» Resources » Why is diversity and inclusion important? Glossary Why is diversity and inclusion important? Diversity and Inclusion is important because positive diversity and inclusion initiatives and considerations can have huge impacts on a person’s life, both in their work and personal life. Over the past 50 years, there has been greater awareness of diversity and inclusion from the general public, the government, and private organisations. This can be attributed to a few different reasons, but one can be the impact of equality laws which have made diversity and inclusion a priority due to it being a legal obligation when it wasn’t previously. The UK’s Equality Act 2010 is a best-in-class example of this. The Act makes it illegal to discriminate against someone across nine different protected characteristics; age, disability, gender reassignment, marriage or civil partnership, pregnancy and maternity, race, religion or belief, sex (gender) and sexual orientation. This means organisations that are discriminatory against people from diverse backgrounds could face huge financial penalties and even serve jail sentences as a result of their actions. Another factor for the increased awareness and interest is how the importance placed on diversity and inclusion from the general public has grown considerably, with Britons being five times more likely to say that EDI is a ‘good, rather than a bad, thing’. As a result of this, private organisations responded to the increased priorities of their consumers, clients, and the general public, and began to prioritise diversity and inclusion in the workplace and throughout their operations. However, organisations benefit from prioritising diversity and inclusion initiatives with increases in innovation and the creation of positive business outcomes. The Fairness, Inclusion and Respect (FIR) Programme have discovered that 52% of businesses felt an EDI programme helped them improve productivity and 52% of organisations surveyed have also said it has helped them win new business. It is important for organisations to recognise the benefits of, and place value on diversity and inclusion. Not only because is it the ethical thing to do, or because it is part of laws they must follow, but because it is something that can actually help directly address issues they may be facing. Diversity and inclusion can be used to address skills shortages and help organisations recruit from unrepresented groups. For example, only 3 in 10 working-age autistic disabled people are in employment, which is a largely untapped group which could be recruited from. Diversity and inclusion can also help with retention rates as organisations will be better placed to meet the diverse needs of employees (and this can also help them understand the diverse needs of clients and customers). Ultimately, choosing to embrace diversity and inclusion is not just about compliance or reputation management—it’s about building a stronger, more resilient organisation and sector. How does EDI fit into sustainability? EDI and sustainability are connected as issues because both aim to create long-term, long-lasting systems that benefit everyone. Without taking EDI into consideration, an organisation’s sustainability goals cannot be considered truly sustainable, as they will not benefit those from disadvantaged backgrounds unless they’re considered during the goal-setting process. In fact, without EDI, sustainable goals could inadvertently make the lives of these groups harder, meaning they are not being treated equally or benefiting from sustainability efforts. 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