Further to our recent report: “Sustainability Report Benchmarking,” Teneo’s “DEI Will Survive” reveals the results of its analysis of DEI disclosures in 250 S&P 500 sustainability reports, which was aimed at understanding the impacts of the anti-DEI sentiment on disclosure and underlying practices.
Among the key takeaways:
DEI acronym—Use of the “DEI” (or similar) acronym declined from 99% last year to 94% in 2024. Of the 94%, more companies identified “inclusion” first in their acronyms. Companies outside of the 94% are increasingly introducing alternative terminology such as “equity,” “culture,” or “belonging.”
EEO-1 disclosure—The disclosure of employee demographic data inclusive of EEO-1 reporting increased fairly significantly year-over-year, as shown here:
DEI goals—While reports showed a modest decline compared to 2023 in disclosure of quantitative, time-bound DEI goals, 43% of companies affirmed representation, supplier diversity, or other DEI goals, with representation goals being the most prevalent.
DE&I initiatives—Most reports disclosed talent programs (e.g., mentorships, fellowships, internships and scholarships that focus on specific demographics) and supplier diversity initiatives, at 67% and 78% of companies, respectively.
Pay gap audits/disclosure—Two-thirds of companies reported having conducted pay gap audits, with disclosure of audit results by those companies increasing by 5% year-over-year to 45%, while the use (or disclosure of the use) of third party assurance for pay gap audits increased measurably from 33% to 42%.