The Broad Impact of State Anti-LGBTQ Legislation

This year in my state of North Carolina and several other states across the country, state legislatures are introducing and passing laws that target LGBTQ (Lesbian, Gay, Bisexual, Transgender, Queer) people. These laws have significant business, community and personal impact, and because of intersectionality, ramifications can be felt far beyond the LGBTQ community.

The vast majority of these laws (link to a list of all these laws) target the transgender community, including prohibiting parents from seeking medical care of their trans children, legislating how doctors can treat trans patients, prohibiting trans teens from participating in sports, and even outlawing drag queens!

Impact on People. Transgender and queer people are now being told by their political leaders that there is something wrong, bad or sick about them. Politicians are declaring that these people are not equal Americans, but instead evil people who are a scourge on society and need to be rooted out. Through their actions, these politicians are telling us transgender people and drag queens harm more people than AK45 assault rifles! This kind of horrible messaging can lead to depression, mental illness and suicide, as well as other citizens targeting them for bullying or even assault and murder.

Impact on the LGBTQ community.  When an entire community is targeted for hateful action by political leaders, it damages the community. It can lead to destructive behavior and mental illness instead of empowering a community to contribute their best to society. It sets up neighbors against each other, causing division and strife in the community.

Economic / business impact. People need to remember the $400 million in lost revenue when North Carolina enacted our anti-transgender anti-gay HB2“ bathroom bill” in 2016. The NBA moved their all-star game out of state and several major companies cancelled or curtailed their financial investments in NC. Over the past few months, I have been told by some company managers and even leaders in one branch of our US military that they are not able to recruit employees or get people to move to states that have these hateful laws out of fear for themselves or their families.

What should we do? Individuals need to show empathy and support for their LGBTQ+ friends and family members impacted by these laws. People need to stop voting for any politician who votes for harmful hateful legislation. And companies and organization need to assure they do not give a single penny to these politicians. Companies absolutely cannot claim to be pro-diversity or LGBTQ supportive and then support such political leaders. It is totally duplicitous. (Read my blog from last April “Companies cannot claim to be LGBTQ+ supportive while contributing to anti-LGBTQ+ legislators”)

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Note: On July 25, I am moderating a panel discussion session titled “The Impact of State LGBTQ Legislation – Policy (Panel)” at the 2023 Raleigh Chamber of Commerce DEI Conference.

Companies cannot claim to be LGBTQ+ supportive while contributing to anti-LGBTQ+ legislators

Walt Disney employees and demonstrators during a rally against the Florida “Don’t Say Gay” bill at Griffith Park in Glendale, California, Alisha Jucevic | Bloomberg | Getty Images

Companies cannot “have their cake and it eat it too” by claiming to be supportive of their LGBTQ+ employees, customers and community, and yet make political contributions to lawmakers who harm and demonize LGBTQ+ people. Companies can no longer straddle the fence; they must choose sides and take a strong stand as anti-LGBTQ proposals are flooding state legislatures at a record pace (link to Bloomberg article.)

The latest high visibility situation in recent news concerns the Disney company. They have long been considered a great supporter of the LGBTQ+ community, but then when the infamous “Don’t Say Gay” law restricting discussion of LGBTQ issues in public schools was voted into law in Florida, Disney at first issued a tepid lukewarm statement about the proposed legislation while donating money to politicians who were voting for it.

About a hundred employees at Disney staged a walk out in protest, and I was in full support of their action. An organization simply cannot claim they support a community, yet provide money to those people who are seeking to harm that community. Disney’s CEO has since come out with a much stronger statement against this harmful bill which basically denies the existence and legitimacy of LGBTQ+ families, and has pledged to no longer fund politicians who legislate harm and hatred of LGBTQ+ people.

Disney has their annual “gay day” at their theme parks, but do they really stand with us, or just want our money? Photo from Shaul Schwarz for TIME

It is a common practice (yet a very bad idea) for companies to make political contributions. The concept is to support and try to elect legislators who will pass laws that will benefit your business so you can make more profit. But far too often, this places profitability over stated values and principals, and compromises integrity. And the LGBTQ+ community is not going to quietly sit by while companies throw us empty words of so-called support while giving money to those who harm us.

Two final thoughts

First, kudos to my former employer IBM. They are one of the very few large companies that has never made political contributions. (Read their governance statement about this.)

Second, the Human Rights Campaign (HRC) which annually measures and scores companies’ LGBTQ+ support through their corporate equality index (CEI), needs to take a much more rigorous look at this. So many companies are now scoring 100% on the HRC scorecard, but I think much of it is empty words and platitudes instead of real action. HRC does have a practice of deducting 25 points from the rating of any company that does harmful things against the LGBTQ+ community, and now they need to uncover any company that contributes money to lawmakers who vote for anti-LGBTQ laws smack them with a “minus 25.” HRC, are you listening?

The LGBTQ+ community and our allies must continue to speak out loudly against any company that contributes money to politicians who harm us, including boycotts and walkouts, until this arcane harmful practice ends.