June 17, 2024

DEI Decline In Tech: Report Reveals Leadership Failures And Budget Cuts

DEI cuts

Diversity, equity, and inclusion (DE&I) within the tech industry over the past five years has seen a decline, a new report from Tech Talent Charter (TTC) highlights.

The UK not-for-profit’s 2023 annual benchmarking report points to carelessness, budget cuts, and a shift in priorities as factors threatening to reverse progress.

Concerning Changes And Leadership Buy-In

The TTC report warns of “concerning changes” across the tech landscape, citing a lack of leadership commitment and a risk of DE&I initiatives becoming performative rather than intentional.

It emphasizes the importance of genuine efforts to promote DE&I, stating, “Market tides are turning away from DE&I despite the many powerful and enduring business cases in its favour. So, if we are going to eradicate some of these issues, we have to do it now before the window of opportunity narrows even further.”

In the last three years, there has been a noticeable shift where DE&I efforts, once a priority, are being sidelined. 

Many advocates for DE&I within organizations have either been laid off or redirected to focus on core business tasks, significantly hindering progress.

Challenges in Retaining Diverse Talent

The report highlights the stark reality of retaining women and non-binary individuals in tech. 

While TTC signatories have a higher percentage of women and non-binary tech workers (29%) compared to the industry average (20%), retention remains a significant challenge. 

The UK’s Office for National Statistics (ONS) data shows a decline in the number of women in tech roles and only one in six women who have been in their tech roles for over a year plan to stay.

Additionally, TTC’s findings reveal that a lack of robust inclusion practices and career progression opportunities is the primary reason underrepresented groups leave the tech sector. 

Women, in particular, are often tasked with “non-promotable tasks,” such as event planning, which go unrecognized by employers, contributing to their dissatisfaction and subsequent departure.

Importance of Comprehensive DE&I Data

The TTC report underscores the need for comprehensive data collection to evaluate the effectiveness of DE&I initiatives. 

Only 26% of organizations allow employees to disclose being trans, and merely 0.09% of tech employees identify as non-binary.

Furthermore, while 73% of firms collect ethnicity data, only 63% actively work towards greater ethnic diversity. 

This data reveals that Black tech employees make up just 5% of the sector, highlighting the need for targeted diversity goals.

Ethnic minority groups are underrepresented in senior positions, with women making up 21% and ethnic diversity dropping to 14% in leadership roles. 

These figures indicate that despite improved diversity at entry levels, significant barriers remain to career advancement.

The TTC concludes, “We cannot leave DE&I work on the side of someone’s desk and expect that it will happen alongside their day job. It also cannot be the responsibility of those in minority groups, who should be supported by these efforts rather than saddled with them.”

Sara Keenan

Tech Reporter at POCIT. Following her master's degree in journalism, Sara cultivated a deep passion for writing and driving positive change for Black and Brown individuals across all areas of life. This passion expanded to include the experiences of Black and Brown people in tech thanks to her internship experience as an editorial assistant at a tech startup.