Consulting firms slow to respond to Supreme Court ruling

The consulting industry has played a leading role in workplace diversity discourse in recent years – particularly with regards to helping LGBT+ staff to bring their full selves to work. However, following a major shift in the application of the 2010 Equality Act, only two of more than 20 leading management consultancies contacted have issued any statement in support of their transgender staff.

In April, the UK’s Supreme Court ruled that the protected characteristic of “sex”, under the terms of the 2010 Equality Act, referred to “biological” women, and not transgender women. This presented businesses and public spaces with the option of excluding transgender individuals from spaces from spaces reserved for women, if they were not assigned that gender at birth.

In the weeks since the controversial landmark decision, a slow but steady stream of private and public entities have announced that they will impose new rules policing who can access facilities or services within their organisations. One of the first large companies to announce a change was Barclays Bank, which has confirmed it will ban trans women employees from using toilets that align with their gender. The English Football Association has also decided it will ban trans women from participating in women’s football.

In Scotland’s devolved Parliament, facilities designated as male or female-only at Holyrood will now be interpreted as meaning gender assigned at birth, according to the Scottish Parliamentary Corporate Body. And most recently, the University of Warwick has also reportedly proposed a ban of trans people from preferred rest-rooms.

Many of these institutions have in recent times become part of a growing corporate contingent of Pride, something encouraged by consulting firms who regularly interact with their respective industries. As is the case with many of the key issues society faces – from decarbonising the economy, to addressing racial and gender biases in the hiring process – consultants have sought to lead by example, and encourage their clients to become more inclusive of the LGBTQ+ community.

Relating to the LGBTQ+ community, beyond simply repainting their logos in rainbow colours for Pride month, this has seen consultancies regularly lauded for their leading practices, when it comes to ensuring all their employees can be their authentic selves at their workplace. However, at a time when clients and staff alike would be looking to that leadership for guidance, consultancies have been slow to respond to current events.

Consultancy.uk reached out to more than 20 leading consulting firms in Britain. These included a number which had been celebrated by LGBTQ+ campaign organisation Stonewall for their approach to accommodating the sexuality and gender identities of their staff. When asked to comment on the situation to reassure its transgender staff – and clarify whether their firms were still committed to empowering colleagues everywhere to bring their whole selves to work, only two responded.

Strategy consulting firm Oliver Wyman stated, “Oliver Wyman thrives from a high-performing, inclusive culture where colleagues can be their best. As an advisory business, we’re committed to attracting the most talented colleagues with a range of personal and professional experiences, and providing fair access to opportunity for all colleagues.”

Elsewhere, Big Four professional services giant KPMG noted, “KPMG UK remains fully committed to its values and inclusion, diversity and equity.”

While many consulting firms are still keeping their cards close to their chest, however, the UK industry's representative body did issue comment. In response to Consultancy.uk's query, Tamzen Isacsson, chief executive of the Management Consultancies Association, confirmed that MCA member firms "subscribe to Consulting Excellence and are committed to diversity and inclusion within their workplace and workforce".

She added, "Our sector strives to create an inclusive environment where everyone feels appreciated and free to be themselves, and we believe this approach helps our staff reach their full potential. While we await further guidance from the EHRC on the Supreme Court decision, our response will be guided by these principles and our commitment to diversity and inclusion.”

Taking a stand

Large consulting firms might argue they are in a complicated position when it comes to commenting at all. A number of the largest players in the UK market are actually headquartered in the US – the largest consulting industry in the world, where the Trump administration is cracking down on corporate participation in diversity and inclusion activities. The White House has reversed its own initiatives supporting LGBTQ+ people, particularly those who are transgender – and has shown a willingness to hammer corporations that antagonise it. This might also lead some consulting firms to worry clients would see them as a risk if they did take a stand.

Some private companies have seemed only too happy to fall into line with this trend, while others simply keep their heads down – but materially this will have the same result. Beyond the ethical implications, multiple studies from the consulting industry show that diverse organisations, where LGBTQ+ workers feel comfortable to be themselves, perform best. If consulting firms are looking to help clients boost their productivity, it would seem antithetical to remain silent in that case.

But according to Kerry Nicholson, COO of marketing consultancy Brand Champions, there is about much more than productivity gains. A non-binary advocate for "genuine inclusivity" in brand campaigns, Nicholson is passionate on the importance of moving beyond rainbow-washing to meaningful representation, allyship, and advocacy.

They told Consultancy.uk, "As LGBTQ+ policies and support face the backlash it has this year and when inclusion is being questioned at the highest of levels, it’s more important than ever for businesses to stand up and not step back. As a non-binary parent and leader, I know how important it is to feel safe, supported and able to be yourself at work. No one should feel they have to hide who they are to be accepted."

"Real inclusion isn’t just about having policies in place – it’s about the way people treat each other every day," Nicholson concluded. "The most basic level of this can mean simply checking in on colleagues, making space for open conversation and making sure people know where to go if they need support – whether that’s a trusted teammate, a mental health lead or an external organisation. Creating this kind of culture is everyone’s responsibility. When we do it well, the benefits go far beyond the individual. Diverse teams bring fresh thinking, greater creativity and stronger results."