Let’s keep that rainbow bright

June is Pride Month, a time you could always expect to see companies add a touch of rainbow colour to their logos and products. However, in this respect, June 2025 was far more monochrome and understated. Is this hard-fought recognition increasingly under threat? In corporate America, politicisation is already undermining diversity, equity and inclusion (DEI) policies and values. In the UK, it’s pertinent to wonder the extent to which companies (including those with US HQs) will begin to re-evaluate their support for such policies in the workplace.

DEI policies have a proven track record of attracting younger generations into leading corporations and I’m not suggesting they will disappear. Certainly, it’s heartening that a recent poll by the Institute of Directors (IoD) recorded that 71% of 605 UK businesses had no plans to change their DEI strategies.

Nevertheless, there remains the possibility that some companies may gradually shy away from their overt public support and affirmation of DEI, including around Pride events. Corporations (especially those with an international footprint) may start to weigh up the ramifications for any shift in their position. Will they suffer a backlash from current and prospective employees for any perceived retreat on DEI commitments? Could prospective future business and investment opportunities be curtailed - in some geographical markets - if the business continues to overtly support DEI rights?

The makeup of law firms should reflect the world, which means it's important to welcome candidates from LGBT+ backgrounds (Picture: Adobe)

Fortunately, in the UK, employers and employees alike will be mindful that the Equality Act 2010 prohibits any discrimination, harassment and/or victimisation in respect of certain protected characteristics (including race, gender and sexual orientation).

Given the ability for UK employment tribunals to make uncapped compensation awards in instances of discrimination under the 2010 Act, I suspect employers will be wary of taking steps that could be perceived to counter existing support and protections around DEI practices. Some businesses may be tempted to tinker with their strategies but a wholesale U-turn on all matters DEI in the workplace seems very unlikely.

While global heavyweights like Google and Amazon have scaled back some of their DEI initiatives, my own employer is a brilliant example of a leading business placing this at the core of its corporate identity. Indeed, I’ve personally thrived in an environment where you are empowered to ‘Be yourself’ (one of Shoosmiths’ four key values) and benefit from employee networks, actively supported by the Board, focused on the advancement and celebration of DEI.

Admittedly, my younger self believed that being a gay female would hinder my career progression in law. Fortunately, I’ve discovered a law firm where I’m empowered by senior leaders to embrace my identity. Consequently, I’ve led various panel and roundtable discussions focused on celebrating the power of diversity in workplaces.

Rachel Munro benefited from DEI policies at Shoosmiths

Earlier this year I spoke about the importance of LGBT voices in the real estate industry at the MIPIM conference in Cannes. This summer, I’ll proudly host a celebration of Pride for our Glasgow office. Crucially, in a move that goes far beyond just ticking a box and displaying a rainbow logo, my employer has even incorporated DEI metrics into its career progression framework.

In our changing world, Pride may seem more muted this year and there may be some businesses less inclined to overtly publicise their DEI support. Yet, I firmly believe it’s imperative to uphold and champion the very DEI values that enabled my younger self to flourish. We must continue to ensure thousands like me can feel empowered, safe and ultimately our true selves in business.

Rachel Munro is a senior associate, Shoosmiths