Why Diversity, Equity, Inclusion, Acceptance, and Belonging Must Remain Central to Credit Unions

In a world that grows more interconnected every day, the role of credit unions in fostering diversity, equity, inclusion, acceptance, and belonging (DEIAB) is not just a moral imperative—it’s a strategic necessity. As financial cooperatives built on the principle of “people helping people,” credit unions have long championed the values of community and accessibility. However, these efforts are only impactful if they explicitly and intentionally include underserved populations--immigrants, minorities, people with disabilities, LGBTQ+, and the like--who face systemic barriers to financial inclusion.

As societal attitudes and economic landscapes shift, the urgency of DEIAB has grown. Yet, some organizations have begun to retreat from these commitments, citing budget constraints, "DEI fatigue," or political pressures. For credit unions, however, the commitment to DEIAB cannot waver. It is essential not only for fulfilling our purpose but for securing our future as trusted financial institutions.

Historical Perspective: How DEI Became a Business Imperative

The modern DEI movement has deep roots in the fight for civil rights and social justice. In the 1960s, legislation such as the Civil Rights Act of 1964 laid the foundation for promoting equality in workplaces and public spaces. In the decades that followed, the conversation around diversity expanded beyond legal compliance to include equity and inclusion as proactive strategies for improving workplaces and communities.

The early 2000s brought a wave of globalization and demographic shifts, forcing organizations to adapt to increasingly diverse markets and workforces. DEI moved from a compliance issue to a business strategy as research demonstrated that diverse teams outperformed homogeneous ones, leading to better decision-making and innovation.

The murder of George Floyd in 2020 served as a tipping point, amplifying calls for systemic change. Organizations across industries pledged to advance racial equity, invest in underserved communities, and reimagine what it means to be inclusive. For credit unions, this moment was a reminder of their founding mission: to serve the underserved and provide equitable access to financial resources.

The Current Backlash: Why Some Companies Are Moving Away From DEI

In recent years, the DEI movement has faced growing resistance. Some companies cite a lack of measurable results, while others blame divisiveness or political controversies. The rise of terms like "DEI fatigue" reflects the frustration felt by organizations and individuals who view these efforts as burdensome or ineffectual.

But stepping away from DEI is a short-sighted and harmful reaction. Research consistently shows that diversity and inclusion are not just "nice to have" initiatives—they are critical drivers of long-term success. For credit unions, turning away from DEI would mean turning away from the very communities they exist to serve. Immigrant and minority populations often face systemic barriers to financial inclusion, and credit unions have historically provided a lifeline. Abandoning DEI efforts would erode trust, undermine their mission, and weaken their ability to empower members economically.

Redefining DEI: A Holistic Approach

For DEI efforts to thrive, they must evolve. Today, many organizations are broadening their frameworks to include Acceptance and Belonging. While diversity focuses on representation, equity addresses fairness, and inclusion ensures participation, acceptance and belonging take these principles further. They emphasize creating spaces where people feel valued and respected for who they are, rather than simply being accommodated.

Here’s how these concepts work together:

• Diversity: Representation of different identities, experiences, and perspectives at all levels.
• Equity: Ensuring fair access to resources and opportunities by addressing systemic inequities.
• Inclusion: Actively involving diverse voices in decision-making processes.
• Acceptance: Embracing differences and fostering mutual respect.
• Belonging: Building environments where people feel they truly matter and are an integral part of the community.

Credit unions, with their member-driven ethos, are uniquely positioned to lead in this space. By redefining DEI as DEIAB, they can deepen their commitment to the values that have always set them apart.

Embedding Inclusivity into Daily Operations

For credit unions, DEIAB cannot be a standalone initiative or a series of one-off events. It must be a guiding principle, integrated into every aspect of operations. Here are concrete ways to achieve this:

1. Purpose-Driven Outreach

Credit unions must actively engage with immigrant and minority communities to build trust and offer services tailored to their needs. Partnering with local organizations, schools, and community leaders can help break down barriers and create opportunities for financial literacy. Programs focused on understanding credit, building savings, and navigating homeownership can have a transformative impact.

2. Culturally Competent Services

Training staff to be culturally competent is critical. Immigrant and minority populations often face unique challenges, such as language barriers, distrust of financial institutions, or unfamiliarity with traditional banking systems. Ensuring that staff can communicate effectively and empathetically with members from diverse backgrounds is essential to building trust and lasting relationships.

3. Inclusive Product Design

Credit unions can develop financial products that meet the specific needs of underserved populations. For example, microloans for immigrant entrepreneurs, low-barrier checking accounts, and remittance services for families sending money abroad can help members achieve their goals and improve their quality of life.

4. Equitable Hiring and Leadership

Representation matters. Credit unions should strive to build a workforce that reflects the communities they serve, ensuring that diverse voices are present at every level, including leadership. Mentorship programs and career development initiatives can help underrepresented employees advance and thrive.

5. Community Engagement

Listening to members is one of the simplest yet most effective ways to foster inclusivity. Regular surveys, town halls, and focus groups can provide valuable insights into the needs and concerns of immigrant and minority members. Incorporating this feedback into policies and practices shows that the organization is truly committed to serving everyone.

DEIAB as a Competitive Advantage

At a time when public trust in financial institutions is declining, credit unions have a unique opportunity to stand out. By doubling down on DEIAB, they can strengthen their relationships with members, attract new audiences, and reinforce their role as community anchors. Research shows that organizations prioritizing DEI experience higher employee engagement, member satisfaction, and financial performance.

For example, a 2021 McKinsey report found that companies in the top quartile for diversity were 36% more likely to outperform their peers in profitability. For credit unions, the message is clear: inclusivity isn’t just the right thing to do—it’s also smart business.

The Call to Action: A Shared Responsibility

As the nation becomes more diverse, credit unions face a profound responsibility to ensure that all communities have equitable access to financial resources. This isn’t about checking a box or following a trend—it’s about staying true to the mission of economic empowerment for all.

To lead the way, credit unions must champion policies and practices that ensure every individual—regardless of race, ethnicity, immigration status, or background—has the tools they need to succeed. The question isn’t whether credit unions should support DEIAB, but how they can do so more effectively.

Let us remember: the strength of credit unions has always been rooted in their ability to bring people together. By creating spaces of acceptance and belonging, credit unions can help build stronger, more inclusive communities—and that benefits everyone.