How Directors Can Navigate The DEI Divide

It is easy to understand how the rapidly evolving and increasingly controversial DEI paradigm could divert directors from their obligation to provide strategic oversight to the businesses they serve. The way forward for directors to navigate the DEI divide does not, however, need to be contentious. Rather, if the board follows its customary fact-gathering process and deliberates in the same way it considers other board agenda items, it can minimize the risk that comes with decisions concerning DEI in the corporations they serve.

The starting point for the board in considering DEI's role in the corporate mission is to first seek professional advice about the legal framework applicable to these issues. Typically, this advice should come from the general counsel or chief legal officer, the chief human resources officer, outside counsel or a combination of individuals whose job it is to keep the board informed about legal developments impacting the workforce. DEI, like