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How Diversity, Equity, and Inclusion Drives SDG 10

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Updated by: Noha Basiony

In a world striving for fairness and progress, diversity, equity, and inclusion (DEI) are more than just ideals—they are essential to building a just society. The United Nations’ Sustainable Development Goal 10: Reduced Inequalities calls for action to bridge social, economic, and political divides. However, achieving this goal is only possible when individuals from all backgrounds have equal opportunities to thrive.

Embracing diversity ensures that different perspectives and experiences contribute to innovation and growth. Promoting equity guarantees fair access to resources, addressing systemic barriers that limit opportunities. Encouraging inclusion fosters environments where everyone feels valued and empowered. Together, these principles create a foundation for a more balanced and just world.

This article explores how DEI efforts play a pivotal role in reducing inequalities and driving sustainable progress, offering strategies to create a fairer and more inclusive global society.

So, grab a cup of coffee and let’s hop into it.

Understanding SDG 10: Reduced Inequalities

Sustainable Development Goal 10 (SDG 10), set by the United Nations (UN) as part of the 2030 Agenda, focuses on reducing inequality within and among countries. It acknowledges that economic growth alone is insufficient in addressing disparities and emphasises the need for inclusive policies that provide equal opportunities for all.

The key targets of SDG 10 aim to:

  • Reduce income disparities by ensuring that the bottom 40% of the population experiences higher income growth than the national average.
  • Promote social, economic, and political inclusion, regardless of age, gender, disability, ethnicity, religion, or socioeconomic status.
  • Eliminate discriminatory laws and policies that reinforce inequality.
  • Ensure equal access to economic resources, including financial services, property ownership, and technology.
  • Facilitate safe and responsible migration by implementing policies that protect migrants’ rights and ensure fair treatment.
  • Strengthen global economic institutions to create fairer trade, taxation, and financial systems.

By addressing these areas, SDG 10 aims to create a more equitable and just society where marginalised communities have equal opportunities to succeed.

Despite progress in economic development, inequality remains a persistent global challenge. The World Inequality Report highlights that income and wealth are disproportionately concentrated among the wealthiest individuals, with the top 10% owning over 75% of global wealth, while the bottom 50% hold just 2%.

The first key trend in inequality includes income and wealth gaps. Developing nations continue to experience wide income disparities, with workers in low-income countries earning a fraction of what their counterparts in wealthier nations make. Additionally, the gender pay gap remains a significant issue, with women earning less than men for the same work in many parts of the world.

There is also discrimination and social exclusion, where systemic biases against marginalised groups, including racial minorities, indigenous populations, and persons with disabilities, limit access to education, healthcare, and employment.

Add to this the fact that many regions still lack basic infrastructure, healthcare, and digital connectivity, which makes it difficult for underprivileged communities to participate in economic activities. Educational disparities also prevent equal access to quality learning and career prospects.

Last but not least, crises do have an impact on inequality. Global challenges such as COVID-19, climate change, and economic recessions have exacerbated existing inequalities, disproportionately affecting vulnerable populations.

Inequality and Economic Development

Reducing inequality is not just a moral obligation—it is also critical for economic growth and stability. When a large segment of the population is excluded from opportunities, economies suffer from lower productivity, reduced consumer spending, and decreased innovation.

Here are some key ways in which inequality impacts economic development:

  • Restricted Economic Participation: Unequal access to education, healthcare, and jobs prevents millions from contributing to national economies, resulting in slower growth and higher unemployment.
  • Political and Social Unrest: Societies with extreme disparities often experience higher crime rates, protests, and political instability, discouraging investment and economic progress.
  • Loss of Human Capital: Discrimination and barriers to resources waste potential talent, limiting innovation and productivity.
  • Health and Well-Being Challenges: Inequality contributes to poor health outcomes, reducing overall workforce efficiency and increasing healthcare costs for governments.

Diversity, Equity, and Inclusion: Reducing Inequalities

DEI

Diversity, Equity, and Inclusion (DEI) are fundamental pillars in reducing inequalities and achieving Sustainable Development Goal 10 (SDG 10). By embracing differences, ensuring fair access to resources, and fostering inclusive environments, societies and organisations can create a more just and prosperous world.

Diversity

Diversity refers to the presence of different identities, backgrounds, and perspectives in a given space. It encompasses a broad range of identities and experiences, including race, ethnicity, gender, socioeconomic status, ability, and cultural beliefs.

Ensuring the representation of individuals from various racial and cultural backgrounds fosters a more inclusive society where different perspectives are valued. Similarly, gender identity and sexual orientation should never be barriers to opportunities or fair treatment, allowing individuals to thrive regardless of who they are. Addressing socioeconomic disparities is equally critical, as financial and educational inequalities often limit access to essential resources and upward mobility.

Inclusion also means providing access and accommodations for individuals with disabilities and neurodiverse conditions, ensuring they can fully participate in workplaces, education, and public life. Embracing cultural and religious diversity strengthens social cohesion by fostering mutual respect for different traditions, languages, and belief systems.

When these aspects of diversity are recognised and actively supported, societies move closer to achieving true equity and inclusion, where everyone has the opportunity to succeed.

A diverse society or workforce brings multiple perspectives, experiences, and problem-solving approaches, leading to:

  • Increased Innovation: Companies with diverse teams are 35% more likely to outperform their industry peers, according to McKinsey. Different viewpoints foster creativity and better decision-making.
  • Stronger Economic Growth: Studies show that countries that embrace diversity see higher GDP growth rates due to a broader talent pool and greater consumer participation.
  • Greater Inclusivity in Markets: Businesses that understand diverse customer needs can expand their reach and better serve global audiences.

Equity

Equality and equity are often used interchangeably, but they represent distinct approaches to fairness.

Equality means treating everyone the same, regardless of their unique circumstances or starting points. While this approach may seem fair, it does not account for the systemic barriers that prevent some individuals from accessing the same opportunities as others. 

In contrast, equity focuses on providing tailored support based on individual needs, ensuring that everyone has a fair chance to succeed. Rather than assuming that identical treatment leads to fairness, equity recognises that people face different challenges and require different levels of assistance to achieve similar outcomes.

For example, in education, equality would mean giving all students the same resources, such as textbooks or classroom materials. However, this approach overlooks disparities in socioeconomic backgrounds, access to technology, or learning support. An equitable approach ensures that students from disadvantaged backgrounds receive additional support, such as scholarships, mentorship programs, or internet access, allowing them to compete on a level playing field.

By prioritising equity over mere equality, societies can bridge opportunity gaps and create a more inclusive environment where success is determined by potential rather than privilege.

Equity is crucial in addressing systemic disparities, which exist in:

  • Education: Underfunded schools, lack of access to technology, and barriers to higher education for marginalised communities.
  • Healthcare: Differences in healthcare quality due to location, socioeconomic status, or racial biases in medical treatment.
  • Employment: Wage gaps, discrimination in hiring and promotions, and lack of opportunities for women, minorities, and individuals with disabilities.

To counter systemic barriers, many governments and organisations implement equity-focused policies that provide targeted support to disadvantaged groups. Affirmative action ensures that underrepresented communities have greater access to education and job opportunities, helping to correct historical inequalities.

Similarly, accessibility laws require businesses and institutions to accommodate individuals with disabilities by implementing measures like ramps, braille signage, and digital accessibility tools, ensuring equal participation in society.

Economic disparities are also addressed through income support programs, such as welfare initiatives, universal basic income trials, and subsidies, which help low-income families afford essential services.

A key example of an equity-driven policy is the European Union’s Gender Pay Transparency Directive, which mandates companies to report and address gender pay gaps, promoting fair wages and workplace equity. These policies demonstrate how targeted interventions can break down systemic barriers and create a more inclusive and just society.

Inclusion

Inclusion goes beyond diversity—it ensures that individuals from all backgrounds feel welcomed, valued, and empowered in workplaces, communities, and institutions. While diversity focuses on representation, inclusion actively integrates marginalised groups into decision-making and leadership roles, ensuring that their voices shape policies, strategies, and organisational cultures. This shift from passive presence to active participation fosters a sense of belonging and fairness for all.

An inclusive society or organisation experiences tangible benefits across multiple levels. Employees in inclusive workplaces report higher satisfaction and retention rates, as they feel respected and supported. Decision-making improves when diverse perspectives are considered, leading to more innovative and effective solutions.

On a broader scale, inclusion strengthens social cohesion by reducing discrimination and bias, fostering stronger, more connected communities where everyone has an equal opportunity to thrive.

Organisations and communities can foster genuine inclusion by implementing practical measures that ensure equal participation and representation. One key strategy is diverse leadership representation, as inclusive leadership teams are more likely to create equitable policies and fair decision-making processes. When leadership reflects the diversity of the workforce or community, it sets a powerful precedent for inclusivity at all levels.

Additionally, inclusive policies and training play a crucial role in eliminating biases and fostering a culture of respect. Regular anti-bias training, workplace accommodations, and diverse hiring practices help remove systemic barriers and create fair opportunities for all. Establishing safe spaces and Employee Resource Groups (ERGs) also empowers marginalised individuals by providing platforms to voice concerns, share experiences, and advocate for change.

These initiatives strengthen organisational culture, improve employee engagement, and drive long-term inclusivity in workplaces and communities.

Challenges in Implementing DEI for SDG 10

While Diversity, Equity, and Inclusion (DEI) play a crucial role in reducing inequalities and achieving SDG 10, implementing these principles effectively comes with significant challenges. Addressing these obstacles is essential to creating sustainable and meaningful change.

Resistance to Change and Deep-Rooted Biases

One of the biggest barriers to DEI implementation is resistance to change, often stemming from:

  • Unconscious Biases: People may unknowingly hold prejudices that affect their decisions and interactions. This can lead to hiring discrimination, wage gaps, and exclusionary work cultures.
  • Fear of Losing Privilege: Some individuals or groups perceive DEI initiatives as a threat to their status or opportunities, leading to pushback against affirmative action policies or diversity quotas.
  • Organisational and Cultural Inertia: Many long-standing traditions and structures are built on exclusionary practices. Changing these systems requires challenging norms, policies, and leadership approaches, which can be met with strong opposition.

For example, several European countries, including Germany and France, introduced mandatory gender quotas for corporate boards to increase female representation. However, these policies faced criticism from opponents who argued that hiring should be based solely on merit. Over time, data showed that gender-diverse boards performed better, but the initial resistance delayed progress.

Overcoming resistance to Diversity, Equity, and Inclusion (DEI) requires strategic efforts to shift mindsets and dismantle deep-rooted biases. One of the most effective approaches is education and awareness, where companies and governments invest in bias training, awareness campaigns, and transparent communication about the benefits of DEI. When people understand how inclusion leads to better workplace culture, economic growth, and social progress, they are more likely to support these initiatives.

Another critical factor is leadership buy-in. When executives, policymakers, and influential figures actively champion DEI, it sends a strong message that inclusion is a priority. Organisations that see leadership embracing these values are more likely to undergo meaningful cultural shifts.

Additionally, showcasing positive outcomes through success stories of businesses and communities that have benefited from DEI initiatives can reduce scepticism and inspire broader adoption.

Lack of Awareness and Accountability

Even when organisations express commitment to DEI, a lack of awareness and accountability often hinders real progress. Some common challenges include:

  • Superficial DEI Efforts: Many companies engage in performative activism, where they publicly support DEI but fail to implement meaningful policies or actions.
  • Limited Government Enforcement: While laws exist to promote equity (e.g., anti-discrimination laws and pay transparency acts), enforcement is often weak, leaving loopholes for non-compliance.
  • Insufficient Representation in Decision-Making: Many marginalised groups remain underrepresented in leadership roles, limiting their ability to influence policies.

In 2020, many Fortune 500 companies publicly committed to increasing racial diversity. However, a 2023 report showed that less than 10% of these companies had made significant changes to hiring and promotion practices. Without accountability, many of these pledges failed to translate into real action.

One key approach to improving accountability is stronger legislation and enforcement, where governments mandate DEI reporting with clear consequences for non-compliance. This includes requiring companies to disclose diversity metrics, pay equity data, and progress toward inclusion goals, ensuring transparency and accountability at all levels.

Within organisations, internal DEI audits play a crucial role in assessing hiring patterns, pay gaps, and promotion rates to identify disparities and track progress. These audits help businesses align their practices with DEI commitments, fostering fairer workplaces. 

Employee and community involvement can also strengthen accountability by encouraging open dialogue, anonymous reporting, and whistleblower protections to expose and address DEI failures.

Difficulty of Measuring Progress in DEI Initiatives

One of the biggest obstacles in DEI implementation is the lack of standardised metrics to track progress. Unlike financial performance, DEI success is often subjective and difficult to quantify.

Key challenges in measurement include:

  • Lack of Universal Benchmarks: While some industries have clear diversity goals, others struggle to define what successful inclusion looks like.
  • Data Collection Issues: Many employees are hesitant to share personal demographic information, making it harder to track workplace diversity.
  • Slow, Long-Term Impact: Unlike immediate financial results, DEI efforts often take years to show measurable change, making it difficult to maintain momentum.

For instance, Google publishes an annual Diversity & Inclusion Report, showcasing progress in hiring women and underrepresented minorities. However, critics argue that the report lacks data on retention and promotion rates, making it hard to gauge whether these hires actually feel included and supported.

Here are some solutions for better DEI measurement:

  • Clear and Transparent KPIs: Establish measurable goals, such as increasing diverse leadership representation by X% over five years.
  • Regular Employee Surveys: Gather anonymous feedback to assess inclusion levels and workplace experiences.
  • Third-Party Audits: Independent reviews can ensure unbiased evaluations of DEI effectiveness.

Strategies to Advance DEI and Achieve SDG 10

DEI

Advancing Diversity, Equity, and Inclusion (DEI) is essential to achieving SDG 10: Reduced Inequalities. While challenges persist, strategic actions at the policy, corporate, community, and educational levels can drive meaningful change.

Policy Interventions

Government policies play a crucial role in reducing inequalities by ensuring fair treatment, equal access to resources, and protection against discrimination. Effective DEI policies can help eliminate systemic barriers that disproportionately affect marginalised communities.

Key policy interventions:

  • Anti-Discrimination Laws: Enforcing policies that prohibit discrimination based on race, gender, disability, age, or socioeconomic background in workplaces, education, and public services.
  • Wage Equality Measures: Implementing laws that require equal pay for equal work, closing gender and racial pay gaps.
  • Affirmative Action Programs: Creating policies that actively support underrepresented groups in hiring, education, and leadership opportunities.
  • Accessibility Regulations: Enforcing laws that ensure public spaces, digital platforms, and workplaces are inclusive of people with disabilities.

Iceland introduced a landmark equal pay law in 2018, requiring companies to prove they offer equal pay for equal work. Organisations that fail to comply face fines ensuring greater wage transparency and fairer compensation for women and marginalised groups.

Strengthening policy implementation is essential for turning Diversity, Equity, and Inclusion (DEI) commitments into meaningful action. One effective approach is establishing stronger enforcement mechanisms, such as independent watchdog organisations that monitor compliance, investigate violations, and impose penalties for non-compliance. These bodies ensure that DEI policies are not just symbolic but actively enforced.

Additionally, regular policy audits help governments and organisations evaluate the effectiveness of existing laws and adjust them based on evolving social and economic needs. By continuously reviewing policies, decision-makers can identify gaps, address new challenges, and refine DEI strategies.

Another crucial step is public reporting requirements, which encourage businesses and institutions to disclose diversity data. Transparency fosters greater accountability, enabling stakeholders to track progress and advocate for necessary improvements.

Corporate Responsibility

Corporations have a significant influence in advancing DEI by fostering inclusive workplaces, ethical business practices, and economic empowerment. Businesses that prioritise DEI not only create fairer work environments but also benefit from increased innovation, employee satisfaction, and financial growth.

Ways businesses can promote DEI:

  • Inclusive Hiring and Promotion Practices: Implementing blind recruitment and diverse hiring panels to eliminate bias.
  • Pay Equity Audits: Regularly assessing wage structures to identify and address disparities.
  • Employee Resource Groups (ERGs): Creating safe spaces for marginalised employees to voice concerns and suggest improvements.
  • Supplier Diversity Programs: Partnering with minority-owned businesses to support economic equity.

Microsoft has committed to doubling the number of Black and Hispanic leaders in its U.S. workforce by 2025. The company has also invested $150 million in DEI initiatives, including leadership development programs for underrepresented employees.

Encouraging corporate action on Diversity, Equity, and Inclusion (DEI) requires both incentives and accountability measures to drive meaningful change. One powerful strategy is offering incentives for DEI performance, such as tax benefits, government contracts, or funding opportunities for businesses that meet diversity benchmarks. These incentives encourage companies to actively integrate DEI into their operations rather than treating it as a compliance requirement.

Additionally, transparent DEI reporting ensures businesses publicly share their progress on diversity goals, holding them accountable to employees, consumers, and stakeholders. This visibility fosters trust and encourages continuous improvement. 

Another effective approach is implementing DEI certifications, where companies that meet industry-recognised DEI standards receive formal recognition. These certifications not only enhance brand reputation but also set a benchmark for inclusivity, motivating businesses to prioritise DEI in their corporate strategies.

Community Engagement

While policies and corporate actions are vital, grassroots movements play a powerful role in challenging discrimination, raising awareness, and fostering social change. Community-driven initiatives empower marginalised groups, provide direct support, and create local solutions to inequality.

Communities play a crucial role in driving Diversity, Equity, and Inclusion (DEI) progress by fostering advocacy, economic inclusion, and accessible opportunities. One impactful approach is supporting advocacy and social movements, where individuals and organisations back civil rights groups pushing for policy reforms and equal rights. Grassroots activism can influence legislative changes and promote a more inclusive society.

Economic empowerment is another key factor. Encouraging consumers to support diverse-owned businesses helps create sustainable opportunities for underrepresented entrepreneurs, reducing financial disparities. Additionally, community mentorship programmes can connect experienced professionals with marginalised youth, providing guidance, networking opportunities, and career advancement support.

Finally, designing inclusive public spaces, such as parks, schools, and community centers, ensures that everyone—regardless of ability, background, or socioeconomic status—feels welcomed and accommodated.

Take, for example, the Black Lives Matter (BLM). The movement has significantly influenced policing reforms, corporate DEI commitments, and racial equity discussions worldwide. Its impact highlights how grassroots advocacy can drive policy and institutional change.

To strengthen community DEI efforts, here are a few tactics:

  • Government and NGO Funding: Allocating resources to support grassroots organisations working on social justice issues.
  • Partnerships Between Businesses and Local Groups: Companies can collaborate with nonprofits and activists to fund community-driven DEI projects.
  • Volunteer and Civic Engagement: Encouraging individuals to participate in community initiatives that promote inclusion.

Education and Awareness

Education is a fundamental tool in promoting DEI by challenging biases, increasing cultural competence, and preparing future generations to build inclusive societies. Schools, universities, and training programs can equip individuals with the knowledge and skills needed to combat inequalities.

Educational Strategies to Advance DEI

  • Incorporating DEI in Curriculums: Teaching students about historical injustices, cultural diversity, and systemic inequalities.
  • Bias and Sensitivity Training: Implementing training programs in workplaces, government institutions, and law enforcement.
  • Language and Accessibility Education: Promoting sign language courses, braille literacy, and multilingual education to foster inclusivity.
  • Scholarships for Marginalised Groups: Providing financial aid and mentorship programs for students from underprivileged backgrounds.

Finland’s education system focuses on equity over competition, ensuring that all students, regardless of background, receive high-quality education. The country has one of the smallest achievement gaps in the world, demonstrating how an inclusive approach to education can reduce social inequalities.

Improving Diversity, Equity, and Inclusion (DEI) in education requires systemic changes that address disparities in resources, teaching approaches, and learning materials. One critical step is government investment in equitable schools, ensuring that institutions in low-income areas receive adequate funding to provide modern facilities, qualified teachers, and technology access. This helps bridge the gap between privileged and underserved communities, creating equal opportunities for all students.

Teacher training on cultural sensitivity is also essential for fostering inclusive and respectful learning environments. Educators should be equipped to navigate diverse classrooms, recognise unconscious biases, and implement fair disciplinary practices. 

Finally, accessible learning materials play a key role in DEI, ensuring that textbooks and online resources reflect diverse perspectives and avoid discriminatory narratives. By incorporating multicultural content and adaptive learning tools, education systems can create a more inclusive experience that empowers all students to succeed.

Conclusion

Diversity, Equity, and Inclusion (DEI) are key to achieving SDG 10: Reduced Inequalities. Embracing diversity, ensuring equitable access, and fostering inclusion help break systemic barriers and close economic gaps.

Progress requires action at all levels—governments must enforce anti-discrimination laws, businesses should promote fair wages and representation, communities need to drive grassroots change, and schools must integrate DEI into education. While challenges remain, sustained commitment and collaboration can create lasting impact. By prioritising DEI, we move toward a fairer world. How will you help advance DEI in your community or workplace?

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