Diversity, equity and inclusion have become a flashpoint in corporate America, whereby a changing political landscape and economic pressure are changing in order to redesign the way companies approach these initiatives. As part of the Trump administration, DEI programs are increased and many large companies have started to bring back their investments in these efforts. But during Big Business Retreats, small business owners are on a different way.
After the CNBC | Surveymonkey Q1 2025 Small Business Survey not only retain their DEI obligations, but also see tangible advantages. The data signal a clear gap in the middle of the DEI counter reaction between large companies in retreat and the constant, practical actions of small business owners.
When asked about her DEI initiatives in the light of President Trump's Rollback of the Federal DEI guidelines, more than half (55%) of small business owners report in a form of Dei at their workplace. The most frequently adopted DEI practice among small companies is the implementation of integrative workplace guidelines such as anti-discrimination and anti-nuisance measures-with 38% of the owners involving them in their operations. Other popular practices are integrative attitude (31%), local commitment of the community (27%) and the promotion of a job culture powered by employees (26%).
It is not surprising that political affiliation plays an important role in accepting Dei. While 80% of the democratic small business owners report in Dei practices, only 32% of the Republican small business owners do the same.
For small business owners who have accepted, the data indicate that the investment pays off. A strong majority – 65% – reported that DEI initiatives have positively influenced their overall success of the business area, while only 6% indicate that these efforts have negatively influenced.
In addition to general business performance, small business owners cite these specific advantages:
- 70% report improved the workplace culture.
- 69% say that the practices have improved their ability to recruit top talents.
- 60% Note an increase in the employee happiness.
These advantages are particularly important for small companies that often have greater challenges in the attraction and binding of talents compared to larger companies. In a competitive labor market, the promotion of an integrative and fair work environment can be a distinguishing feature that helps the company to build stronger, more committed teams and to provide these small companies an urgently needed competitive advantage.
The practices are perceived somewhat differently in the age groups. Younger business owners 18-34 report on the highest business success in connection with their DEI efforts (54%) compared to 35-64 years (39%) and 65+ (38%). This indicates that DEI is not only a cultural advantage for the next generation of entrepreneurs, but a strategic business decision.
While the Washington and Wall Street deal with a counter reaction, the small company follows a different way. The latest political and corporate steps are not depressed for an uncomplicated reason: Main Street continues to focus on what is effective for the business.
– by Eric Johnson, CEO, Surveymonkey
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