Businessolver®, the market-leader in SaaS-based HR and benefits administration technology, today released its 2025 State of Workplace Empathy DEIB Special Report uncovering the business risks associated with cutting diversity, equity, inclusion, and belonging (DEIB) programs.
Despite 85% of CEOs stating that DEIB initiatives are important to their organization, only 57% currently have them in place, down 17 points from 2024. This retreat could cost companies by putting retention and culture at risk: Employees at companies without DEIB are 35% more likely to leave their jobs compared to organizations with DEIB initiatives in place.
“Walking away from DEIB is risky business,” said Rae Shanahan, Chief Strategy Officer at Businessolver. “Our findings show how DEIB doesn’t just support culture—it drives performance and employee engagement. Treating it like an expendable initiative instead of a strategic asset could jeopardize business outcomes.”
33% of Employees at Organizations Without DEIB Programs Say Their Company is Not Empathetic
Findings likewise show 1 in 3 employees (33%) who work at organizations without DEIB programs say their company is unempathetic. Meanwhile, those at companies with DEIB programs are:
- 11 points more likely to feel connected to leadership (82% vs. 71%)
- 10 points more likely to report a sense of belonging (90% vs. 80%)
- 11 points more likely to say they can be their authentic selves at work (88% vs. 77%)
These emotional and cultural markers correlate directly to business outcomes. Businessolver’s 2025 State of Workplace Empathy Report revealed U.S. employers who are perceived as unempathetic risk $180 billion annually in attrition.
CEOs Say DEIB Matters—But Fewer Are Following Through
While the 17-point year-over-year (YOY) decline in DEIB implementation among CEOs may reflect external political pressures, it runs counter to the majority of CEOs’ beliefs:
- 85% of CEOs, 81% of HR leaders, and 74% of employees agree DEIB is important to their organization.
- 85% of CEOs also believe DEIB helps retain top talent.
The data suggests CEOs are deprioritizing a business initiative that they value, potentially undermining employee trust while also introducing risk—especially as younger generations and underrepresented groups demand authenticity and equity in the workplace:
- 73% of Gen Z and 68% of Millennials believe their employer should do more to foster diversity, alongside Asian-American (76%), Black (75%) and Hispanic (73%) employees.
- 72% of Gen Z want their company to take a public stance on social and political issues.
Support for DEIB also rose sharply among Boomers: 56% (+12 points YOY) say their company should do more to foster DEIB.
DEIB Drives Measurable Business Outcomes
CEOs who say their organization has DEIB programs in place are seeing measurable outcomes:
- CEOs with DEIB are 34% more likely to invest in employee benefits and wellness programs.
- 11% of CEOs with DEIB programs reported layoffs in the past year, compared to 19% of those without.
“We’ve seen firsthand at Businessolver how integrating DEIB into our business strategy delivers measurable results,” said Shanahan. “Our employee net-promoter-score (eNPS) has improved by 92% over the past five years, alongside other strong performance outcomes. The data is clear: companies must weigh the risks before rolling back or walking away from DEIB commitments.“
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