The power of inclusive leadership: Attracting and retaining LGBTQ+ talent

Inclusive leadership plays a crucial role in creating workplaces that are welcoming, supportive, and equitable for LGBTQ+ employees. Leaders such as Beth Ford, the openly gay CEO of Land O’Lakes, have demonstrated how championing authenticity and psychological safety helps attract and retain diverse talent. Tim Cook of Apple has shown that visibility and authenticity at the highest level can shift entire industry norms.

Equally important are the efforts of non-LGBTQ+ allies in executive leadership. Satya Nadella, CEO of Microsoft, has made inclusion a company-wide value, backing LGBTQ+ employee networks and embedding equity into Microsoft’s hiring and culture. Marc Benioff of Salesforce has used his platform to vocally support LGBTQ+ rights and to fund inclusive initiatives both internally and externally. Alan Jope, former CEO of Unilever, made inclusion a central part of Unilever’s global people strategy, helping the company earn top rankings on LGBTQ+ workplace indexes.

These examples highlight that inclusion isn’t just a leadership trait, it’s a business imperative. As expectations around diversity and equity grow, organizations must move beyond statements of intent and commit to leadership practices that actively attract, engage, and retain LGBTQ+ talent and other underrepresented groups.

Why inclusive leadership matters

Despite growing awareness, many LGBTQ+ professionals continue to face exclusion at work. Many surveys show that LGBTQ+ employees experience microaggressions or exclusionary behavior. The latest survey from the UK’s TUC shows that over half a million (558,500) LGBTQ+ people have faced bullying, discrimination, and harassment at work.

These experiences take a significant toll on well-being and retention. The American Foundation for Suicide Prevention reported in 2024 that LGBTQ+ individuals who feel unsafe or unsupported at work are three times more likely to suffer from chronic stress, anxiety, and depression. According to myGwork’s study on mental health at work, nearly half (44.6%) of LGBTQ+ professionals have experienced depression at some point in their lives. This figure is even higher among trans and non-binary participants (53.3%) and bi+/plurisexual individuals (59%).

Unsurprisingly, lack of support and unwelcoming environments mean that employees from these groups are less likely to stay. Deloitte’s 2025 Human Capital Trends found that LGBTQ+ professionals in unsupportive workplaces are 35% more likely to leave their jobs within a year.

Visible representation is also critical. myGwork’s latest survey shows that 80% of LGBTQ+ students and recent graduates say having visible LGBTQ+ role models in senior positions significantly influences their decision to accept job offers. This perspective is especially pronounced among LGBTQ+ students and graduates of color, who emphasize the importance of allies in leadership roles.

Organizations that invest in LGBTQ+ inclusion see measurable benefits. The 2024 Stonewall Workplace Equality Index found that companies prioritizing LGBTQ+ inclusion report 30% higher retention among LGBTQ+ employees, 50% stronger employee engagement, and are 23% more likely to outperform competitors financially.

The 2025 Human Rights Campaign Corporate Equality Index echoes these findings. It also shows that inclusive policies are linked to greater innovation, productivity, and overall morale. In short, inclusive leadership delivers measurable results.

In fact, research shows that organizations with inclusive leaders are twice as likely to meet or exceed financial targets, three times more likely to perform at higher levels, and six to eight times more likely to innovate, adapt, and achieve superior results.

How leaders can drive inclusion

Inclusive cultures start at the top. When senior leaders model authentic, inclusive behavior – supporting Pride initiatives, sharing personal experiences, and sponsoring employee resource groups – they send a clear signal that diversity is valued and protected. Policies must also be explicit and comprehensive. Leaders should ensure their organizations ban discrimination based on sexual orientation, gender identity, and gender expression.

Equitable benefits, including gender-affirming care and same-sex partner healthcare, should be standard, along with access to gender-neutral facilities. According to McKinsey, companies with inclusive policies experience 44% higher job satisfaction among LGBTQ+ staff.

Education and allyship are equally important. The Human Rights Campaign found that 73% of non-LGBTQ+ employees want to learn how to be better allies. Leaders can facilitate regular DEI training, share inclusive resources, and create space for open dialogue.

There are many resources available from myGwork, such myGwork’s eBook, “Allyship 101: Supporting LGBTQ+ People Right Now.” You can download a copy for free here. myGwork is also holding a panel on Becoming an Ally: Active Support in the Workplace on 20th August. Sign up for free here.

What makes a leader inclusive?

Inclusive leaders commit time, resources, and influence to support LGBTQ+ ERGs, community initiatives, and partnerships. Deloitte research shows that LGBTQ+ employees engaged in ERGs are twice as likely to see a clear path to leadership.

Psychological safety is the foundation of an inclusive workplace. Leaders must address discrimination decisively, encourage open and respectful communication, and welcome feedback from underrepresented groups.

Truly inclusive leaders go beyond surface-level support. They demonstrate authenticity by bringing their whole selves to work and encouraging others to do the same. They listen actively and empathetically, validating colleagues’ experiences. They take accountability for addressing exclusion, challenging bias – including their own – and committing to measurable change.

Inclusive leaders create space for marginalized voices to be heard in decision-making and practice allyship consistently, whether by mentoring LGBTQ+ staff or challenging inequity in meetings.

How leaders can create inclusive cultures

To build inclusive cultures that retain LGBTQ+ and other underrepresented employees, leaders can:

• Actively listen to LGBTQ+ employees’ experiences and respond decisively to discrimination or microaggressions.
• Fund and support LGBTQ+ staff networks.
• Use inclusive language in all communications and visibly display support, such as wearing rainbow lanyards or sharing pronouns.
• Educate themselves and others about LGBTQ+ issues and remove bias from hiring and promotion practices.
• Celebrate LGBTQ+ awareness events throughout the year and regularly measure progress, adjusting inclusion efforts as needed.

Inclusive leadership is not a checkbox. It’s a strategic commitment to ensuring every employee feels safe, respected, and empowered to succeed. By following the example of progressive LGBTQ+ executives and strong allies, and backing that commitment with policy and action, organizations will not only attract top talent but retain it, grow from it, and thrive because of it.

Support from myGwork
Learn how myGwork can help leaders to become more inclusive as well as provide support with recruitment, DEI strategies and training, employer branding, and more by downloading the brochure below.