Newsletter: Beyond the Rainbow: What This Year’s Quieter Pride Tells Us About Culture
- Eloise Parent
- Jun 23
- 4 min read
This Pride Month felt different. Quieter. Fewer rainbows. Less branding. If you noticed the shift, you’re not alone—many companies scaled back or dropped their usual Pride campaigns altogether. Some did so deliberately, distancing themselves from what’s increasingly seen as performative “rainbow washing.” Others were cautious, responding to political pressure, rising polarization, and fears of reputational blowback.
But this moment isn’t just about what companies didn’t do. It’s about what we’re learning in their silence.
In this issue of The Morning Cap, we examine how this shift is transforming the way organizations interact with LGBTQ+ communities within their workplaces, portfolios, and ecosystems. When the marketing fades, what values remain?
What the Numbers Are Telling Us
There’s been a clear pullback in public-facing Pride support this year. Companies that once filled June with rainbow logos and curated campaigns are going quiet—betting, perhaps, that staying neutral is safer than staying visible. For years, brands were called out for “rainbow washing”—rolling out performative LGBTQ+ marketing in June, only to disappear by July. This year, many skipped even the appearance of support. (Forbes, 2025)
According to recent research, 39% of corporations are reducing their external Pride engagement this year—up sharply from just 9% last year—citing political backlash and economic uncertainties. The financial impact is tangible: major U.S. cities, such as New York, San Francisco, and Kansas City, have reported Pride sponsorship shortfalls ranging from $200,000 to $750,000. Brands like PepsiCo, Comcast, Citi, Mastercard, and Anheuser-Busch have officially pulled back and globally, the trend echoes—only one publicly listed company in Ireland showed their support and adopted rainbow branding in early June. (The Times, 2025)
This moment marks more than a marketing recalibration—it’s a cultural crossroads. As splashy campaigns fade and hashtags disappear, the crucial question becomes: When the logos vanish, what remains in their place? Are inclusive values woven into your everyday operations—from hiring, promotions, and benefits to how teams collaborate and are heard? Or was Pride just another signature campaign?
🏳️🌈 Why Pride Still Impacts Your Culture and Team Performance
Roughly 1 in 5 Gen Z adults in Canada and the U.S. identify as LGBTQ+. In many workplaces, that means 1 in 4 employees under 30. These are future managers, creative thinkers, emerging leaders—and how they experience the organizational culture shapes your entire organization.
When people feel safe and valued, they contribute more, collaborate better, and stay longer. According to Deloitte, organizations perceived as inclusive report:
Up to 80% higher employee engagement
Nearly 3x the likelihood of being high-performing
LGBTQ+ employees who are not afraid to share their sexual orientation at work also report higher levels of job satisfaction, trust in leadership, and retention. But when inclusion is treated as seasonal—or conditional—it erodes trust. Employees start to wonder: Do I really belong here?
The best-performing cultures don’t rely on big campaigns. They create day-to-day environments where no one has to second-guess their place. Pride is just one reminder of that deeper commitment—and while the rainbows may fade from logos, the real work of inclusion continues all year long.
The State of Queer Entrepreneurship in Canada
Canada is home to over 100,000 2SLGBTQI+-owned businesses. These businesses generate over $22 billion in economic activity and employ over 435,000 Canadians.
Yet despite this economic footprint, in 2024 only 0.5% of venture capital funding was allocated to 2SLGBTQI+ owned businesses—an underinvestment that highlights ongoing systemic barriers in accessing capital and resources. Queer-led startups often face funding disparities driven by biases in investor decision-making, limited access to networks, and a lack of support.
Despite these challenges, momentum is building. In fact, the current pullback by large brands could be an unexpected advantage. As Bloomberg noted this week, the quieter corporate presence during Pride may create space for queer founders to lead with more authenticity, values, and community trust—rather than relying on performative validation (Bloomberg, 2025).
Inclusion is more than a marketing opportunity or an annual event—it’s a strategic imperative. Leading companies embed LGBTQ+ inclusion across every level of their business—from recruitment and leadership development to benefits design, supplier diversity, and inclusive investment decisions.
If your organization isn’t actively integrating inclusion into these core areas, now is the time to act. Commit to:
Designing policies (think inclusive parental leave) and benefits (think fertility treatments) that reflect diverse needs.
Building partnerships and invest in queer entrepreneurs, suppliers, and communities.
Measuring inclusion beyond surface-level indicators and holding teams accountable for real progress.
Creating truly inclusive environments requires ongoing dedication and transparency. Whether or not your company changes logos or hosts Pride events, the real test is how inclusion is woven into everyday culture and operations. At Cap Inclusive, we help organizations design policies and practices that drive lasting change and retention.
Ready to make inclusion a performance driver in your workplace and portfolio?
Reach out to Roxanne at roxanne@capinclusive.com
Here’s what we’ve been talking about lately:
The FemTech Breakfast Club: We recently announced Granville Biomedical as the Vancouver FBC Winner - Check it out!
Join us at this upcoming event, a pitch competition that brings together and educates us about the women’s health industry.
Femtech Breakfast Club Montreal @ Scotiabank’s office, July 8, 2025 - Learn more
This is an invite-only event. If you're interested in attending, we would love to see you there. Send an email to eloise@capinclusive.com to ask for a free ticket.
