DEI is Fading—Here’s Why ‘Inclusion Without Labels’ is the Future
Edition 5: Pillar Three of the Seven Pillars of the Internal Campaign
Welcome to Edition #005 of People Please! My goal with this newsletter is to help 100,000 professionals shift from "people pleasers" to culture-builders.
Previously in People Please Edition #004, I explored workplace motivations and their link to sexual harassment risks, using Pillar 2 (Common Enemy) as a lens. I have also shared historical insights, workplace lessons, and The Lalit Suri Hospitality Group as a case study. This edition also outlined three critical steps for organisations to create urgency and drive action—alongside my personal journey of how Be.artsy evolved from a mission into an impact-first business.
What’s Inside Edition #005:
🔹 Section 1: How DEI gained momentum in the corporate world? Why is DEI Fading? Whats next of DEI and the shift from DEI to Inclusion without labels. 📖 Reading Time: 2 minutes
🔹 Section 2: Shifting from DEI to Inclusion Without Labels – Why this transition is inevitable and how internal communication plays a crucial role in ensuring its success. The Power of Collective Identity in Workplace Culture – An in-depth look at Pillar 3 of Internal Campaign Design and the roadmap Seven Pillars of Internal Campaign Design provides to drive this shift effectively. 📖 Reading Time: 6.5 minutes
This edition is packed with insights on the evolving DEI landscape, practical strategies for promoting inclusion without labels, and a deep dive into internal campaign design to drive lasting cultural change. Whether you're an HR professional or a L&D leader this issue will equip you with the tools to navigate and implement this shift effectively. 🚀
Section 1
Why DEI Became a Business Imperative
For years, CEOs have called DEI (Diversity, Equity, and Inclusion) a key business priority. But make no mistake—companies didn’t adopt DEI out of pure goodwill. They did it because ignoring it was a financial and repetitional liability.
In the late 1990s and early 2000s, major Wall Street firms faced costly discrimination lawsuits:
Morgan Stanley paid $54 million for a sex discrimination case.
Smith Barney and Merrill Lynch each paid over $100 million in settlements.
Morgan Stanley faced another lawsuit in 2007, settling for $46 million.
Bank of America Merrill Lynch paid $160 million in a 2013 race discrimination case.
Over 15 years, Merrill alone paid nearly half a billion dollars in settlements.
These lawsuits didn’t just cost money—they damaged reputations, exposed toxic workplace cultures, and eroded public trust. Companies quickly realized that failing to prioritise DEI came with a steep price.
But today, DEI is fading. Why?
Four Reasons DEI is Declining:
1️⃣ Legal & Political Challenges – Changing laws and growing political backlash, particularly in the U.S., have made companies rethink DEI to avoid legal risks.
2️⃣ Budget Cuts & Layoffs – Economic downturns have forced organisations to trim costs, and DEI is often seen as non-essential, leading to layoffs and reduced funding.
3️⃣ Lack of Measurable Impact – Many companies struggle to track DEI’s effectiveness, making it harder to justify continued investment.
4️⃣ DEI Fatigue & Resistance – Employees and leaders often feel that DEI initiatives are repetitive, performative, or divisive, leading to disengagement.
What’s Next for DEI?
While traditional DEI programs may be shrinking, the core principles of fairness, inclusion, and workplace equity aren’t disappearing. In fact, they are evolving!
Companies are now shifting toward “Inclusion Without Labels”—moving away from identity-based interventions and instead promoting inclusive workplaces through skill-building and cultural shifts.
Section 2
Shifting from DEI to Inclusion Without Labels
The move from DEI to Inclusion Without Labels isn’t just happening—it’s inevitable. But let’s be real, it won’t be smooth sailing. Change like this always meets resistance, which is why strong internal communication is key.
In past editions of People Please, I introduced the Seven Pillars of Internal Campaign Design— In Edition 3, I explored Pillar 1: Visionary Leadership, and in Edition 4, I broke down Pillar 2: Common Enemy Creating Urgency for Change.
This edition elaborates on Pillar 3: Collective Identity—the power of bringing people together under a shared purpose.
3️⃣ The Power of Collective Identity
Successful movements don’t just push for change—they create a deep sense of belonging. When people feel they are part of something bigger, they are more likely to take action, sustain momentum, and inspire future generations.
Historical Example: India’s Independence Movement
✅ Quit India Movement (1942) – People from different backgrounds united under a common cause: freedom from British rule. The movement proved that when a group shares a strong identity, they can drive lasting change.
Workplace Lesson: Microsoft’s DEI Shift
🔹 For years, Microsoft built a strong culture of diversity through Employee Resource Groups (ERGs), ally-ship programs, and leadership-driven commitments. These efforts made inclusivity a shared responsibility—not just a corporate policy.
🔹 However, in 2023, Microsoft—along with Google, Meta, and Zoom—scaled back many DEI commitments made after the 2020 Black Lives Matter protests.
🔹 Business Insider reported frustration within Microsoft’s DEI leadership, stating that diversity was “no longer business-critical.”
🔹 When Microsoft disbanded its DEI team, it sparked internal backlash, proving that employees had deeply internalised these values.
💡 Key Takeaway: When DEI is embedded into workplace culture, it becomes difficult to erase without consequences. Removing DEI efforts completely can damage trust, create internal resistance, and weaken employee morale.
Evolving—Not Abandoning DEI
Shifting from DEI to Inclusion Without Labels isn’t just a policy update—it’s a full-scale cultural transformation. It requires more than just tweaking programs; it demands leadership’s active participation in shaping a workplace where inclusion isn’t an initiative but a way of life.
For this shift to feel real, communication must be so strong and consistent that every employee genuinely believes the organisation is evolving—not abandoning DEI, but embedding inclusion into its DNA. The Seven Pillars of Internal Campaign Design provide a roadmap to drive this shift effectively. Here’s how each pillar plays a role:
1️⃣ A Visionary Leader – Setting the Direction
A successful transition needs a leader who sees beyond labels and envisions a culture of fairness and inclusion. This leader must:
✔️ Champion inclusive behaviours instead of identity-based initiatives.
✔️ Communicate a compelling reason for the shift.
✔️ Lead by example, ensuring the shift is action-driven, not just policy-based.
2️⃣ Common Enemy Creating Urgency for Change – Addressing the Challenges
To create momentum, organisations need to frame the pitfalls of traditional DEI as the problem:
🚨 Rigid DEI models can create division and resistance.
🚨 Label-based interventions often lead to exclusion rather than inclusion.
🚨 Workplace inclusion should be about capability, culture, and fairness—not just compliance.
This urgency helps employees and leaders understand why change is necessary.
3️⃣ Collective Identity – Uniting Employees Beyond Labels
Inclusion Without Labels focuses on building a workplace where everyone belongs—not because of identity groups, but because of shared purpose, values, and skills. This requires:
✅ Replacing DEI silos (like ERGs) with broader inclusion efforts that benefit everyone.
✅ Shifting focus to team-based inclusivity rather than group-based recognition.
✅ Creating belonging through shared goals and a common workplace culture.
4️⃣ Consistent and Emotional Narrative – Shaping the Story
A cultural shift needs a strong, emotional narrative that resonates with employees at all levels. The story should:
🎭 Focus on inclusion as a mindset shift, not just an initiative.
🎭 Highlight employee experiences where inclusion has driven success.
🎭 Ensure the message is consistent across all communication channels.
5️⃣ Simple & Powerful Slogans – Reinforcing the Message
Short, clear messages ensure the shift sticks. Examples:
🗣️ “Break the Cycle”
🗣️ “No Labels Please”
🗣️ “Humans as Humans”
These slogans should seamlessly integrate into everyday conversations and internal campaigns. The creative materials should be bold, relatable, and impactful. Here’s a sample creative from one of Be.artsy’s campaigns mentioned above:
6️⃣ Technology & Adaptability – Making Inclusion Scalable
Organisations should leverage technology to embed inclusion into daily workflows:
💻 AI-driven hiring tools that focus on skills rather than identity markers.
📊 Employee feedback platforms to track and measure impact of inclusion initiatives in real time.
🎥 Video-driven training that helps employees build inclusive mindsets through real-world scenarios.
7️⃣ A Trigger Event – Sparking the Shift
Every major change needs a moment that defines the transition. This could be:
⚡ A leadership announcement redefining inclusion.
⚡ A company-wide workshop or campaign introducing the new framework.
⚡ A public commitment from leadership to move beyond traditional DEI models.
How Is Your Company Navigating This Shift?
I’d love to hear your thoughts—
Best | Shikha Mittal | Founder, Be.artsy
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Why Trust Me?
Over the past 15 years, I’ve collaborated with 450+ organisations across 41 industries, designing and delivering learning and developing programs impacting over 500,000 professionals through my enterprise, Be.artsy. which I founded in 2010 in Delhi, India.
Since 2010, Be.artsy has pioneered innovative, arts-driven approaches to workplace inclusion.