5 reasons organisations are standing by and strengthening their approach to DEI

Despite recent high-profile pushback, for many companies DEI continues to be essential within an effective reward and benefits strategy.

Diversity, equity and inclusion (DEI) has come under fire recently. Some critics question its relevance or claim it’s a distraction in challenging times. Yet behind the headlines, many employers are standing firm with some even strengthening their commitment.

This is because, when done well, DEI isn’t an add-on. It’s a principle that underpins fairness, engagement and trust, which are essential to an effective reward and benefits strategy. Such strategies can also support businesses with broader workforce planning.

Across the employers we work with, the most progressive reward leaders continue to weave DEI considerations through pay, pensions and benefits design. Here are 5 reasons why.

1. Fairness remains the foundation of engagement

As public debate shifts, fairness in reward remains a business focus. Transparent pay frameworks, accessible benefits and equitable opportunities underpin employee trust and engagement.

But fairness also means looking beneath the surface, especially in pensions. Traditional designs may reinforce inequity. Matching contribution models may favour those with the greatest ability to save. While definitions of pensionable pay can exclude overtime or allowances, which is more common among lower-paid or part-time workers.

Auto-enrolment thresholds can also disadvantage part-time staff, many of whom are women or carers. In response, some organisations are exploring non-contributory models that ensure all employees receive a meaningful employer contribution, regardless of personal affordability.

These design decisions have a lasting impact on wealth outcomes. Where employees can’t retire due to affordability problems, this can impact longer-term workforce planning.

Nearly all (90%) employers we surveyed have already reviewed their pension provision through a DEI lens to understand and address potential inequities with 55% with plans to act - a clear sign that fairness is being built into the system, not just spoken about.

2. Financial inclusion builds real resilience

For DEI to be meaningful, it must reach the lived financial experiences of employees. Financial wellbeing is not just about pay, it’s about broader financial resilience, confidence and access to the right support at the right time.

Research from Hymans Robertson Personal Wealth shows that two-thirds of employees say that financial stress affects their motivation and engagement levels at work, with half recognising that this impacts their productivity.

Women, generation X and those with minimal savings are more likely to be financially vulnerable. It is those who show the greatest level of disengagement at work and are most likely to leave their employers.

Increasingly, employees are looking for support that recognises their unique financial positions via access to guidance. Many employees (24%) simply want the opportunity to talk to someone about their circumstances.

As employers, creating inclusive financial wellbeing programmes means addressing the diversity of needs through flexible, human-centred support that meets people where they are.

3. Inclusive benefits boost retention and resilience

Amid economic pressure, inclusive benefits are proving to be non-negotiable. They help employees feel supported, secure and valued. This helps to drive retention.

Onvero’s State of Inclusion in the UK 2025 found that employees in organisations with strong inclusion cultures stay an average of 3.76 years longer, and report productivity 68% higher than those in less inclusive workplaces.

Offering personalised, flexible benefits, such as wellbeing support and inclusive family leave, helps build resilience.

Inclusion isn’t a cost, it’s a strength.

4. Data, governance and regulation are reinforcing the case

Governance and inclusion are increasingly intertwined. Regulations around gender pay gap reporting, value-for-money assessments and pay transparency are pushing reward professionals towards greater fairness and accountability.

Organisations that analyse benefits participation and outcomes by demographic are supporting inclusion whilst strengthening compliance and credibility. In pensions for example, employers are beginning to use analytics to understand differences in opt-out rates, contribution levels and investment choices across their employee groups. This enables more targeted interventions and communications.

A 2025 Enterprise Research Centre study found that inclusive workplaces are more innovative. Similarly, data-led DEI strategies within reward and benefits turn good intentions into measurable business value.

5. Employees still expect it - and employer brands depend on it

Public debate may have cooled, but employee expectations have not. People increasingly expect their employer to live and breathe fairness and inclusion, not simply talk about it.

Reward and benefits are where those values become tangible: equitable healthcare access, inclusive financial wellbeing support, flexible leave and benefit options.

As EY’s DEI research highlights, inclusive cultures “help improve equity and inclusion across multiple characteristics such as gender, ethnicity, disability and socio-economic background.”

For reward leaders, inclusion is now a signal of authenticity and a key differentiator in talent attraction and benefits design remains one of the clearest ways to demonstrate it.

A moment to lead, not to pause

Reward and benefits professionals are uniquely placed to turn DEI from principle into practice. The design of pay, pensions and benefits is where fairness becomes real and measurable.

Embedding DEI in reward isn’t just “the right thing to do”, it’s a way to create value, build trust and future-proof your strategy.

For those of us working in reward and benefits and financial wellbeing, this is where the opportunity is clearest. By designing inclusive reward and pension structures and wellbeing programmes, organisations can make a tangible difference to long-term financial outcomes for members, and support business growth, productivity and sustainability.

When employers help everyone build financial resilience and security, they’re shaping what good reward looks like whilst keeping pace with change. To discuss this in more detail, please get in touch.