Why DEI is—and isn’t— a Wellbeing Issue
Mar 13, 2025
I want to begin by stating that I don’t consider myself a DEI expert. My expertise lies in workplace wellbeing, mental health, and peak performance. However, through my work with organisations over the past 20 years, and in my academic career, I have consistently observed the intersection between DEI and employee mental health and well-being. What strikes me most is that in my experience most DEI programs operate separately from workplace mental health and well-being policies and initiatives. This separation has never made much sense to me, given the strong research evidence linking diversity, equity, and inclusion (DEI) with employee wellbeing, engagement, and psychological safety. The question I’ve repeatedly asked and ask of you today on #IWD is “why aren’t DEI programs explicitly recognised as a workplace mental health & wellbeing issue, with organisations integrating DEI efforts within their broader mental health and well-being strategy and workplace (psychological) health and safety policies?
Research consistently shows that organisations with higher levels of DEI experience a range of well-being benefits, in addition to notable business advantages. Well-being benefits include increased psychological safety, higher levels of employee engagement, lower stress levels, and improved mental health outcomes for marginalised groups (Deloitte, 2020; Dobbin & Kalev, 2021). A study by McKinsey & Company (2023) found that companies with strong DEI commitments report higher levels of employee well-being, job satisfaction, and team performance.
At the same time, we are witnessing a concerning trend: U.S.-based companies are rolling back their DEI programs, a shift that is rippling across global organisations—particularly those doing business with U.S. federal services (Fortune, 2023). This raises important questions about the broader impact on those most affected by these decisions. What does it mean for the mental health and well-being of individuals who rely on these initiatives for workplace support and protection?
In my work, I’ve seen firsthand the impact these programs can have. However, most DEI programs remain disconnected from workplace mental health and wellbeing policies, which seems like a missed opportunity given the strong connection between DEI and mental health (American Psychological Association, 2022). If workplace wellbeing workplace health and safety policies aim to create psychologically safe and inclusive environments, then addressing DEI challenges must be a central component.
Perhaps now is the time to take a closer look at workplace mental health and well-being policies to ensure that those most vulnerable—who are often the same individuals most affected by DEI issues—are adequately supported. In Australia, protecting employee mental health and well-being isn’t just a moral imperative; it is a legal obligation under workplace health and safety laws (Safe Work Australia, 2021). While this may not be the case in every country, the reality is that mental health challenges affect nearly everyone—whether personally, within our families, or in our workplace teams. Given the widespread recognition of mental health as a workplace priority, imagine the public outcry if a government or workplace leader suggested eliminating mental health initiatives altogether!
My understanding is that one of the most effective ways to foster understanding and commitment to DEI is by allowing individuals—especially those who may not personally experience discrimination—to feel its impact firsthand. For example, research suggests that DEI programs that actively involve men in gender equity programs tend to be more successful. According to a study by the Boston Consulting Group, among companies where men are actively involved in gender diversity efforts, 96% report progress, compared to only 30% of companies where men are not involved (BCG, 2017). Some initiatives ask men to listen to and then read aloud first-person accounts of discrimination, such as a woman whose idea was dismissed in a meeting only to be praised when repeated by a male colleague. This kind of immersive experience helps individuals grasp the emotional toll of exclusion and inequity (Prime & Moss-Racusin, 2009). This is known in the scientific literature as “perspective taking capacity” and it’s a hallmark of leadership maturity – and we know there’s a strong correlation between leadership maturity and organisational performance – so perhaps that research should also be highlighted to those leaders making the decisions to drop DEI initiatives!
Given the strong link between DEI and workplace mental health and well-being, my argument is that organisations should integrate DEI initiatives more explicitly into their mental health and well-being policies – and then they don’t become an “issue” but an essential part of reducing psychosocial risk and mental illness in the workplace. If we recognise discrimination, exclusion, and bias as psychosocial hazards—much like bullying and harassment—organisations can address them with the same level of urgency (World Health Organization, 2022). By reducing these hazards while also promoting a positive workplace culture, we can create environments where everyone has the opportunity to thrive.