In today’s rapidly evolving legal and cultural landscape, HR Directors find themselves at a crossroads. Recent developments – such as the UK Supreme Court’s narrow definition of “sex” and tightening DEI regulations in the US – are fuelling confusion and concern. Yet they also highlight something deeper: the urgent need for visible allyship – both at corporate and individual levels.

As we mark Pride Month, the call for allyship carries even greater weight. It’s a time to reaffirm that allyship is not performative, but a continuous, values-driven commitment. The question is no longer should your organisation act, but how it must respond – with courage, integrity and accountability.

Inclusion is Not Optional but Essential

Legal frameworks are shifting, but they do not always reflect the values of equity and inclusion. For example, the UK’s recent legal definition of “sex”, along with executive orders in the US, may introduce new compliance requirements, but they do not absolve HR leaders of their responsibility to protect and uplift all employees, particularly the most vulnerable.

These changes risk reversing hard-won protections for LGBTQ+ individuals, especially trans and non-binary employees. Silence or inaction sends a dangerous message: that some identities matter less than others. Allyship is no longer a “nice to have” – it is a strategic, moral and cultural imperative.

The Business Risks of Scaling Back on DEI

Scaling back DEI initiatives might seem like a cautious legal move – but the risks are significant. They include:

• Reputational damage: Consumers and employees expect strong, inclusive values. Failing to meet those expectations invites backlash and erodes trust.
• Talent drain: Gen Z and Millennials overwhelmingly favour employers that demonstrate genuine commitment to inclusion. Companies that backtrack will struggle to attract and retain top talent.
• Lower engagement: When people don’t feel safe or valued, productivity and morale suffer – especially among those already facing systemic barriers.

Organisations around the world cannot afford to retreat. Countries such as Spain, and proposed legislation here in the UK, are increasing requirements for inclusive workplace policies. For example, UK employers may soon need to prepare for potential legislation mandating ethnicity and disability pay gap reporting under a Labour government. In Spain, the Royal Decree 1026/2024 (the LGBTQ+ Plan) now requires companies with over 50 employees to actively promote inclusion, ensure equal opportunities for LGBTQ+ individuals, and prevent discrimination.

Practical Actions for HR Directors

HR leaders can meet legal obligations without compromising on inclusion. They must navigate today’s legal complexities, while safeguarding the inclusive cultures their employees need to thrive. Compliance and inclusion are not mutually exclusive – in fact, they reinforce one another when approached strategically. Here’s how:

• Review and revise policies thoughtfully: Start by reviewing and updating policies not merely to meet legal standards but to exceed them. Ensure they reflect a commitment to inclusion, clearly distinguishing between what is legally required and what is right for your people. For example, policies concerning gender identity, parental leave, dress codes and access to facilities should comply with new legal definitions, while affirming the dignity of all identities. Every update should be accompanied by a values-based statement, reinforcing that inclusion remains non-negotiable.

• Train with purpose, not fear: Updating DEI training is an opportunity to strengthen your culture, not a compliance burden. Training should foster real-world empathy and inclusive behaviours, not just tick regulatory boxes. Use practical scenarios – such as addressing unconscious bias or responding to microaggressions – to make training meaningful and relevant, such as the ones offered by the myGwork Academy. Emphasise that legal changes do not mean your organisation’s values have shifted.

• Prioritise psychological safety: Employees need assurance that, even as legal definitions narrow, your organisational culture still recognises and respects their full humanity. Use anonymous feedback tools, such as surveys, to identify where psychological safety may be lacking, and ensure people managers are equipped to respond empathetically. A culture of safety directly contributes to greater engagement, creativity, and retention.

• Unite legal, HR and DEI expertise: Too often, legal teams develop policies in isolation, resulting in frameworks that are compliant but lack compassion. Form cross-functional teams that include legal, HR, DEI leads, and representatives from employee resource groups, as well as external consultants and charities working on behalf of marginalised groups to ensure policies are both protective and people-centred. Co-create tools, such as a checklists, to assess initiatives for both legal compliance and cultural alignment.

• Fund and empower ERGs: Employee Resource Groups (ERGs) offer essential insight into the lived experiences of underrepresented employees and groups and should be actively supported – not just symbolically acknowledged. Provide meaningful budgets, executive sponsorship and real influence in organisational decision-making. Celebrate their contributions and embed them into your strategy, not just your calendar.

• Think globally, act locally: Multinational organisations must meet local legal requirements without compromising global values. Equip regional teams with clear guidance and flexibility to adapt, while maintaining a consistent core commitment to inclusion and allyship. Encourage regular cross-regional dialogue so teams can share challenges and successes.

Allyship Matters More Than Ever

At a time when LGBTQ+ professionals report rising mental health challenges and fear of discrimination, allyship is not just a value – it is a necessity. Inclusive workplaces consistently outperform. They are more innovative, attract top talent and are better positioned to meet customer needs. Inclusion is not a distraction from business goals – it is a central driver of them. Allyship is not performative – it is active. This mean HR must:

• Speak up when inclusion is under threat.
• Use your influence to dismantle systemic barriers.
• Create space for marginalised voices.
• Lead with empathy and accountability.

HR directors and managers serious about allyship should attend – WorkPride 2025,