Lesbian, gay, bisexual, transgender, queer or questioning, intersex, asexual, and more (LGBTQ+) workers

In today’s fast-paced corporate environment, understanding the interplay between strategic leadership, organizational culture, and employee mental health and well-being is critical. As part of an ongoing research program, Economist Impact, with support from Lyra Health, aims to help HR leaders gain a deeper understanding of employee mental health and the effectiveness of employer-led mental health programs.

This effort recognizes that the workforce is not a monolith; it comprises diverse individuals leading vastly different lives and interacting with work in different ways. With this understanding, we aim to assess how the mental health of employees from different demographic groups is shaped by their unique workplace experiences. By combining our own insights with input from expert interviewees and a workshop with senior HR professionals, we identify specific challenges and offer practical solutions for HR departments and company leaders in the United States (US) and beyond. In this profile, we focus on the experiences of LGBTQ+ (lesbian, gay, bisexual, transgender, queer or questioning, intersex, asexual, and more) employees.¹

We would like to thank the following individuals for generously contributing their time and insights:

Amber Bam Cabral, Inclusion Strategist and Founder, Cabral Co.

Daisy Auger-Dominguez, Chief People Officer and Advisor, Auger-Domínguez Ventures, and Member, Harvard Business Review Advisory Council

Maurice Tuiasosopo Bell, Senior Director of Diversity, Equity, Inclusion, and Belonging (DEIB) & People Analytics, Lattice

Stacy Gardner, Global HR Business Partner, Healthcare, North America, EMD Serono, Inc.

Kirsty Devine, Head, US HR & Global Projects, Financial Times

Ruchika T Malhotra, Author, Founder and CEO, Candour LLC

Marina Vassilev, Vice President, Total Rewards & Performance, North America, Schneider Electric

The findings and views expressed in this report do not necessarily reflect the views of the sponsor. Economist Impact bears sole responsibility for the contents of this report. While every effort has been taken to verify the accuracy of this information, Economist Impact cannot accept any responsibility or liability for reliance by any person on this report or any of the information, opinions, or conclusions set out within.

This research was led by Kati Chilikova. The research team consisted of Luiza Navarro, Divya Sharma Nag, Valentina Vos, and Roshni Saleem Chagan. The report was authored by Paul Tucker, and copy edited by Maria Ronald. Latifat Okara oversaw and directed the research program.

LGBTQ+ employees

The LGBTQ+ community represents a significant proportion of the current US population, comprising nearly 14m adults (6% of employees), and is growing rapidly. Partly, this growth is due to increased representation among Gen Z, who are six times more likely than their Gen X counterparts to identify as LGBTQ+.² As Gen Z—projected to constitute 30% of the workforce by 2030—continues to increase its presence in the workplace, employers should further enhance their focus on LGBTQ+ inclusion, including through comprehensive mental health and well-being initiatives that are available to employees of all ages.³

Discrimination and lack of acceptance produce serious consequences and inequities

LGBTQ+ workers in the US frequently encounter unique mental health challenges in the workplace, related to discrimination and a lack of acceptance. A 2023 survey of 25,948 workers from 17 industries in the US revealed that individuals identifying as non-binary, transgender, or gender non-conforming reported feeling that their identities were undervalued and experienced reduced mental and emotional safety at work. They were also less likely to recommend their workplace to peers.⁹ Furthermore, individuals identifying as female, non-binary, transgender, or gender non-conforming reported worse mental health outcomes as compared with their male counterparts.¹⁰ LGBTQ+ discrimination in the workplace often manifests through subtle biases and microaggressions that create an environment of exclusion and marginalization.¹¹ This underscores the need for targeted mental health support and inclusive practices that address the specific needs of LGBTQ+ employees.

Along with women, Gen Z, and BIPOC (Black, Indigenous, and People of Color) workers, LGBTQ+ individuals experience worse mental health outcomes and receive less supportive responses when discussing mental health at work compared to their cisgender, heterosexual white male counterparts.^12.13,14 They also exhibit lower job satisfaction, trust, pride, and intent-to-stay with their employer.^15,16,17 In addition, LGBTQ+ employees report a higher perceived lack of support (38%) than non-LGBTQ+ employees (29%).¹⁸ Furthermore, workplace discrimination remains prevalent, with 22% of respondents observing discrimination in their current workplace, and 15% reporting personal experiences of discrimination.¹⁹ Nearly one-third (28%) of respondents reported having observed slights, insults, or jokes that devalued the identity or negated the thoughts and feelings of others based on their identity or background; 19% of respondents indicated that they had been the targets of such behaviors.²⁰

Solutions must provide safety and support in the long term

Creating a safe and supportive workplace environment where LGBTQ+ employees feel valued and respected is essential for their mental health and well-being. Fostering an inclusive culture, implementing policies that protect against discrimination, and providing access to affirming mental health resources tailored for LGBTQ+ employees is critical not just to employee well-being, but also to organizations’ productivity.^20,21,22 Healthy leadership that employs inclusive language and practices is vital, as is ensuring that LGBTQ+ employees have guaranteed safe spaces.

In addition, support networks and advocacy groups contribute to creating a welcoming and safe workplace environment, which is vital for the overall well-being of LGBTQ+ employees.^24,25 Employee resource groups (ERGs) that bring together workers with shared characteristics play a crucial role in supporting LGBTQ+ individuals by addressing mental health challenges such as loneliness and low self-esteem. By bringing together diverse ERGs, organizations can highlight the intersections among different groups, thereby enhancing overall support and understanding within the workplace, while still acknowledging the unique aspects of each group. “A lot of different identities fall into LGBTQ+,” explains Ms Cabral, “so I think that there’s a worthy necessity in creating some learning programming for people, both self-directed and a bit more formal, so people have the tools to know how to engage responsibly and how to accept correction.”

Family-building benefits must ensure that all employees have access to legal support and affordable medical care for family formation, irrespective of family structure. By providing a platform for LGBTQ+ employees to offer feedback on organizational policies and benefits, companies can identify opportunities for greater inclusivity. This open dialogue fosters a sense of belonging and empowers employees to help create a more inclusive workplace for themselves.

Employers must also recognize efforts to support the mental health of LGBTQ+ workers and other minority groups as a long-term organizational priority. Based on insights from our workshop, the LGBTQ+ community offers significant opportunities for implementing mental health programs, often yielding quicker positive outcomes as compared with those seen in other groups. Establishing an inclusive organizational culture enables employees to express themselves fearlessly, thereby fostering a sense of belonging.