Workplace Discrimination: What HR Needs to Know and Do

Employees who have experienced workplace discrimination are far more likely to be quietly polishing their resumes, according to ADP’s People at Work 2025: A Global Workforce View.

The survey drew from a stratified random sample of nearly 38,000 working adults. Of those who reported discrimination at work, 34% said they were actively looking or interviewing elsewhere, compared with just 14% of employees who hadn’t experienced discrimination. 

Turnover is just the tip of the iceberg. In FY 2024, the U.S. Equal Employment Opportunity Commission (EEOC) recovered $700 million for employees who alleged discrimination – the highest total in recent history. Add the potential reputational damage of a public lawsuit, and it’s clear that unchecked discrimination in the workplace can be extremely costly. 

This guide provides practical action steps to help you prevent discrimination from taking root, protect your employees and strengthen your workplace culture.

Workplace Discrimination and HR’s Role

HR has a dual role when it comes to curbing workplace discrimination: It must act as both a risk manager and a culture builder. These two important tasks go hand in hand. 

To manage legal risks, HR must take an analytical look at the applicable legal boundaries and work to stay well within them. With respect to culture building, HR’s main job is to define its organization’s core values and communicate them effectively to all employees.

Types of Discrimination in the Workplace

Workplace discrimination comes in many forms and occurs when an employer imposes a negative consequence on an employee based on a protected class, such as race, national origin or disability.

Race and National Origin Discrimination

Federal law bans race discrimination in the workplace – and this includes ancestry as well as physical or cultural characteristics that are associated with a particular race.

In addition, federal law prohibits national origin discrimination, meaning an employer may not treat applicants or employees less favorably because they are from a particular country or part of the world – or are associated with a person of a particular national origin.

Ethnicity, which can be viewed as a component of national origin, is also protected from discrimination under federal law. Ethnicity discrimination involves treating an applicant or employee negatively based on cultural characteristics such as customs or dress.

Workplace discrimination based on these protected characteristics can manifest itself in many ways. For example, it can occur when employers make discriminatory hiring, promotion or retention decisions.

Remember that microaggressions may be serious enough to constitute illegal discrimination based on race, ethnicity or national origin. These are more subtle slights that – if left unchecked – may have the cumulative effect of producing illegal discrimination.

Title VII of the Civil Rights Act of 1964 (Title VII) bans discrimination based on race and national origin, which includes ethnicity. State laws provide additional protections for applicants and employees.

In a recent case, an asphalt paving company agreed to pay $1.25 million to settle an EEOC lawsuit alleging it subjected 12 Black employees and former employees to discrimination and harassment based on their race.

The cost to employers of race and national origin discrimination in the workplace can extend beyond legal costs and liability. There are also very real and potentially substantial costs related to company culture and employer brand.

Sex and Gender Discrimination

Title VII bans discrimination based on both sex and gender. Sex discrimination is based on biological sex, while gender discrimination is based on gender identity or expression. The first focuses on biology, while the second involves gender-related roles and behaviors.

Key types of discrimination falling under this umbrella include discrimination based on pregnancy, gender identity and sexual orientation.

An important thing for HR pros to keep in mind is that sex and gender discrimination often overlap with other forms of bias, such as discrimination based on disability or age.

Pregnancy Discrimination

The Pregnancy Discrimination Act specifically prohibits workplace discrimination based on current, past or potential pregnancy. It further bans discrimination based on a medical condition that is related to childbirth, as well as discrimination based on the use of birth control and on having or choosing not to have an abortion.

This law was passed to make it clear that pregnancy discrimination is a form of prohibited sex discrimination. Put simply, an applicant or employee cannot be treated less favorably based on pregnancy.

The Pregnant Workers Fairness Act (PWFA) separately requires employers to reasonably accommodate employee limitations that are specifically related to pregnancy, childbirth or a related medical condition unless doing so would create an undue hardship for the employer.

Examples of accommodations that may be required for pregnant employees include providing more frequent breaks or flexible work schedules.

In the fall of 2024, a pest control services provider in Florida paid $47,480 to settle the EEOC’s first PWFA dispute. According to the charge, the employer fired a pregnant employee after she requested an accommodation – time off to attend monthly medical appointments for her pregnancy.

Gender Identity and Sexual Orientation

Title VII bans discrimination based on gender identity and sexual orientation. This protection, like those for other protected classes, applies to employment decisions such as hiring, firing, and promotion, as well as to all other aspects of the employment relationship.

Prohibited actions with respect to gender identity and sexual orientation often take the form of misgendering, harassment and exclusion.

While the legal landscape in this area is continuing to evolve, a 2020 U.S. Supreme Court ruling made it clear that discrimination based on gender identity or sexual orientation is essentially a form of sex discrimination that is banned by Title VII.

Age Discrimination

Age discrimination occurs when an applicant or employee faces an adverse job action based on their age. The Age Discrimination in Employment Act (ADEA) prohibits covered employers from discriminating against anyone 40 or older, covering all terms, conditions and privileges of employment.

Illegal age discrimination takes many forms. Examples include being denied a promotion, being rejected for hiring, and being laid off on the basis of age. HR must be careful not to rely on stereotypes, for example, assuming older employees are less healthy, technologically illiterate, or ready to retire.

Earlier this spring, a state appeals court upheld a $1.8 million verdict for a 65-year-old CPA who alleged age discrimination after being replaced by a younger employee despite positive performance history. Conflicting explanations for her termination and comments favoring a “younger and hungrier” workforce convinced the jury that age bias played a decisive role, leading to substantial compensatory and punitive damages.

The ADEA also prohibits age preferences in job postings and advertisements and forbids harassment based on age. HR leaders must confront the challenge of managing a multigenerational workforce and actively guard against unconscious age bias in all employment decisions.

Disability Discrimination

In the workplace context, disability discrimination means taking an adverse job action against an applicant or employee based on their disability.

Under the Americans with Disabilities Act (ADA), a disability is a physical or mental condition that substantially limits at least one major life activity. The law also bans discrimination based on one’s record of a substantially limiting impairment or condition, as well as discrimination based on the erroneous perception that such an impairment or condition exists.

Federal law protects employees with disabilities from discrimination in every aspect of work. This means providing reasonable accommodations and removing barriers that could get in the way of doing the job. And just like any other protected group, employees with disabilities must also be treated fairly in hiring, promotions and daily workplace interactions.

Even in workplaces that are generally compliant with applicable legal requirements relating to discrimination, stigma and false assumptions relating to one’s ability to do the job can creep into the workplace and create a basis for legal liability.

The ADA requires employers to provide disability-related job accommodations, but this duty is limited by the concept of undue hardship. An accommodation is not required if it would impose a significant difficulty or expense on the employer.

When determining whether an accommodation creates an undue hardship, employers should consider its nature and cost, the organization’s overall financial resources, and the accommodation’s impact on business operations.

The ADA and its regulations also prohibit disability-based harassment, discrimination against employees associated with someone with a disability, and retaliation against anyone exercising their rights under the law.

Employers must balance compliance with fostering inclusion for employees with disabilities. This can be challenging when an employee poses a direct threat to health or safety. A “direct threat” is a significant risk of serious harm that cannot be mitigated through reasonable accommodation. Determining whether a direct threat exists requires an individualized assessment of the specific situation, not reliance on assumptions or stereotypes.

Religious Discrimination

Religious discrimination occurs when an employee or applicant is treated unfairly because of their sincerely held beliefs. Title VII protects people whether their faith is traditional, organized or personal, and it also bars discrimination based on someone’s relationship with a person of a particular religion.

Discrimination can be obvious or subtle. Employers cannot segregate employees by religion or deny reasonable accommodation requests. 

Common religious accommodations include allowing exceptions to dress or grooming codes and adjusting schedules so employees can observe religious practices. Requests can be declined if they create an undue hardship, but each situation requires an individualized review and should not rely on assumptions or stereotypes.

Title VII also bans religious harassment. Employers face challenges when managing religious diversity fairly and respectfully. Providing regular employee training is an important part of maintaining a legally compliant work environment. In all cases, the key is to conduct an individualized assessment of the particular situation at hand.

HR plays a key role in ensuring employees feel respected and included. Providing clear guidance, regular training, and consistent handling of requests helps the organization comply with the law and supports a fair workplace culture.

Discrimination Against Veterans

The Uniformed Services Employment and Reemployment Rights Act bars civilian employers from discriminating against individuals based on their past, present or future military service. This means that covered employers may not take negative job actions against individuals on that basis.

Examples of this workplace discrimination can include refusing to hire someone because they have military obligations, demoting an employee who has returned from military service, and denying benefits – such as health insurance – that are available to other employees.

Some discriminatory actions are motivated by false stereotypes relating to mental health and bad assumptions relating to job skills or the ability to adapt. Also, there may be a reluctance to accommodate military leave obligations.

The law protects military service members with respect to reemployment rights, discrimination, retaliation and health insurance.

In addition, the federal Vietnam Era Veterans’ Readjustment Assistance Act of 1974 bars federal contractors and subcontractors from discriminating against protected veterans while requiring them to take affirmative action to recruit, hire, promote and retain them.

Other federal laws may also apply to veterans, although more incidentally. These include the ADA, which bans discrimination based on disability, and the Family and Medical Leave Act, which allows employees to take leave to care for veterans as long as certain requirements are met.

HR plays a vital role in supporting the transition of veterans to productive civilian roles. It’s their job to smoothly transfer skills acquired during military service to the civilian corporate environment.

Intersectional Bias

Intersectional bias is discrimination that occurs as a result of the overlapping effects of characteristics such as race, gender and disability. 

This concept takes into account the cumulative effects of multiple types of discrimination operating together. For example, a person may face discrimination based on both race and gender. Overlapping identities create compounded discrimination risks because each risk must be evaluated and addressed separately.

Every employee is a member of at least one protected class under the law. When an employee is a member of multiple marginalized groups, HR faces unique challenges that may be left unaddressed by typical policies that do not specifically address intersectional bias in the workplace.

For this reason, it is important not only to understand the concept of intersectional bias but to specifically address it in HR policies and practices. It can be addressed in broader diversity, equity and inclusion (DEI) efforts.

How Discrimination Shows Up – Beyond the Obvious

Discrimination isn’t always blatant. While a supervisor’s open dislike for a protected group is easy to identify, bias more often builds through smaller actions that add up to unlawful treatment.

Hiring and Promotion Bias

Bias can distort hiring and promotion decisions when employers reject qualified candidates or favor others based on protected characteristics instead of the ability to meet job requirements. This type of workplace discrimination reduces diversity and undermines organizational effectiveness.

Employers should rely on standardized processes and consistent criteria to reduce risk. They also need to account for unconscious bias, which arises from ingrained stereotypes, by regularly reviewing decision-making patterns and updating practices as needed. 

Unequal Pay and Subjective Performance Reviews

Pay disparities and biased performance evaluations tied to protected traits are discriminatory. Employees must be assessed and compensated based on performance and value, not identity.

Examples include women being paid less than men for the same work or reviews skewed by recency bias. Stereotyped task assignments – asking only women to handle administrative chores – and other “invisible labor” can also hinder advancement.

Unchecked bias in pay or evaluations lowers morale, damages retention and creates exposure to legal claims. Employers should apply objective criteria, train evaluators and review outcomes for consistency.

Retaliation Following Discrimination Complaints

Retaliation occurs when employers take adverse actions, such as termination, demotion or exclusion, against employees for engaging in protected activity like filing a complaint or cooperating in an investigation. Even subtle acts, like denying training or piling on extra work, may qualify.

Federal laws, including Title VII, the ADA and the ADEA, expressly forbid retaliation. HR must adopt clear anti-retaliation policies, encourage reporting and ensure simple reporting procedures.

Microaggressions and Coded Language

Microaggressions are subtle slights that, over time, can amount to unlawful discrimination. Examples include assuming someone is foreign-born or making race-based assumptions about intelligence.

Coded language – terms carrying prejudiced meaning, such as “thug” or “illegal alien” – can marginalize entire groups. Both behaviors harm inclusion, morale, and belonging.

HR’s role is to identify these patterns, train employees, and take corrective action as needed.

Hostile or Isolating Environments

A hostile work environment exists when unwelcome conduct based on a protected trait is severe or pervasive. Bullying, exclusion, offensive jokes, slurs or insults all qualify.

Employers may face steep penalties if they fail to act, with liability automatic when harassment comes from leadership. In the spring of 2025, a federal judge denied an airline’s bid for a new trial and upheld an order that the company pay $300,000 in damages to a former parts worker who alleged she was subjected to a sexually hostile work environment.

Prevention requires clear communication that harassment is prohibited, swift investigations, and decisive corrective measures. HR pros must work proactively to prevent the creation of a hostile or isolating work environment.

Remote and Hybrid Discrimination Patterns

Workplace discrimination in remote or hybrid work takes different forms. Harassment may occur through email, texts or chat platforms, often leaving a record. It can also arise from exclusion from virtual networks, biased evaluations tied to visibility, or unequal access to resources.

Anti-harassment policies must extend explicitly to remote settings and provide online reporting options. Managers should receive regular training, and employees should know how to report issues in virtual environments.

While geographical discrimination isn’t illegal, HR leaders must be aware of proximity bias – unequal treatment based on a physical divide. Leaders may offer more feedback or real-time interaction to in-office employees simply because access feels easier – not necessarily because they value them more.

Legal and Compliance Framework

A legally compliant workplace begins with knowing the rules of the road. Understanding federal employment laws helps organizations protect employees while avoiding costly missteps.

Key protections come from Title VII, the ADA, the ADEA, and the Equal Pay Act, among others. Policies and procedures should be designed with a sharp focus on what these laws prohibit, so compliance isn’t left to chance.

State-Law Variation

It is important to note that federal laws relating to employment essentially provide a minimum floor of protection for applicants and employees – and that states are free to go beyond the minimum and provide additional protections. For example, several states mandate paid family leave for employees, while federal law does not.

For multistate employers, compliance is more complex since they must follow the rules of every jurisdiction in which they operate. Policies must be carefully constructed with reference to each applicable jurisdiction’s requirements – and regularly reviewed for updates.

EEOC Expectations

When an employee or applicant files a discrimination charge with the EEOC, the employer must preserve the individual’s personnel and employment records until the charge and any related lawsuit are fully resolved.

In FY 2024, retaliation was the most common charge filed, followed by disability, race and sex discrimination. HR should act early to prevent charges by understanding the law, embedding it in policies and monitoring compliance. But if the EEOC does come knocking, transparency and open communication are essential.

Employment law attorney Michael Nader of Ogletree Deakins previously told HRMorning that employers should take several immediate steps when faced with an EEOC charge. These include confirming the employment history of the complainant and alleged harasser, notifying executives and HR leadership, preserving all relevant data and records, requesting an extension of the response deadline, and assessing whether the matter may trigger a broader EEOC investigation.

Prevention Strategies That Work

Preventing workplace discrimination is far better than responding to it after the fact. Compliance is a legal requirement, but it is also a strategic advantage for HR.

Enforceable, Specific Anti-Discrimination Policies

An important key to maintaining legal compliance is written policies that say what the law is and define unacceptable employment-related conduct, as well as the consequences for violations.

When creating written policies, speak in clear, understandable language; make ample use of apt examples; make sure the policies are disseminated and read; and review them regularly for any updating that might be required.

Inclusive Hiring and Promotion Systems

Hiring and promotion processes should minimize bias and focus on job-related skills. Use inclusive, gender-neutral job descriptions and apply consistent evaluation criteria. Structured interviews help standardize decision-making. Resumes can be redacted to remove identifiers like name and gender, reducing unconscious bias.

Regular anti-bias training for hiring managers and diverse hiring panels further strengthens fairness and effectiveness.

Bias Interrupters in Hiring and Promotion

Unconscious bias, such as affinity bias (favoring candidates with similar backgrounds) or confirmation bias (seeking information that supports preconceptions), undermines diversity and leads to missed talent. 

Employers can disrupt bias by training decision-makers, using diverse panels, redacting personal information during screenings, and standardizing evaluations. Performance review calibration across departments ensures promotion decisions are consistent and equitable.

Leveraging Technology to Support Prevention

HR technology can play a strong role in reducing bias in hiring, promotions and reporting – but it works best when paired with sound human judgment and strong policy enforcement. 

Some platforms anonymize resumes by removing names, gender, and age – limiting the influence of unconscious bias. Others use AI to create neutral job postings, assess candidate applications objectively, or standardize interview questions. Technology can also support skills assessments – for example, using simulations or virtual reality to test job-relevant tasks fairly. 

When applied thoughtfully, HR tech tools help ensure employment decisions are based on merit, reinforcing consistent and equitable processes.

Responding to Discrimination – HR’s Playbook

Even the best prevention strategies cannot eliminate every risk. When allegations surface, HR’s response determines whether the organization maintains credibility or compounds the damage. A strong playbook ensures consistency, fairness and trust. 

Building Trust in Reporting Channels

Employees report concerns only if they believe the process is safe and effective. Policies should state that discrimination complaints are encouraged and protected from retaliation. Provide multiple reporting options, including anonymous channels and make the process visible through training and policy handbooks. Follow up with employees so they know reports are taken seriously and addressed promptly. 

Communicate the availability of your internal reporting system through multiple channels, like your employee handbook, intranet and staff meetings, Richard Ring, CEO of F3 Private Investigations, recently told HRMorning. That way, employees can’t say they didn’t know how or where to submit a concern.

Running Credible, Timely Investigations

Once an allegation of discrimination is received, it falls on HR to conduct a prompt and thorough investigation of the situation. Workplace investigations must:

• Begin immediately
• Stop any ongoing misconduct, and 
• Proceed impartially. 

HR should collect evidence, interview all relevant parties and thoroughly document the findings. Minor issues may be handled internally, but high-risk cases often warrant an external investigator to ensure neutrality and strengthen credibility.

Managing Confidentiality and Fairness

Confidentiality protects evidence, prevents gossip and ensures fairness. At the same time, stakeholders need regular updates about the process and progress. 

HR should have a policy in place and ready to go if a need to conduct an investigation arises. It should set out responsible parties, outline how investigations will take place and include confidentiality requirements.

Preventing Retaliation

Fear of retaliation silences employees. Adopt a zero-tolerance policy for retaliatory behavior, communicate it often and monitor for subtle forms of workplace retaliation such as exclusion from projects or negative performance reviews. 

Keeping complainants informed throughout the investigation process strengthens trust.

What to Document – and How

Maintain complete records of complaints, interviews, supporting evidence, timelines and outcomes. Well-organized documentation protects the organization in litigation and signals fairness to employees. Review complaint data regularly to identify systemic issues that need correction.

Documentation provides employers with concrete evidence for why decisions were made and certain actions were taken. It can create credibility and show consistency in the treatment of employees, according to employment attorney Allison West.

Workplace Investigation Documentation Checklist

• Record the complaint: Include dates, locations, parties and a fact-based description of the alleged workplace discrimination.
• Document all interviews: Capture statements from the complainant, accused and witnesses.
• Collect evidence: Gather emails, texts, security footage and any relevant files.
• Maintain a timeline: Track events and key developments as they happen.
• Log remedial actions: Document every step taken to address and resolve the complaint.
• Prepare required documents: Keep employee handbooks and personnel files ready in case of an administrative charge.
• Stay objective: Stick to the facts and let the evidence guide the process.

Crisis Management: Handling Public Incidents and Media Attention

When workplace discrimination incidents go public, prompt and effective public relations actions are needed. Coordinate with leadership to issue concise messages that:

• Acknowledge the issue without prematurely admitting fault
• Outline the steps you are taking to address the matter, and 
• Reaffirm the company’s ongoing commitment to nondiscrimination, transparency and accountability. 

In high-profile cases, HR should work with legal and communications teams to balance transparency with risk management.

While taking these steps to control damage, keep in mind that each one of these situations likely provides an opportunity to learn a lesson that can be applied going forward.

Anti-Discrimination Training That Sticks

Effective anti-discrimination training can create real and positive change for employers. It makes the workplace safer and improves morale and productivity.

Why Traditional Training Fails

Generic, one-time training sessions do not get the job done. Legal requirements may change over time, necessitating renewed sessions. Employees may view generic training as forced or insincere, and a lack of tailoring to your specific organization makes it less effective. Effective training is targeted to the needs of the specific employer.

Training sessions should be repeated over time and tailored to your workplace.

Behavior-Focused and Role-Specific Approaches

When it comes to training, a one-size-fits-all approach is not optimal. Instead, employers should strive to tailor training to specific workplace behaviors.

Analyze the duties and needs of employees individually, and tailor your training based on those factors. Training content will be different for managers, non-managerial employees and HR personnel. In this way, employees will receive more effective training, and your efforts will be optimized.

To get even more out of your training, use real-world scenarios for maximum relevance and impact.

Importance of Ongoing, Consistent Training

Just as a one-size-fits-all approach is less than ideal, so is one-and-done training.

Instead, training should be viewed as an ongoing, continual process that is embedded in onboarding and continues from there. When it comes to training, it is also important to provide regular refreshers.

Regular training keeps skills sharp. It improves employee engagement and leads to increased productivity. It can also help improve retention rates.

In addition, it can help develop leaders and spark creativity and innovation.

When it comes to training, team discussions and leadership modeling serve to reinforce learning. It is important to ensure continuous awareness of the importance of training, especially in hybrid work environments.

Measuring Risk and Progress

Effectively tracking data relating to key employee metrics serves a dual purpose: It supports ongoing organizational improvement, and it also may uncover hidden risks. The key is to know where to look – and how to read and react to the relevant information.

Tracking Key Metrics

Technology is central to making these metrics measurable and actionable. Modern platforms not only collect the data but also flag patterns, visualize trends, and benchmark against peers. Key metrics HR should monitor include:

• Hiring and Promotions – Track candidate progression by gender, race, and age (tools: Eightfold AI, TestGorilla, HiBob, BambooHR, Workvivo).
• Pay Equity – Compare employee pay among similarly situated peers; a difference of more than 5% is a red flag (tools: Pequity, Paypro, Gusto, TriNet, Keka).
• Retention and Turnover – Identify patterns in who leaves, how long employees stay, and which groups are most affected (tools: UKG, BambooHR, Asure Software, HiBob, Workvivo, PeopleGuru, GoCo).
• Performance and Development – Evaluate promotions, reviews, and skill progression fairly (tools: Absorb, Axonify, HiBob, KMI).
• Complaints and Investigations – Track reported incidents, resolutions, and trends (tools: Mitratech, GoCo).
• Global and Remote Workforce Metrics – Monitor pay, compliance, and engagement across locations (tools: Deel, Justworks, Keka).

Disaggregating data by categories such as gender, age and race can uncover patterns that may require corrective action. Using the right platforms ensures tracking is consistent, efficient and tied to actionable insights.

Reading Cultural Signals

Understanding workplace culture helps HR improve the experience for everyone. By interpreting cultural signals, HR can spot what’s working and identify areas that need attention. 

Valuable insights come from tools that encourage open and honest employee feedback, such as engagement surveys, exit interviews and complaint reports. Examining these data points for trends or perception gaps reveals issues that might otherwise go unnoticed.

Analyzing culture relies on data to drive actionable improvements. The payoff includes cost savings from reduced turnover and onboarding, as well as a stronger organizational reputation.

Conducting Internal Audits

Being on the lookout for biased processes and practices is an ongoing task. One way to meet this monitoring need is to conduct internal audits. Essentially, an HR audit is a look at policies and processes with the aim of identifying what’s working – and what needs improvement. 

After current policies, practices and HR processes are measured and assessed, they must be viewed in light of applicable legal requirements and industry best practices. Part of the job is to flag outdated or non-compliant language or decision patterns that may be creating inequities.

In addition to ensuring legal compliance, internal audits can identify inefficiencies and lead to a more streamlined and efficient organizational structure.

Holding Leaders Accountable with Data

All the data gained from available tech tools is useless if it’s not used to implement positive changes in your workplace. To leverage this info:

• Share findings with leadership to drive needed change and reinforce commitment to improvement.
• Use the data to set new benchmarks and goals for progress.

Ideally, practices should be in place that foster accountability among leadership. One important area to track is DEI progress. DEI metrics measure the effectiveness of inclusion efforts by tracking diversity rates in hiring and leadership. These rates can also be viewed through recruitment, promotion and retention. DEI metrics should be integrated into organizational key performance indicators.

The Impact of Strong Anti-Discrimination Policies

Effective anti-discrimination policies produce multiple benefits for employers. And chief among these are the avoidance of legal liability and the boost that a compliant, inclusive work environment provides for employees.

Higher Retention and Employee Trust

There are other important benefits as well. When you treat your employees fairly – and they know it – you boost employee loyalty and reduce turnover. It’s common sense, really: Employees place a high value on working in an environment where they are treated equitably and with the respect they deserve.

There is also a real connection between trust and engagement levels. Again, it’s really a no-brainer: Employees who know their organization treats people the right way will be more engaged and invested in their employer’s success.

Reputation and Recruiting Impact

We all know that in today’s world, news travels fast. That news doesn’t have to be bad. 

In fact, making people aware that you foster a welcoming, inclusive environment can improve your branding and have a significant positive effect on your reputation. Inclusive practices attract diverse talent and reduce challenges faced with respect to hiring.

Risk Reduction and Litigation Cost Avoidance

Let’s be clear: Avoiding legal liability – and the drain on resources that comes with defending a lawsuit – is a primary benefit of strong and effective anti-discrimination measures.

Reducing risk in all areas is a good thing – and strong anti-discrimination policies clearly decrease the risk of litigation.

Better Team Performance and Innovation

Inclusion makes teams stronger. When people with different backgrounds and perspectives work together, they challenge assumptions and approach problems from new angles. 

The result is a clear strategic edge: inclusive teams adapt faster, innovate more, and deliver stronger results over time. In fact, a Boston Consulting Group study found that companies with diverse leadership generated 19% more revenue from innovation than less diverse peers.

Next Steps for HR Leaders

Creating an inclusive, nondiscriminatory workplace strengthens your organization. Knowledge alone isn’t enough – it must be translated into action.

Checklist for HR Leaders:

• Review anti-discrimination policies – Are they current and aligned with federal and state law?
• Conduct training – When was the last session on bias, inclusion or harassment?
• Update onboarding – Does it clearly cover anti-discrimination policies and expectations?
• Establish reporting procedures – Are employees aware of how to raise concerns and how they will be addressed?
• Audit culture and practices – Identify gaps, track progress and prioritize improvements.

Taking these steps provides a clear foundation for building the inclusive workplace your organization should aspire to.

Empower your team: Join our 60-minute training to build a respectful, inclusive workplace where everyone can thrive. Register for the training now.