NEWS
NEWS

Pride clings to its flag against Trump's rainbow crusade: "Many companies in the US have canceled their DEI programs"

Updated

The arrival of Donald Trump to the White House has put at risk the advances made over the years in terms of diversity and inclusion of LGBTQ+ individuals in the business world, and its effects are beginning to be visible in companies

President Trump dances after speaking at the U.S. Steel Mon Valley Works.
President Trump dances after speaking at the U.S. Steel Mon Valley Works.AP

The case of Marlean Ames could mark a turning point. This 60-year-old heterosexual woman, a detail that should not matter but is crucial in her story. Marlean sued the Ohio Department of Youth Services, where she was employed, claiming that she had lost her job in favor of a gay man and that she had been denied a promotion in the past in favor of a lesbian woman. According to Ames, both were less qualified professionally than her, but her supervisor was also gay and ended up tipping the scales in his favor. Initially, the courts did not rule in Marlean's favor, among other things because they considered that she needed to gather more arguments and reasons to prove her complaint. They also did not see discrimination because they considered it very rare for a majority group to be penalized for this specific issue, but that has changed, like many things in the US in recent months.

Ames appealed the ruling to the country's Supreme Court, and its decision just a few days ago has changed the playing field. According to the justices, the evidentiary requirements for a heterosexual person should not be greater when suing for discrimination, making it easier for majority groups, such as whites and heterosexuals, to raise issues like Marlean's. Her case, for now, will be reviewed again.

All of this is happening amid the president, Donald Trump, and his followers' offensive against everything related to diversity, equity, and inclusion (DEI). The Republican has signed several decrees since taking office to end inclusive policies in the administration and in companies, threatening to terminate public contracts or not do business with corporations that implement or apply such measures... and in the US, it is bearing fruit. Major groups have backtracked on advances that were considered conquered, and now the fear is that this wave will spread to the rest of the world. The groups encompassed by the LGBTQ+ acronym are among the most threatened, and in June, the month in which International Pride Day is commemorated worldwide, they acknowledge the threat but also cling to their flag and legal shield against Trump's rainbow crusade.

"At first, we felt fear, but after the initial uncertainty, serenity is gaining ground. In Spain and Europe, there are laws, and it is very difficult for them to backtrack. We have seen some companies adjust their communication, especially to do business in the US, but beyond this, companies have put their commitment to the talent that diversity brings first. Now they cannot come and tell us that these principles, which were valid until a few months ago, are no longer valid; they have incorporated them into their corporate culture, and it is very difficult to go back," reflects Óscar Muñoz, co-general director of Redi.

Redi is the Business Network for LGBTQ+ Diversity and Equality, an ecosystem of companies created in 2015 with the purpose of serving as a consultation and exchange on needs and best practices in LGBTQ+ diversity and inclusion in organizations, where talent is valued regardless of gender identity or sexual orientation. Ten years later, it has more than 300 associated organizations, mainly large companies, as well as SMEs, institutions, individuals, and expert consultants in LGBTQ+ diversity and inclusion in the workplace. The association admits that it has been an intense decade but also crucial for advancing equal opportunities in the workplace.

In Europe, 63% of companies are already working towards the inclusion of this group. These are data shared by Actualidad Económica with Imma Folch Lázaro, CEO and founder of the consultancy LF Channel, which also works with DEI matters in places like Los Angeles. "Many companies in the US have canceled their DEI programs, although in reality, many of them have simply changed the name and rebranded them within what they now call 'social sustainability policy.' I don't think this will reach Europe or Spain, where we are 10 years ahead of the US regarding LGBTQ+ inclusion," she asserts.

Communication has become a focal point in anchoring inclusion and diversity without being questioned. The ultimate goal is for employees to be themselves, it is not a matter of reaching any quota. "Communication in this regard is being readjusted to make it clear that it is not a matter of quotas because this way there is less risk of questioning whether there is equal opportunity for everyone," explains the Redi spokesperson.

All sources consulted assume that there will be changes in how companies communicate, but they insist that these changes will mainly occur across the pond. "In Spain, equality legislation is present throughout the employee's life cycle, and it is so strong that what happens in the US will not influence us. Quite the opposite. In the past year, we have seen companies that are betting on diversity even without much conviction, for marketing reasons and pinkwashing [projecting a positive image of the company without a real commitment to the cause], that is, they do it even though they are not truly convinced because they have realized that the opposite penalizes, especially among the new generations. Other companies have realized that the commitment to diverse inclusion is a source of competitiveness and have enhanced their resources, especially at a time when finding talent is so challenging," points out Alberto Gavilán, talent director at The Adecco Group. At the firm, they work under the premise of talent without any labels -age, gender, sexual orientation...-, convinced that "labels only detract." They are not oblivious to the global geopolitical context, but they remain optimistic. "There would have to be a very strong shift in Spain and a very strong legislative change for us to see any kind of regression. Nothing is impossible, but I see it as very complicated," says Gavilán.

Experts agree that DEI policies must go beyond the human resources sphere within an organization and must be applied in a cross-cutting manner. The results support this approach. Companies with diversity programs have shown to be more productive, attract and retain the best talent in their workforce, and offer more creative and innovative business solutions. It has also been demonstrated that, although LGBTQ+ diversity is a sensitive and somewhat controversial issue within companies, once addressed, it enhances the inclusion of other diversities and helps build more engaged corporate cultures. In terms of productivity, according to Redi data, when LGBTQ+ individuals can be visible in their jobs without fear, they are up to 20% to 30% more productive. Despite the numbers supporting this, visibility remains a pending challenge.

The Mpátika 2019 study shows that only 38% of LGBTQ+ employees in Spain dare to fully show their sexual orientation or gender identity in their workplace for fear of the repercussions it could have on their progression and work relationships. In other words, "six out of ten employees go back into the closet when they go to work for fear that it will affect their acceptance in the company or their professional advancement," acknowledges Óscar Muñoz. This triggers a kind of domino effect because it affects their socialization and way of expressing themselves, making them appear more indecisive and insecure, perceived as having less leadership capacity, and ultimately finding it more challenging to break the rainbow ceiling, which grants access to executive positions and higher salaries.

"If employees do not find LGBTQ+ role models in senior management, they hold back from expressing themselves. As they spend more time in the company, they gain confidence, and many end up revealing it," says Muñoz. "But the big problem is not only the rainbow ceiling because it is true that more and more executives from this community are known, but until they reach the top, many people give up labor rights that are already presumed to be conquered," he adds. And in this loss, the most affected are lesbian women, who are discriminated against by women and by lesbians. From Redi, they mention that many, for example, do not disclose that they are mothers to avoid explaining how or with whom, thus losing their right to maternity leave. There are also gay individuals who do not share their marriage to avoid details and give up their days off for getting married, or transgender individuals who delay their transition for years until they feel they have the necessary professional security not to jeopardize their job. Without going to that extreme, they also denounce that while most people can talk openly about their weekend activities or family life, LGBTQ+ individuals often do not feel capable of speaking naturally about their personal context for fear of being the subject of rumors, gossip, or derogatory comments. So yes, Spain has progressed, but there is still a long way to go.

The first major milestone in this evolution came with the approval of the Equal Marriage Law - which now celebrates its 20th anniversary - due to the political, social, and labor debate that opened at that time. Years later, the latest turning point is Law 4/2023, of February 28, for real and effective equality of transgender people and for guaranteeing the rights of LGTBI people. "It obliges companies to have specific measures in this regard, and when you make it explicit, everything changes. Furthermore, it is not difficult to implement, and there is agreement between employers and unions to manage them," says Óscar Muñoz. Social dialogue has been energetically negotiating for a year ways to implement the new regulations into the daily operation of the business ecosystem. They are considering measures to prevent lgtbiphobia, to protect people's freedoms, to sanction those who cause offenses, or to prevent LGTBI people from feeling restricted in their work environments. The union side is satisfied with the progress made in recent months and believes that these efforts contribute to strengthening the Spanish and European social contract, which increasingly has less to do with the situation in the United States.

However, they also warn that it will be difficult to "remain unscathed" from the reactionary wave coming from Washington. "At this moment, all human rights are in danger, including those of the LGTBI community. The far-right has become more visible in workplaces, although there is also more visible rejection of their slogans," comments Carolina Vidal López, confederal secretary of Women, Equality, and Working Conditions of CCOO. The organization has not noticed any changes or an increase in complaints or reports of compromised situations against LGTBI people in recent months. "There is no more lgtbiphobia, but there is more hate speech, which is the prelude to hate crimes," she warns. Nevertheless, both Carolina and the rest remain positive: "Our society is inclusive and open, and in this context, inclusive and open companies are created." The shield against Trump's rainbow crusade remains high.