s
decisions to roll back affirmative action college admissions policies to new anti-IE&D state laws tomounting calls to take a stance on social issues.
To gauge how employers are responding to what has become a critically important — and increasingly
embattled — workplace issue, Littler surveyed more than 300 C-suite executives located acrossthe United States, including Chief Executive Officers (CEOs), Chief Legal Officers (CLOs) and Chief
Diversity Officers (CDOs). Representing a diverse range of industries and company sizes, the survey
results provide a snapshot into employers’ IE&D commitments and initiatives, as well as the outlook
for the year ahead.
The findings reveal that employers remain committed to IE&D, with most (57%) even growing theirefforts over the past year, despite the fact that nearly the same proportion (59%) say that backlash has
increased since the Supreme Court’s decisions on affirmative action in June 2023. In fact, the decisions
have had minimal material impact on the C-suite executives surveyed, 91% of whom say the court’s
opinions have not lessened their prioritization of IE&D. Among the 6% who decreased their IE&Drelated efforts since 2022, concerns surrounding general legal liability and cost were the primaryfactors, rather than the court’s rulings.
Yet there remains room for growth. Organizations have largely steered clear of more legally complex
IE&D initiatives — like diversity-based incentives for executives — opting instead for such triedand-true steps as providing professional development opportunities, training and educational
resources. Notably, however, our survey revealed sharp differences in perspectives between CLOs andCDOs, suggesting that their IE&D-related goals may clash. Responses from CEOs indicate that theirperspectives often fall in between their C-suite colleagues.
The lack of alignment in the C-suite could pose new challenges for organizations in communicating
and acting on their IE&D-related positions and values. Nearly three-quarters of executives (73%)
are facing some degree of challenge around managing divisive social and political beliefs among
employees — creating a renewed need to find a balance in addressing sociopolitical issues amid
heightened expectations from various stakeholders.
In what follows, we’ll examine the evolution of IE&D in the workplace and key considerations forleaders as they navigate these business-critical issues.
Responses to some questions do not add up to 100% due to rounding, and some exceed 100% because
respondents were invited to select more than one answer. For the full survey methodology and a breakdown of
respondent demographics, see page 12.

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EMPLOYERS REMAIN COMMITTED TO IE&D DESPITE BACKLASH
To what extent has your organization’s IE&D commitment and levelof activity changed, if at all, since this time in 2022?

24%

Has increased significantly

16%

Has increased moderately
Has increased slightly
Has stayed the same

17%

1%

Has decreased slightly

36%

Has decreased moderately
Has decreased significantly

1%

4%

To what would you attribute your organization’s decreased
commitment to IE&D now versus one year ago? (Select all that apply)This question was only asked to those whose organizations havedecreased their IE&D commitment.
50%

44%
28%

Concerns about legal
Reducedliability and litigation, budget/cost ofincluding reverse
IE&D initiatives
discrimination lawsuits

28%

11%

Lack of support U.S. Supreme Court
IE&D policy
from otherdecisions on
implementation
senior leaders university and college
challenges
affirmative action
admission policies

Despite a difficult year for IE&D programs following the affirmative action rulings and legal attacks
on diversity initiatives, many C-suite leaders say their organizations are now more supportive of
IE&D efforts.
Nearly six in 10 executives surveyed say their organizations have increased their IE&D commitment
and level of activity to some degree since 2022, with 17% boosting their dedication significantly. Morethan a third (36%) have maintained their commitment and activity level since 2022, which is notablein itself given the challenging environment. Only 1% of respondents report a significant decrease in
their commitment or activity level in this area.
The increased commitment was even more prominent among larger organizations (i.e., those withmore than 1,000 employees), with 64% reporting a rise in their level of activity over the past year.
Among the 6% who pulled back to any degree, 50% attributed their decreased commitment toconcerns about legal liability and litigation, including reverse discrimination lawsuits. Just 28%
selected the Supreme Court’s affirmative action decisions.

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To what extent do you agree with the following statement: Backlash
toward corporate diversity programs and/or initiatives has increased
since the U.S. Supreme Court’s affirmative action decisions in June 2023?

Strongly agree

32%

38%

Agree
Neither agree nor disagree
Disagree5%21%Strongly disagree

4%

Which best describes how, if at all, the U.S. Supreme Court’s decisions
to roll back affirmative action admissions policies impacted yourorganization’s approach to IE&D?

It has not changed our approach to
IE&D in any way

16%
9%
69%

6%

It has changed our approach to IE&D
but has not lessened our prioritizationof it to date
It has changed our approach to, andlessened our prioritization of, IE&D
It has not changed our approach to
IE&D to date, but we anticipatechanges over the near term

To be sure, organizations are still taking note of antagonism toward IE&D programs, even if it has
not changed their commitments. The majority of executives agree (38%) or strongly agree (21%) thatbacklash against such programs or initiatives has increased since the Supreme Court ruled that racebased admissions programs are illegal. Only 9% disagreed.
Large organizations are even more cognizant of the criticisms around IE&D programs, with 29%
strongly agreeing that such backlash is on the rise, compared with 16% of those with fewer than
1,000 employees.

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When asked about the impact of the decisions themselves, 91% of C-suite leaders say the rulings havenot caused them to diminish their focus on IE&D. Nearly seven in 10 say the SCOTUS rulings havenot changed their approach to IE&D in any way, potentially reflecting the fact that the Harvard/UNC
opinions did not have a direct impact on employment law, although there is often confusion among
employers about the difference between affirmative action plans and programs that are intended tocreate inclusive, equitable and diverse workplaces.
The ongoing commitment might also reflect that IE&D has become an important part of employee
relations and talent strategies for many organizations. For instance, in a recent Ernst & Young (EY)
survey, 74% of the employees responding said that a company’s prioritization of IE&D factors into
their choice of where to work.
Responses from CDOs, however, indicate a more cautious outlook than their C-suite counterparts,
perhaps due to their closer familiarity with such programs. Only 41% of CDOs surveyed said theirorganizations had not changed their IE&D approach in any way as a result of the court’s decisions,compared to 69% overall, and 15% of CDOs expect their organizations will change their approach in
the near term, compared to just 6% of all respondents.

“We’re seeing many employers maintain — or evendouble down on — their commitment to IE&D,
even as backlash spikes. Demonstrating that IE&D
is part of their core values, many organizations aretaking the prudent step of auditing and assessing
their current initiatives, rather than eliminatingthem amid the challenges in today’s political andlegal environment.”
Jeanine Conley Daves,
Littler shareholder and member ofthe firm’s Inclusion, Equity andDiversity Consulting Practice

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IE&D PROGRAMS ARE MATURING, BUT IMPORTANT STEPS REMAIN
To what extent do you agree with the following statement: My
organization has clear plans and goals in place as it relates to IE&D.

32%

Strongly agree

17%Somewhat agree

7%
32%

11%

Neither agree nor disagree
Somewhat disagree
Strongly disagree

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Is your organization taking the following steps to support its IE&D goals?
Yes, already doing

Not currently, but we plan
to or are considering it

No, and we are not planningor considering it

Providing training/professional
development opportunities todiverse employees

58%

19%

22%

Elevating diverse employees
into leadership positions

55%

23%

22%

Providing IE&D or “implicit bias”
training/educational resources
to all employees

51%

26%

24%

Supporting diverse organizations
and/or recruiting at HBCUs to build
the pipeline of diverse employees

46%

24%

31%

Offering mentorship opportunities
to diverse employees

45%

28%

27%

Increasing efforts aroundsocial justice initiatives

43%

28%

29%

Coordinating employee resourcegroups/affinity groups within
the organization

40%

28%

31%

Defining benchmarks and metrics
for accessing progress

36%

34%

30%

Providing incentives to
executives/leaders to advancediversity priorities

23%

19%

Evaluating managers in the
IE&D performance and results

22%

29%

49%

Providing diversity
fellowship programs

22%

21%

56%

58%

While executives are largely maintaining or increasing their IE&D commitments, more than one inthree (35%) do not agree that their organizations have clear plans and goals in place relating to IE&D.
Further, only 34% say their organizations have defined benchmarks and metrics for assessing their
IE&D progress, potentially reflecting concerns around doing so in a legally compliant manner.
Appearing to use racial or gender quotas, for example, may invite claims under Title VII of the Civil
Rights Act of 1964. Collecting sensitive employee data may also raise privacy concerns under state laws
such as the California Privacy Rights Act.
Many organizations have also been slow to implement other legally thorny IE&D goals. Just 22%
report having diversity fellowships after a number of these programs faced legal challenges fromconservative organizations and politicians in 2023. Less than a quarter of respondents, meanwhile, saytheir organizations provide incentives to executives and leaders to advance diversity priorities (23%)

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or evaluate managers in the areas of IE&D performance and results (22%). Employers may be trying to
avoid what they perceive as an especially fraught area, as evidenced by a $10 million award in a 2021
reverse discrimination case that hinged in part on such incentives.
The most popular initiatives tend to be more straightforward and established. These include
providing training and professional development opportunities to diverse employees, as well as
providing organization-wide IE&D or “implicit bias” training and educational resources — both ofwhich have already been implemented or are in the planning stages at 77% of organizations. About
three quarters of executives (73%) also say their organizations already provide or are planning todevelop mentorship opportunities for diverse employees.
Crucially, many organizations made strides in recruiting and promoting diverse employees following
increased pressure on companies to address racial inequality in 2020. The survey found 55% ofexecutives saying their organizations are elevating diverse employees into leadership positions,and 23% are planning to do so. Nearly half of C-suite leaders (46%) also say their organizations are
already supporting diverse organizations and/or are recruiting from historically Black colleges anduniversities (HBCUs) to build the pipeline of diverse candidates, while another 24% are consideringsuch efforts.
Large organizations with over 1,000 employees are taking more IE&D-related actions than theirsmaller counterparts with fewer than 100 employees, including in the areas of providing implicit bias
training (59% versus 39%), supporting diverse organizations and/or recruiting from HBCUs (57%versus 34%), and offering employee resource groups or affinity groups (57% versus 23%). This could
be a reflection of the greater diversity in their workforces, as well as more intense scrutiny of theirpolicies and practices.

“As IE&D initiatives face more legal challenges andreceive greater attention in the public discourse,
it raises the stakes for employers to develop
programs that are compliant with federal and state
laws. In today’s environment, it’s more important
than ever for organizations to assess whether theirinvestments in IE&D are achieving their desired
outcomes without creating new liabilities.”
Kate Mrkonich Wilson,
Littler shareholder and member ofthe firm’s Inclusion, Equity andDiversity Consulting Practice

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CHIEF DIVERSIT Y OFFICERS VS. CHIEF LEGAL OFFICERS
CDOs and CLOs often differed significantly in their survey responses, demonstrating how theperspectives and goals of these roles are diverging as IE&D faces new legal and political challenges.

Offering Diversity
Fellowship Programs

Increasing Social
Justice Efforts

70%
61%

51%

10%
Already doing

14%

11%

Not doing or
considering

Already doing

CDOs

CLOs

Just over half of CDOs, for example, say their organizations are offering diversity fellowship
programs, while 70% of CLOs say their organizations are not offering, nor are they considering, suchprograms. There are also vast discrepancies between the proportion of CDOs and CLOs who say theirorganizations are providing IE&D-related incentives to executives (49% versus 8%, respectively),offering mentorship to diverse employees (66% versus 37%), and defining metrics for IE&D progress(57% versus 19%), to name a few.
Reversing the trend, however, 61% of CLOs say their organizations are increasing efforts aroundsocial justice initiatives, compared to just 11% of CDOs.
More broadly, and perhaps unsurprisingly, the vast majority of CDOs (89%) say their organizations’
IE&D plans and goals are clear, reflecting their high degree of involvement with such initiatives. CLOs,
on the other hand, were more skeptical: 31% disagreed to some extent that their organization had
well-defined IE&D strategies, nearly double the percentage of those who disagreed overall (18%).
These stark differences could suggest a concerning lack of alignment in the C-suite. If CLOs do nothave full visibility into or awareness of the IE&D programs their organizations offer, for example,
these programs might create legal liability, particularly in states like Florida and Texas that havepassed laws targeting IE&D trainings or other diversity-oriented programming. On the other hand,
CLOs and CDOs may have meaningfully different understandings of what these programs are trying
to achieve or even what falls under the definition of “social justice” — potentially hampering theeffective implementation and ultimate success of IE&D programs.
More than ever, organizations should work toward aligning their leadership not only on their IE&D
values, but also how they are putting them into practice.

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EMPLOYERS WRESTLE WITH CONTRADICTORY
VIEWS AND EXPECTATIONS
To what extent is your organization facing challenges in managing potentiallydivisive social and political beliefs among employees and/or with navigatingpressure for the company to take a stance on social issues?

25%

To a large extent
To a moderate extent

34%
14%

To a small extent
Not at all

27%

Please indicate your level of agreement with the following statement:
In recent years, workplace legal issues have increasingly been viewed
by our leadership team as key areas of focus that can have high-stakes
consequences for our core business and reputation.

Strongly agree

28%

39%

Agree
Neither agree nor disagree
Disagree

8%Strongly disagree

23%
2%

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Managing not only IE&D programs but also larger social issues in the workplace has become aminefield for many organizations amid increased political polarization in the U.S.
Nearly three quarters (73%) of executives surveyed say they are facing at least some degree ofchallenge in handling potentially divisive social and political beliefs among employees and/or
navigating pressure for the company to take a stance on social issues. This aligns with findings fromLittler’s 2023 Annual Employer Survey Report, released in May, where a similar proportion (76%) of
employers struggled to some extent with these issues.
Events in the latter half of 2023 further revealed how critical management of these issues can be to anorganization. The Israel-Hamas war, for example, which began just weeks before the fielding of thissurvey, left many organizations scrambling to balance calls from employees to support either Israelor Palestine — while also combatting antisemitism and Islamophobia both in the workplace and in
off-duty employee conduct.
More broadly, the majority (62%) of C-suite executives surveyed say that in recent years, workplacelegal issues have been viewed by their leadership teams as key areas of focus that can have highstakes consequences for their core business and reputation. An even higher percentage of CDOs(82%) agree, likely because of their first-hand experience with how IE&D — or the lack thereof — caninfluence an organization’s hiring, retention, culture and perception, both internally and externally.

“The past few years have shown that IE&D is nota self-contained concept, but rather somethingthat is embedded into nearly every aspect ofan organization, from employee engagement
and hiring to data privacy and pay equity. As
companies take a more holistic look at theirbusiness interests and commitments in IE&D
programs, they are more likely to view suchinitiatives in the context of other high-stakes
workplace legal issues for their organizations.”
Erin A. Webber,
Littler’s President andManaging Director
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Methodology and Demographics
In November 2023, 322 U.S.-based C-suite executives from a wide range of industries completed
Littler’s survey via an online survey tool. Respondents all indicated playing leading or supporting
roles with regard to IE&D initiatives and decision-making.
Respondents included:• Chief Legal Officer / General Counsel (31%)• Chief Executive Officer (30%)• Chief Human Resources Officer (17%)• Chief Diversity Officer (11%)• Chief People Officer (5%)• Chief Operating Officer (4%)• Chief Compliance Officer (1%)• Chief Strategy Officer (1%)
Companies represented were of a variety of sizes:• One to 100 employees (29%)• 101 to 500 employees (20%)• 501 to 1,000 employees (18%)• 1,001 to 5,000 employees (19%)• 5,001 to 10,000 employees (6%)• More than 10,000 employees (7%)

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About Littler’s Inclusion, Equity and Diversity
Consulting Practice
Littler has decades of experience counseling employers on workplace discrimination and equity
matters, dating back to the civil rights movement and the enactment of Title VII of the Civil Rights Act
of 1964. Drawing on our deep history partnering with organizations in the U.S. and globally on their
IE&D programs, along with our unmatched resources as the world’s largest employment and labor law
firm, our team is uniquely positioned to help employers implement meaningful, effective and legallycompliant IE&D initiatives.
We provide holistic counsel to organizations — from C-suite executives and boards of directors to HR
teams — on the full scope of their IE&D needs, including program development and implementation,
analytics and assessments, reporting and compliance, crisis management and communication, andmanaging litigation or other legal challenges related to their programs.
Littler meets organizations where they are on their IE&D journeys, helping clients align theircorporate values with their risk tolerance and reach their IE&D objectives amid shifting trends andpressures impacting the workplace.

ABOUT THE LITTLER INCLUSION, EQUIT Y AND DIVERSIT Y PLAYBOOK
Littler offers extensive IE&D educational and training resources, including executive workshops, in-person andonline training courses, and a first-of-its kind IE&D Playbook.
The IE&D Playbook is a free resource providing employers with an interactive, comprehensive collection of
resources — including videos, FAQs, podcasts and high-level summaries — that can help organizations address
fundamental IE&D compliance questions, assess their current efforts, uncover gaps and challenges, andidentify IE&D programming opportunities. More information about the Playbook can be found here.

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