“My attitude is that gays and lesbians should have access and opportunity the same way everybody else does, in every institution and walk of life,” Obama said, noting that the Boy Scouts provides young people opportunities and leadership and that “nobody should be barred from that.”

Boy Scouts to Lift Gay Ban?

Corporate pressure from companies such as Ernst & Young, AT&T and Merck & Co. certainly contributed to the Boy Scouts of America’s apparent decision to end its ban on gay scouts and troop leaders, with a formal announcement expected as early as next week. The new policy would leave membership decisions up to the Boy Scouts’ 290 local councils and 116,000 sponsors, which are comprised of religious and civic groups.

“The Boy Scouts of America have heard from scouts, corporations and millions of Americans that discriminating against gay scouts and scout leaders is wrong,” said Herndon Graddick, President of GLAAD, an advocacy group for LGBTs. “Scouting is a valuable institution, and this change will only strengthen its core principles of fairness and respect.”

“Last year Scouting realized the policy caused some volunteers and chartered organizations … to act in conflict with their missions, principles or religious beliefs,” said Boy Scouts of America spokesperson Deron Smith. “It’s important to note this policy would not require any chartered organization to act in ways inconsistent with that organization’s mission, principles or religious beliefs.”

Change of Heart?

However, many news sources say the Boy Scouts’ sudden reversal is less about conflicting missions—after all, the policy had been in place since before the Supreme Court upheld its constitutionality in 2000—and more about societal pressure to shift toward more inclusive practices.

The announcement comes just seven months after Boy Scouts of America was slammed nationally for reaffirming its anti-gay membership policy after nearly two years of examination, and just one month after Merck & Co ended its funding to the Boy Scouts.

In addition to continual chiding from the public, Boy Scouts of America evoked strong reactions from senior executives and other diversity leaders at top corporations—in particular, Ernst & Young Chairman and CEO Jim Turley and AT&T Chairman, CEO and President Randall Stephenson, who are both BSA board members. Turley very publicly urged the Boy Scouts to reconsider the policy to better reflect the times; the Girl Scouts, 4-H clubs and the U.S. military all have policies of inclusion.

“I support the meaningful work of the Boy Scouts in preparing young people for adventure, leadership, learning and service. However, the membership policy is not one I would personally endorse,” Turley said last June. “As I have done in leading Ernst & Young to being a most inclusive organization, I intend to continue to work from within the BSA board to actively encourage dialogue and sustainable progress.”

Ernst & Young is No. 6 in the DiversityInc Top 50 and No. 4 in The DiversityInc Top 10 Companies for LGBT Employees. AT&T is No. 4 in the DiversityInc Top 50 and No. 8 in The DiversityInc Top 10 Companies for LGBT Employees. Merck & Co. is No. 16 in the DiversityInc Top 50. All three companies have a 100 percent rating on the Corporate Equality Index from the Human Rights Campaign, which designates those organizations demonstrating workplace equality for LGBT employees.

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The announcement, made by Merck Foundation Executive Vice President Brian Grill, is an affirmation of the company’s core value of inclusion. Merck & Co. is No. 16 in the 2012 DiversityInc Top 50.

“We cannot continue to provide support to an organization with a policy that is contrary to one of our core beliefs. We remain ready and willing to re-consider our funding position in the event that the BSA were to revise its policy,” Grill said in a statement. “We’re confident that this decision is aligned with our high ethical giving standards and strong core beliefs, and reinforces our long-standing commitment to policies that prevent against discrimination.”

The company also plans to review its other funding decisions for 2013 and will evaluate whether those contributions align with the company’s policies and ethical beliefs.

Records show that in 2011, Merck gave $30,000 to the Boy Scouts of America and $10,000 to the Cradle of Liberty Council, which governs troops in the Philadelphia area, where Merck Chairman, President and CEO Kenneth Frazier grew up.

LGBT Discrimination & Boy Scouts

The Boy Scouts’ gay ban, which prohibits LGBT people from participating in the organization as leaders and scouts, has been in place for more than a decade. In June, the BSA was slammed by LGBT supporters when it failed to make any revisions to its anti-gay ban and refused to allow Jennifer Tyrrell, a lesbian, to resume leadership of her troop.

Other corporations have suspended funding to the BSA as well. Additionally, two Boy Scouts board members have spoken out on the issue: Ernst & Young (No. 6 in the DiversityInc Top 50) Chairman and CEO Jim Turley became the first board member and corporate leader to publicly urge the BSA to change its policy, and AT&T (No. 4) Chairman, President and CEO Randall Stephenson also issued a public statement promoting diversity and inclusion. Both companies earned 100 percent scores on the Human Rights Campaign’s Corporate Equality Index.

Ernst & Young, No. 4 in The DiversityInc Top 10 Companies for LGBT Employees, and Turley in particular have been very visible supporters of diversity and inclusion.  Turley spoke at a DiversityInc event, for example, about his public pronouncement for the rights of women in Saudi Arabia, and he served as keynote for the Committee for Economic Development’s release of its “How More Women on Corporate Boards Would Make America and American Companies More Competitive” report.

Stephenson also spoke at a DiversityInc event, discussing the need for cultural diversity in education and corporations’ responsibility to build diverse talent pipelines among talented youth. AT&T is No. 8 in The DiversityInc Top 10 Companies for LGBT Employees.

Also read:

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Diversity Wins: Demographic, Psychographic Shifts Decided Election

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LGBT Pride Facts & Figures

Ask DiversityInc: How Can Corporations Support Same-Sex Marriage?

Safe LGBT Spaces: What Schools Can Learn From Resource Groups

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Both companies are long-time diversity and inclusion leaders; Ernst & Young is No. 6 on The 2012 DiversityInc Top 50 Companies for Diversity list and No. 4 in The DiversityInc Top 10 Companies for LGBT Employees. AT&T is No. 4 in the DiversityInc Top 50 and No. 8 in The DiversityInc Top 10 Companies for LGBT Employees. Both companies have a 100 percent rating on workplace equality for LGBT people from the Human Rights Campaign.

Boy Scouts & Gay Issues 

While undeniably a great American institution for youth development, the Boy Scouts have battled the issue of gay scoutmasters and volunteer leaders, as well as openly gay scouts, for more than a decade.

Last summer, the scouts announced they would review a resolution that would allow individual chapters to decide whether to accept gay and lesbian adult leaders, in response to an issue surfaced when Jennifer Tyrrell, a lesbian mother in Ohio, was ousted as a den mother. Petitions circulated on her behalf.

Turley’s public statement was the first by a board member and a corporate leader and is demonstrable of the public stands he has taken to support diversity and inclusion. Turley spoke at DiversityInc’s event last year about his public pronouncement for the rights of women in Saudi Arabia, for example.

In his announcement on the scouts, he said: “I support the meaningful work of the Boy Scouts in preparing young people for adventure, leadership, learning and service; however, the membership policy is not one I would personally endorse. As I have done in leading Ernst & Young to being a most inclusive organization, I intend to continue to work from within the BSA Board to actively encourage dialogue and sustainable progress.”

Stephenson did not go as far as Turley, but he stressed the importance of diversity and inclusion, saying they “are part of AT&T’s culture and operations, and we’re proud to be recognized as a leader in this area. We don’t agree with every policy of every organization we support, nor would we expect them to agree with us on everything. Our belief is that change at any organization must come from within to be successful and sustainable.”

Why Diversity Leadership Makes a Difference

These two CEOs are examples of the type of real diversity leadership that moves corporate policies and changes external organizations. DiversityInc’s  interviews with CEOs from several companies show their CEOs are publicly supportive of diversity management and efforts to create workforces that clearly are inclusive. They also hold executives accountable directly for diversity-management results that benefit the business, a best practice emphasized in our recent diversity web seminar on CEO commitment.

Externally, they take a very visible and proactive stance to support diversity and inclusion. Both Turley and Stephenson are examples of the type of leadership that changes an organization and changes American and global culture.

–Barbara Frankel

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