Leading Companies Failing to Report LGBTQ+ Pay Gaps & Senior Representation, Reveals Study

LGBTQ+ individuals make up just 3.6% of senior leaders and the average hourly earnings of lesbian, gay and bisexual employees are 5.5% lower than their straight counterparts, according to new data released by diversity and inclusion consultancy INvolve, to mark the release of the annual Outstanding LGBTQ+ Role Model Lists.

The research looked at the FTSE 250, Fortune 100 and The Times Top 100 Graduate Employers and found the three sectors leading the way on LGBTQ+ reporting are legal, finance and consulting. The study found that 4.8% of senior leaders in the legal sector are LGBTQ+ individuals, followed by 4.6% in finance and 3% in consulting.

Crucially, the data highlights how few companies are reporting their LGBTQ+ inclusion data. Only 23 companies are reporting the level of LGBTQ+ representation in senior leadership roles, and even fewer – just nine – are reporting their sexual orientation pay gaps. While the Government has failed to make LGBTQ+ representation and pay gap reporting mandatory, transparency with this data demonstrates a genuine commitment to diversity, equity and inclusion, reinforcing an inclusive corporate culture that attracts top talent.

INvolve is therefore urging companies to collect, track, and publicly report on their LGBTQ+ data as an important first step to tackle the lack of LGBTQ+ representation and inclusion within business. With LGBTQ+ rights increasingly under attack globally, public reporting also means that stakeholders, including employees, customers, investors, and the general public, can hold companies accountable and evaluate whether they are living up to their stated values and commitments to stand by and protect all of their employees. Far from being something for companies to shy away from, accountability is key in the path to meaningful progress.

“The first step to drive progress and accountability for change is honest, transparent measurement to create clear benchmarks for progress,” stated Suki Sandhu OBE, Founder and CEO of Involve. “While there is currently no legal mandate, businesses taking DEI seriously should be stepping up and reporting their levels of LGBTQ+ senior representation, as well as any pay gaps. It’s all very well to claim solidarity with the LGBTQ+ community during Pride Month, but actions, not words, are essential for change all year round.”

This research comes as INvolve released its annual Outstanding Role Model Lists supported by YouTube that celebrate and showcase LGBTQ+ business leaders and allies who are breaking down barriers and creating more inclusive workplaces across the world.

With an incredible 31 countries represented this year, the global nature of the Outstanding Lists reflects a myriad of lived-experiences, unique stories and provides a compelling intersectional insight into global LGBTQ+ communities. Overall, 18% of the Role Models on this year’s lists are from countries outside of Europe and North America.

“Our Outstanding Role Model Lists celebrate role models in business who are smashing barriers to progress that can prevent global LGBTQ+ communities from succeeding and are creating businesses where everyone can thrive as their authentic selves,” shared Sandhu. “With the recent and unrelenting rise in hostility towards LGBTQ+ communities across the world, it’s never been more important to celebrate, commit to action, and learn from those who are driving real change.”

Julia Hoggett, CEO at LSE plc, who leads 2023’s Outstanding LGBTQ+ Executive list, said: “It is an honor to be included on INvolve’s Outstanding LGBTQ+ Executives Role Model List 2023, with such a distinguished group of business leaders. While we have come a long way in the quest for a fairer and more inclusive work environment for LGBTQ+ people, there is still a lot more for us to do to ensure that we are giving everybody an equal opportunity to thrive,” stated Hoggett. “Speaking up for those who feel less able to do so is something that anyone in a position of leadership must recognise as part of the day job. We must continue to have open conversations about what remains to be improved and make sure we are implementing the tools needed to drive further change. I am grateful to have the platform from which to raise these issues and to INvolve for helping us remain focused on this important topic globally.”

Andre Bogues, Senior Culture & Entertainment Manager at Diageo, who tops the Outstanding LGBTQ+ Future Leader list, added: “I’m so proud to be included in the Outstanding Role Model Lists amongst such inspirational Role Models. I’m all about intersectionality and allowing people to be their full selves at work, so to be seen and commended for that is incredible,” stated Bogues. “There is no doubt that we have progressed the visibility of the community, with waves being made in diversity and inclusion, but there’s a way to go when it comes to equity. Queer culture, and specifically Black queer culture, is at the core of so much within society, yet the balance of power is unequal. And critically, more needs to be done to support our Trans+ siblings. We’ve gone from conversations around gender-neutral bathrooms to fighting to prove their existence and protecting their rights. We all need to show up.”

Neeraj Aggarwal, Regional Chair - Asia Pacific at Boston Consulting Group, who is this year’s Outstanding Ally Executive said he is “tremendously honored” to be included in the Outstanding Role Model Lists. “Diversity and Equality are important People values to me. Having grown up in India and worked across Asia Pacific/US, I have seen firsthand how diversity enriches our communities and equality makes us better human beings,” stated Aggarwal. “Over the past decade, there has been good progress made in the corporate world for the LGBTQ+ community. LGBTQ+ DEI has increasingly become a pillar in corporate DEI strategy, in contrast to ten years ago when this was not prominently on the radar of companies. Corporate initiatives are also complemented by organizations, conferences, recruitment forums, and research reports focused on LGBTQ+ DEI. However, this progress has not been linear, especially in the more recent past where LGBTQ+ DEI has either stopped short or even regressed in some parts of the world. Hence, our collective ongoing effort is critical.”

Click here to see all the Outstanding Role Model lists.