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The data is in: DEI strategies can benefit all 

Discover two key findings on nonprofit DEI strategies from Building Movement Project’s latest report, including how charitable organizations’ diversity, equity, and inclusion initiatives beneficially impact staff retention and workplace satisfaction.

September 30, 2024 By Frances Kunreuther and Mercedes Brown

Diversity, equity, and inclusion (DEI) initiatives are not structural solutions to long-standing racial inequities. They can, however, change the day-to-day experiences of those working in nonprofit organizations.  

In this article we’ll describe two key findings from the Building Movement Project’s latest report, Blocking the Backlash: The Positive Impact of DEI in Nonprofit Organizations, about the impact DEI can have on the nonprofit workforce, especially people of color: First, BIPOC (Black, Indigenous, and people of color) respondents were more likely than white respondents to rate DEI strategies as effective. Second, the more DEI strategies an organization employed, the higher both BIPOC and white respondents rated their workplace experience.  

DEI strategies are rated more effective by BIPOC than white staff 

The most recent Race to Lead survey, conducted in 2022, asked nonprofit staff to select from a list of 10 DEI strategies which ones had been used in their organizations. Respondents then rated the effectiveness of each strategy in “improving diversity, equity, and inclusion.” For five of the strategies, BIPOC respondents were much more likely than white respondents to rate the intervention “extremely effective” or “very effective.” 

Three of the DEI strategies with higher ratings among BIPOC respondents were related to diversifying staff: “recruit senior and executive leadership of diverse backgrounds” (58% of BIPOC respondents vs. 47% of white respondents), “develop new recruitment and outreach strategies to increase staff diversity” (44% BIPOC vs. 36% white), and “measure and track organizational diversity” (48% BIPOC vs. 41% white). The other two strategies focused on the community the organization served: “address one or more ways that racial inequity and/or systemic bias impact the issues my organization works on” (49% BIPOC vs. 38% white) and “work with the community on issues of race equity and inclusion” (56% BIPOC vs. 47% white).  

Four of the remaining DEI strategies were rated as extremely or very effective by similar percentages of BIPOC and white respondents. These included the two most commonly reported strategies: “provide training on equity and inclusion” (43% BIPOC vs. 40% white) and “clarify that equity, inclusion, and diversity are central to my organization’s purpose and reflected in the mission statement” (53% BIPOC vs. 49% white), as well as “increase the representation of underrepresented groups on the board of directors and/or advisory committees” (46% BIPOC vs. 42% white). Creating affinity/employee resource groups was the least common strategy and the least likely to be rated highly or very effective by both BIPOC (40%) and white (38%) respondents.  

It is striking that the only DEI strategy rated extremely or very effective more often by white respondents than respondents of color was “pursue equity in compensation” (54% BIPOC vs. 59% white). It was also the only strategy rated extremely or very effective by more than half of white respondents, perhaps because white staff personally benefited from pay equity audits. 

More DEI strategies improve the workplace experience—for everyone 

We wanted to know whether having a DEI strategy affected how respondents felt about their organizations. So, we compared the number of DEI strategies employed by the respondents’ organizations—a proxy for the extent of the intervention—with three indicators of workplace satisfaction.  

Two findings immediately stood out. First, in organizations with no DEI interventions, white respondents were far more satisfied with their workplace than respondents of color. Second, the highest ratings of workplace satisfaction for both BIPOC and white respondents were in organizations that employed five or more DEI strategies. 

For example, white respondents in organizations not employing any DEI strategies were far more likely to agree with the statement: “I would be happy to work at my organization three years from now” (average 7.6 on a scale of 0 to 10 among white respondents vs. 6.4 among BIPOC respondents). At organizations that implemented one to four DEI strategies, the gap between white and BIPOC respondents narrowed (7.0 white vs. 6.7 BIPOC). The more DEI strategies an organization employed, the more likely both white and BIPOC respondents agreed: 7.7 white vs. 7.4 BIPOC at nonprofits with five to seven DEI strategies and 7.9 white vs 7.6 BIPOC at those with eight or more. A similar pattern was seen in response to the statements “I feel I have a voice in my organization” and “I am consulted before the organization makes key decisions about my work.” 

Current conversations about DEI rarely include how DEI initiatives affect those in the nonprofit workplace. DEI strategies don’t by themselves change the overall systemic barriers caused by inequities, but the survey data shows comprehensive DEI strategies improve the workplace experience—for people of color and all staff. In these trying times, this is no small feat for nonprofits and a promising sign for DEI in the sector. 

Photo credit: AnnaStills via Getty Images

About the authors

Headshot of Frances Kunreuther, co-executive director of Building Movement Project.

Frances Kunreuther

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Co-Executive Director, Building Movement Project

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Headshot of Mercedes Brown, Director of Race Equity Assessment, Building Movement Project, in a striped shirt.

Mercedes Brown

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Director of Race Equity Assessment, Building Movement Project

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