Great Reset: Why LGBT+ inclusion is the secret to cities’ post-pandemic success

LGBT

(Credit: Unsplash)

This article is brought to you thanks to the collaboration of The European Sting with the World Economic Forum.

Author: Jon Miller, Founder, Open For Business


• Economies that are more inclusive are better placed to recover from the shocks of the COVID-19 pandemic.

• A strong positive correlation exists between LGBT+ inclusion and economic resilience.

• In particular, cities that embrace diversity may reap an ‘inclusion dividend’ as they begin to rebuild their economies.

As the world continues to grapple with the unprecedented global health crisis of COVID-19, the scale of the related global economic crisis is becoming increasingly clear. We are facing the sharpest economic contraction since the Great Depression in the 1930s, according to the United Nations – threatening to roll back decades of progress in the fight against poverty.

At the same time as taking emergency measures to minimize the immediate economic impacts of the pandemic, governments around the world are looking to position themselves for recovery. A new analysis of economic resilience offers a potential clue to which economies may be able to recover faster: LGBT+ inclusion is correlated to the resilience of a country’s economy.

 

The analysis by Open For Business, a coalition of companies advancing LGBT+ equality, shows a strong positive correlation (0.67) between how resilient an economy is and how accepting it is of LGBT+ people (see the chart below). This is a significant finding: a one-point increase in social acceptance suggests a three-point increase in that economy’s economic resilience index, even when controlling for GDP per capita. Could LGBT+ inclusion be a secret ingredient for economic resilience?

The social acceptance of LGBT+ people (x axis) as compared with resilience score (y axis).
The social acceptance of LGBT+ people (x axis) as compared with resilience score (y axis).
Image: Williams Institute, FM Global Resilience Index, Open For Business

The answer may lie in the world’s cities.

Cities have been at the frontline of the pandemic – and they may hold the key to global economic recovery. The connection between economic resilience and social inclusion is particularly clear in urban areas. There is a growing body of evidence that LGBT+ inclusive cities have stronger “innovation ecosystems”, higher levels of entrepreneurialism, and they are better able to attract talent and provide a high quality of life – making them well placed for economic recovery.

Let’s look at the evidence. First, innovation is a critical component of a city’s competitiveness, which in turn will make it well placed for recovery. Inclusive cities score higher on the 2ThinkNow Innovation Index, which ranks cities according to their potential for innovation. This index has a correlation of 0.62 with scores of social attitudes towards LGBT+ people, strongly suggesting that LGBT+ inclusive cities are more innovative places (see chart below).

The social acceptance of LGBT+ people (x axis) as compared with innovation score (y axis).
The social acceptance of LGBT+ people (x axis) as compared with innovation score (y axis).
Image: Williams Institute, FM Global Resilience Index, Open For Business

Second, cities with greater concentrations of talent and skills are more competitive and resilient, and attracting top talent is a priority for cities. However, cities that are not LGBT+ inclusive are much more likely to suffer “brain drain”: a 2018 study showed that cities in countries with anti-LGBT+ policies or attitudes are much more likely to lose their talent. Examples include Accra, Baku, Kampala, Kuala Lumpar, Lagos, Nairobi and Moscow. In some of these cities, according to a study by the OECD, more than half of all recent graduates are likely to emigrate.

Evidence shows that diversity feeds a “clustering effect” for young talent, according to research by the economist Enrico Moretti: “It’s a type of growth that feeds on itself – the more young workers you have, the more companies are interested in locating in that area and the more young people are going to move there.” LGBT+ inclusion seems to play an important role here as a signaller of openness, diversity and culture.

Civil Society

What is the Forum doing to boost inclusion for LGBTI people?

Discrimination based on sexual orientation and gender identity not only violates universal basic human rights, it also adversely impacts the long-term economic prospects of individuals, businesses and countries.

An initiative of the World Economic Forum, the Partnership for Global LGBTI Equality (PGLE) leverages the power of business to promote LGBTI equality and inclusion in the workplace and take wider responsibility not just for the impact they have on their employees lives but also on the broader communities in which they operate.

closeup of a young caucasian man waving a small rainbow flag against a rustic blue wooden background
Discrimination against members of the LGBTI community continues to affect millions of people worldwide every day
Image: Getty Images/iStockphoto

PGLE partners work together to:

  • Operationalize the five United Nations Standards of Conduct for Business Tackling Discrimination Against LGBTI People by providing a due-diligence framework, tools and resources for companies to advance and implement LGBTI inclusion globally (see here)
  • Provide a peer to peer learning platform connecting committed business leaders through the World Economic Forum in accelerating LGBTI workplace inclusion and promoting human rights for all
  • Share best practices and benchmarks to assist companies in meeting their commitments and responsibilities to global LGBTI equality.

Follow the Partnership for Global LGBTI Equality and help us advance this agenda, protecting and promoting human rights in the workplace.

Contact us to become a member or partner of the Forum.

The economic shocks of the pandemic are of an unpresented magnitude, and the road to recovery will not be easy. However, we can expect that cities that have embraced diversity may reap an “inclusion dividend” as they begin to rebuild their economies. The strength of their innovation ecosystems and an abundance of talent may make them more agile in the face of downturn and better able to exploit new opportunities presented by the disruption.

There is a strong message here for governments who are using the pandemic as a pretext for intensifying discrimination against LGBT+ people. Recent weeks have seen a surge of anti-LGBT+ activity around the world: the expansion of “LGBT-free zones” in Poland, for example, or the anti-trans legislation in Hungary. In Kampala, 20 LGBT+ Ugandans were arrested on the pretext that they had violated laws used to prevent the spread of COVID-19. Political and religious leaders in the US, Ireland, Israel and Iran have publicly blamed the LGBT+ community for the pandemic, and activists report that this has led to a rise in hate crimes.

The connection between resilience and inclusion is widely accepted by policy-makers. The World Bank describes “inclusive communities” as a key dimension of sustainable, resilient cities. The OECD identifies “inclusive society” as a driver of resilience in a city. The IMF contends that an economy is “more fragile and less resilient when it is not inclusive”. A report by UN Habitat finds that inclusion is required for a “successful urban resilience agenda”.

Now is the time to be embracing LGBT+ communities, not stigmatizing them. Creating inclusive societies isn’t just the right thing to do; as the evidence shows, it’s an important part of an economic strategy focused on resilience and recovery.

the sting Milestone

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

Migration has set EU’s political clock ticking; the stagnating economy cannot help it and Turkey doesn’t cooperate

South Asia can become an innovation hub. Here’s how

Why a global recession isn’t inevitable

What does artificial intelligence do in medicine?

The benefits of a cashless society

Japan must urgently address long-standing concerns over foreign bribery enforcement

Coronavirus: Commission proposes to activate fiscal framework’s general escape clause to respond to pandemic

A Valentine’s Special: giving back, a dialogue of love

If on a summer’s night: is UK businesses’ “new deal” the only key to the “best of all worlds”?

World Retail Congress Dubai 2016: Retail’s night of nights

Virus Coronavirus: No time to die

Chart of the day: This is what violence does to a nation’s GDP

Palestine refugees’ relief chief warns Security Council money to fund Gaza operations will run out in mid-June

Africa-Europe Alliance: Four new financial guarantees worth €216 million signed under the EU External Investment Plan

European Junior Enterprises to address the significant skills mismatch in the EU between school and employment

What happiness can teach us about how we measure human development

Celebrities are helping the UK’s schoolchildren learn during lockdown

Taking fast road to ‘e-mobility’ central to a sustainable future: COP24

US-China trade war is a ‘lose-lose’ situation for them and the world, warn UN economists

This digital currency could build a more sustainable global economy

UN relief chief urges Security Council to back aid delivery, more funding for millions of Syrians hit by harsh weather

EU to finance new investment projects with extra borrowing; French and Italian deficits to be tolerated

Could the fourth wave of globalization help to end epidemics?

EU adopts rebalancing measures in reaction to US steel and aluminium tariffs

UN chief welcomes start of Church-mediated national dialogue in Nicaragua

It’s time for global businesses to accept local responsibility

WHO working to save lives following powerful earthquake in Albania

Parliament demands ban on neo-fascist and neo-Nazi groups in the EU

We won’t win the online security war without people power

Grave concern over escalating humanitarian crisis, casualties, displacement across northwest Syria: UN

Banks can fight financial crime. But we can’t do it alone

China-EU Summit on 16-17 July 2018: “Work together to address common challenges”, by China’s Ambassador to the EU

Juncker Plan exceeds original €315 billion investment target

Rising inequality affecting more than two-thirds of the globe, but it’s not inevitable: new UN report

25 years on from genocide against the Tutsi, UN Chief warns of ‘dangerous trends of rising xenophobia, racism and intolerance’

How cities, not states, can solve the world’s biggest problems

Mergers: Commission prohibits proposed merger between Tata Steel and ThyssenKrupp

Microplastics have been found in Rocky Mountain rainwater

Mali: Two peacekeepers dead after dawn attack, several injured – UN Mission

Russia and the West to partition Ukraine?

RescEU: MEPs vote to upgrade EU civil protection capacity

Professional practices of primary health care for Brazilian health and gender inequality

Universities need strategic leadership. Here’s what it looks like

The health of the human being in coexistence with a transformative biosphere

Voices of Afghan women ‘must be heard at the table in the peace process and beyond’ UN deputy chief tells Security Council

Managing and resolving conflicts in a politically inclined group of team members

Telemedicine and the Brazilian reality

UN’s Grandi slams ‘toxic language of politics’ aimed at refugees, migrants

G20 to Germany: Abandon miser policies

German elections: Is Merkel losing ground or Shultz is winning?

EU paves the way for a stronger, more ambitious partnership with Africa

‘An unprecedented fiscal response’ – political and business leaders on managing the coronavirus crisis

Urgent action needed to address growing opioid crisis

I have a rare disease. This is my hope for the future of medicine

Bill Gates’ top 10 breakthrough technologies of 2019

Eurobarometer: protecting human rights tops citizens’ list of EU values

Global aid appeal targets more than 93 million most in need next year

Help prevent children ‘from becoming victims in the first place’, implores Guterres at campaign launch

Don’t let the virus quarantine your mind –Ways to strengthen “Mental” immunity

The developing countries keep the world going

More Stings?

Advertising

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s