Coalition of State Attorneys General Support DEI Efforts in Private Sector

Bona joined with state attorneys general from Arizona, California, Connecticut, Delaware, Hawaii, Illinois, Maine, Maryland, Massachusetts, Minnesota, Nevada, New Jersey, New York, Oregon, Rhode Island and Vermont to issue the guidance.

"I urge California businesses not to fall for this scare tactic. Diverse and inclusive workplaces are good for businesses, consumers and employees alike. In fact, it's our culture of inclusivity and valuing of diverse perspective that has led California to become a global hub of innovation and the fifth largest economy in the world," Bona said. "To all the businesses hoping to grow and thrive in California, rest assured: We will continue to support your efforts to build and sustain successful and inclusive workplaces."

DEIA initiatives are consistent with federal and state law.

The Trump Administration has recently targeted private sector DEIA policies and practices through an executive order directing agencies to "combat illegal private-sector DEIA preferences, mandates, policies, programs and activities." This order conflates valid and legal programs and practices supporting DEIA with unlawful preferences in hiring and promotion, the coalition said.

These initiatives are not the same as illegal hiring or promotional preferences to individuals based on protected characteristics. Instead, DEIA practices focus on ensuring that businesses can recruit, hire and retain qualified employees, and that workplaces provides support needed for all employees to have respect, belonging and exercise their individual potential to develop their skills and contribute to the success of the business. 

For decades, state and federal courts have consistently recognized that DEIA policies do not amount to impermissible discrimination. In fact, employment discrimination laws generally require employers to pay attention to the impact their policies and practices have on different groups in order to avoid and limit liability for unlawful conduct. 

DEIA initiatives help businesses prevent workplace discrimination.  

In their guidance, the coalition reminds businesses that state and federal law prohibits discrimination in the workplace on the basis of race, sex, national origin and other protected characteristics. In order to effectively avoid liability for discrimination, employers must take steps to proactively prevent and address discrimination, including by identifying and remediating policies and practices that have an unlawful impact on current and prospective employees. 

Decades of research and data demonstrate that properly developed and implemented DEIA initiatives help prevent unlawful discrimination and ensure that discriminatory conduct is promptly identified, reported and addressed when it does occur. 

DEIA initiatives foster inclusive recruiting, hiring and retention practices. 

A study found that companies in the top quartile for diversity were 35% more likely to have financial gains above their respective industry counterparts. When DEIA are embedded within an organization's culture, they reduce bias, boost workplace morale, foster collaboration and create opportunities for all employees. Diverse organizations that prioritize inclusivity tend to outperform their peers, with higher returns, lower turnover and a more attractive workplace for top talent. 

[Read more: Eight C-store Retailers Rank Among Top Workplaces for Diversity]

The coalition's guidance highlights best practices for recruitment and hiring, including:  

• Prioritizing widescale recruitment efforts to attract a larger pool of applicants from a variety of backgrounds.
• Using panel interviews, which ensure that multiple people are involved in a hiring or promotion recommendation, helping to eliminate bias.
• Setting standardized criteria for evaluating candidates and employees, focused on skills and experience.
• Ensuring accessible recruitment and hiring practices and protocols, including reasonable accommodations as appropriate. 

Additionally, organizations that offer benefits such as employee resource groups, mentorship programs, professionalism trainings and work groups focused on DEIA are proven to have heightened employee retention and engagement. 

Best practices for professional development and retention include:  

• Ensuring equal access to all aspects of professional development, training and mentor programs that provide clear pathways for career growth.
• Setting up employee resource groups to create inclusive and supportive spaces where employees of particular backgrounds or common experiences feel valued and heard.
• Conducting training on topics such as unconscious bias, inclusive leadership and disability awareness to improve employee confidence and create a shared understanding around cultural norms.
• Ensuring equal access to all aspects of employment, including through reasonable workplace accommodations. 

A copy of the guidance is available here.