The Best and Worst States For LGBTQ+ Equality

Dear Leaders,

Happy Pride Month!?There is nothing I love more than celebrating queer joy! I hope we can keep that at the center of our pride month this year.

Over the past five years, Out Leadership has been publishing?the State Business Climate Index, which assesses the lived experiences of individuals in terms of living, working, building families, and overall quality of life. As the Managing Director of Programs & Research,?this is one of my favorite days of the year. Not only does it mark the beginning of Pride Month, but it also signifies the release of this index, a valuable resource that has had a positive impact on our member companies, specific state governments, and individuals throughout the United States.

Regrettably,?this year's Index reveals an overall decline in scores, marking the first regression in five years. The influence of over 500 anti-LGBTQ+ bills, particularly those targeting transgender individuals and youth, has significantly affected the experiences of LGBTQ+ individuals in many states.

However, despite these challenges, there is still much to celebrate. Several states have implemented protections, expanded access, and introduced safeguards for LGBTQ+ individuals, families, and employers.?Out Leadership commends these states and urges everyone to encourage other states to catch up.

Companies and business leaders use the Index as they plan travel, operations, and relocation policies, as well as to gain a general?understanding of all the places?in the US where they conduct business. This, we hope, makes it easier for leaders to support their staff,?discuss their corporate values, and how they connect to the communities where they operate and drive business.?

Though we've made outstanding progress for LGBTQ+ equality in recent years, we still have great challenges ahead. Our research allows us to ground the fight for justice in the material reality facing LGBTQ+ people across the nation and empowers us to address adversity head-on. Because pride is a protest just as much as it's a party.

Fighting on,

Jane Barry-Moran

Managing Director, Programs & Research

Here’s what you need to know this week...

?#1?

The 5th Annual State LGBTQ+ Business Climate Index is available now.

Out Leadership’s State LGBTQ+ Business Climate Index?is an assessment of all 50 states’ performance on LGBTQ+ inclusion. The Index measures the impact government policies and prevalent attitudes have on LGBTQ+ people residing in each state, quantifying the economic imperatives for inclusion and the costs of discrimination. It is a multidimensional index based on a broad array of markers of policies, attitudes, and measurements relating to LGBTQ+ inclusion. These markers are carefully chosen to accurately reflect the experiences of LGBTQ+ people in each state.

Polarization.?As cultural and political attitudes shift across the nation, LGBTQ-friendly states are bolstering protections for the community. In contrast, anti-LGBTQ+ state leaders are advancing increasingly harsh and discriminatory policies.

Risk.?Discrimination creates uncertainty for business leaders. As multinational companies seek to recruit the best talent, they will do so in states and countries where their business success is not hindered by local law. Companies do not want to be at odds with the business practices of the states in which they operate.

Economic Impact.?There are serious economic repercussions for states that discriminate against the LGBTQ+ community and strong benefits for localities that embrace diversity. The economic outlook for LGBTQ-friendly states is bright.

#2

New York topped the list for the third year in a row. Arkansas ranked last.

The Empire State?is the highest-ranking state in LGBTQ+ scoring an impressive?93.67?out of 100 points on the Index.

New York?Governor Kathy Hochul?published an op-ed in?Crain’s New York?to honor this outstanding achievement.

In a statement, the Governor said:

“On behalf of New York State, I am so proud to receive this recognition for the third year in a row for everything we – and our business community – are doing to make our state as a beacon of economic inclusivity. As the birthplace of the women’s rights movement and the modern LGBTQ+ movement, New York has led the nation in the battle for equal rights, and we are continuing to make incredible strides toward establishing our state as a safe, welcoming home for LGBTQ+ people. I thank Out Leadership for its continued advocacy – particularly when states across the nation are working to dismantle the progress states like ours have made – and for its partnership in the fight for LGBTQ+ equality.”

You can read the full op-ed?here.

For the first time,?Arkansas is the lowest-ranking state in LGBTQ+ equality, dropping below South Carolina with a score of?32.00?out of 100 points. Headline-making states like Tennessee,?Florida, and Texas also scored poorly.?

#3

For the first time since we launched the Index, the average score across the nation has declined.

This year, the average movement in scores was negative.?The flood of anti-LGBTQ+, specifically anti-trans, legislation moved more states down in score than in the past 4 years of the Index.?We continue to see similar concerning trends: states with high scores continue to defend the rights of all LGBTQ+ individuals, while states with low scores are seeing increased anti-LGBTQ+ policies and cultural trends are moving in that same direction.?

This impacts companies’ abilities to do the best business, recruit and retain top talent, and put pressure on organizations to take a position on the constant stream of state-level legislation that impacts their employees, clients, and in some cases, products and services.

The state with the most negative movement was Kentucky,?with a decrease of 7.08 points. This year’s Index reveals the impact of recent anti-LGBTQ+ legislation across the country, particularly in states such as Florida, Arkansas, Tennessee, Indiana, and Kentucky. Over 500 anti-LGBTQ+ bills have been proposed in the current legislative cycle across 46 states, with a majority directly targeting the trans community.?

The key drivers behind this political attack have been healthcare bills that inhibit access to gender-affirming care, legislation limiting the rights of trans youth and adults, the election of anti-LGBTQ+ lawmakers during the 2022 election cycle, and censorship laws such as “Don’t Say Gay” bills.?

In Florida alone, the state’s “Don’t Say Gay” bill, amongst other anti-LGBTQ+ state legislation, caused a 2.83-point decrease since 2022?and a 6.23-point decrease since 2021 – a major drop in the rankings. The infamous bill has also instigated similar bills across the United States, resulting in point decreases across the board.

The state with the most positive movement was West Virginia, with an increase of 5.47 points.?Many state governments have taken the opportunity to reinforce their dedication to LGBTQ+ equality.?

The highest climber this year was West Virginia, with an increase of 5.47 points between 2022 and 2023. This was due to the broad implementation of pro-LGBTQ+ policies (particularly benefitting the trans community) across Legal & Nondiscrimination Protection, Youth & Family Support, and Health Access & Safety.?

The second highest climber was North Carolina, as a result of a new law that makes it easier and safer for transgender individuals to update their birth certificates to match their name and gender identity.

#4

We’re providing in-depth tools for every state in our State CEO Briefs.

Our?State CEO Briefs?are indispensable guides for business leaders doing business in the United States. They assess the economic impact of discrimination on business and equip business leaders and policymakers with a clear sense of the most impactful steps states can take to make themselves more hospitable to forward-thinking, innovative businesses.

Here are ten concrete action changes you can demand from your state leaders to protect LGBTQ+ equality:

1. Bolster anti-discrimination laws in places of public accommodation?
2. Allow trans people to change the gender markers on their state IDs
3. Protect LGBTQ+ employees from harassment and wrongful termination
4. Ensure equitable credit lending regardless of gender identity or sexual orientation
5. Disallow adoption discrimination on religious grounds
6. Preserve LGBTQ+ students' privacy and end forced outing laws
7. Teach anti-bullying workshops in schools
8. Allow students to use bathrooms and play on sports teams that align with their gender identity
9. Extend nondiscrimination protections to insurance policies in the state
10. Decriminalize HIV transmission

Learn More:

This edition of OutNEWS was first published on Friday, June 2nd. Get priority access in your inbox when you subscribe.