By Natasha Tiwary
Imagine a workplace where diversity isn’t just a buzzword, but a driving force behind economic growth, innovation, and employee happiness—this is the transformative power of LGBTQIA+ inclusivity. This vision is not just a utopian ideal but a practical reality that numerous studies and real-world examples have shown to be both achievable and beneficial. As India progresses toward greater diversity, equality, and inclusion (DEI), embracing LGBTQIA+ inclusivity in the workplace becomes not only a moral imperative but a strategic economic advantage.
Economic benefits of LGBTQIA+ inclusivity
The correlation between inclusivity and economic performance is well-documented. According to a study, the cost of discrimination against LGBTQIA+ individuals can account for USD 7.7 billion in lost GDP for India.[1] In fact, another global study found that 66% of university students and graduates would leave their jobs if they could not come out at the workplace.[2]
Conversely, fostering an inclusive environment can drive economic growth. For instance, research indicates that companies with inclusive policies are more likely to attract and retain top talent, which enhances productivity and innovation.[3] A report by McKinsey found that organizations in the top quartile for gender diversity are 15% more likely to have financial returns above their respective national industry medians.[4]
When this diversity includes sexual orientation and gender identity, the benefits are even more pronounced. Inclusive workplaces encourage diverse perspectives, leading to more innovative solutions and a better understanding of a broader customer base. Therefore, it is important to demonstrate allyship. Senior leadership should talk openly and freely about LGBTQIA+ issues and amplify the voices of the community. And this is not only for Pride month. Simple initiatives such as awareness campaigns, allyship campaigns, driving awareness around unconscious bias, programmes to strengthen a diverse leadership pipeline, and reverse mentoring centred on gender and generational inclusivity can help foster an encouraging environment. Moreover, fireside chats can facilitate open dialogue and help exchange innovative ideas. In fact, inclusivity can help workplaces align with international targets like the Sustainable Development Goals.
Retaining talent
Inclusivity directly impacts employee satisfaction and retention. When employees feel valued and accepted for who they are, they are more likely to be engaged and committed to their work. Happiness and satisfaction translate to higher productivity and lower turnover rates, which are critical for maintaining a competitive edge in any industry.[5]
Moreover, the cost of replacing an employee can be substantial, often amounting to 20% of their annual salary. By fostering an inclusive environment, companies can reduce turnover and retain valuable employees. This not only saves on recruitment and training costs but also preserves institutional knowledge and fosters a stable, experienced workforce.
Importance of continued efforts in India
India has made significant strides in LGBTQIA+ rights, with the decriminalization of Section 377 in 2018 being a landmark victory. However, the journey towards full equality and acceptance is far from over. Workplace inclusivity is a crucial frontier in this ongoing battle as research shows that 92% of transgender individuals are still deprived of the right to any economic activity in the country.[6]
In a country as diverse as India, promoting inclusivity can serve as a powerful statement against discrimination and a step towards broader social acceptance. As the premier industry association in India, the Federation of Indian Chambers of Commerce & Industry (FICCI) has been advocating for corporations to adopt inclusive work strategies that embrace non-discrimination at all levels. By leading the way, organizations can influence societal norms and set a precedent for other institutions. This ripple effect can help dismantle prejudice and foster a more inclusive society overall.
The economic and societal benefits of LGBTQIA+ inclusivity in the workplace is clear. From boosting GDP and fostering innovation to enhancing employee satisfaction and retention, the advantages are manifold. For India, continued efforts towards inclusivity are not just a moral obligation but a strategic imperative that can drive economic growth and societal progress. By championing DEI, workplaces can help everyone thrive, and in doing so, build a more prosperous and equitable world. Let’s imagine, and work towards, a world where every workplace reflects this ideal—a world where inclusivity isn’t just an aspiration, but a reality.
(The author is By Natasha Tiwary, Director- HR, AbbVie India, and the views expressed in this article are her own)
