Predictions for EDI in 2025
Increased Focus on Pay Equity and Transparency
With the increase in Directives, expect pay equity to be a major focus in 2025, with more companies adopting proactive measures to close the gender pay gap. Pay transparency laws are likely to expand globally, making it more difficult for businesses to overlook disparities in compensation.
Our advice – get the foundations right, with consistent robust job evaluations and frameworks; do the work – the detailed regression analysis; fix pay differences; and go beyond pay to fix equity issues in careers, health and benefits and the wider EVP. Leading companies are extending this work to other demographics too, including race and ethnicity (in the US, UK and South Africa for example), and disability.
AI and Data Analytics
As AI and data analytics become more advanced, we anticipate organisations using these tools to monitor and drive their EDI initiatives. Predictive analytics could be used to spot patterns in hiring, promotion, and retention, enabling more targeted interventions to ensure equity.
Our advice – data is powerful and we highly encourage it! Use quant and qualitative data to test any hypothesis and myths that your firm may have. Do you really have a pay equity issue which needs addressing; or, having done your robust analysis, is that a myth which would benefit from some clear comms? And we encourage you to go deep, don’t just look at high-level representation data. For example, if your people feedback that they have inequitable experiences in progression, and your initial data suggests promotions are fair, look also at whether people are being rated fairly, and have equitable goals to start with.
Sustainable ESG
EU Directives and SDGs will accelerate a focus on ESG and whilst organisations have been focusing on the environment and governance more is expected to be prioritised on the S – which has a lot of EDI in it!
Our advice – get ahead of the regulations by understanding what you need to report and by when. For example, the Corporate Sustainability Reporting Directive (CSRD) has specific standards that organisations in Europe need to report on – including reporting on gender balance, diversity in recruitment and promotions, composition of the workforce, wellbeing indicators and more. Identify the gaps and work to take action accordingly.
More Inclusive Education and Career Pathways
The need for diverse talent pipelines is expected to drive more investment in education, mentorship, and career development programmes prioritising inclusive leadership behaviours. Companies may collaborate with universities and high schools to create clearer pathways into industries where diversity is lacking.
Our advice – move away from one-off initiatives to intentional consistent learning to fully embed knowledge and change behaviours. Leading companies have learning journeys with a variety of formal learning, supplemented by group learning through peer coaching/workshops, and individual learning, including mentoring and coaching – in different formats to appeal to all. Embedding inclusion competencies and behaviours into wider training programmes may also be effective to avoid training fatigue.
Global EDI Standardisation
As businesses continue to expand their international operations, EDI standards are expected to become more globally uniform, while allowing for local nuances. Companies will need to develop global frameworks that recognise local dynamics but still drive toward a unified, inclusive workplace culture.
Our advice – Focus on cultural competence, and key principles, to ensure that EDI strategies are locally relevant while maintaining a consistent global message. Consider your organisation’s role in driving equity: the “when in Rome” model follows local norms even if they conflict with EDI commitments, while the “Embassy” model adopts inclusive policies internally without pressuring wider society. Larger organisations might use the “Advocate” model to leverage their influence for systemic change.
Mental Health and Neurodiversity Mainstreamed
Mental health and neurodiversity inclusion will become more integral in 2025. Companies will be expected to offer better support for individuals navigating mental health challenges or neurodivergence, ensuring that work environments are not only physically accessible but also psychologically safe and neuroaffirming.
Our advice – Normalise discussions around ways of working, to proactively support everyone’s access needs and reasonable adjustments, regardless of diagnosis. Review company culture regarding workload, overtime, and socialising to identify tension points. Finally, in a world where access to healthcare is not a given (and shifting constantly), prioritise supporting colleagues to access healthcare – from mental health support, chronic illness care, to gender affirming care.
Youth-Led EDI Movements
The younger workforce, particularly Gen Z, is predicted to lead the charge in pushing for more radical and immediate changes in EDI efforts. Expect this generation to demand accountability from employers on topics such as climate justice, racial equality, and systemic reform, shaping the future of corporate responsibility.
Our advice – Engage with younger individuals and actively listen to their perspectives. Collaborate with schools and universities as part of your training and talent pool initiatives, and genuinely consider their experiences, concerns, and priorities. Take a proactive approach to sustainability and systemic change, integrating meaningful practices into your company culture and overall impact – authenticity is key.
