The Inclusion Gap at the Heart of Healthcare’s Retention Problem

Leadership visibility, inclusive practices and safe workplaces are key to stopping healthcare’s growing talent drain.

An illustration of three workers holding up a red flag on a cliffside
Inclusive leadership isn’t a luxury, it’s essential to retaining the next generation of healthcare workers. Unsplash+

The end of another Pride Month offers a reminder of how far LGBTQ+ visibility has come, and how much farther it still needs to go. While healthcare has made meaningful strides toward inclusion, many workplaces still fall short in creating environments where all professionals feel truly seen, supported and safe. Openly LGBTQ+ executives often experience the dual reality of visibility’s power and the persistent uncertainty of whether they entirely belong. This tension between progress and prevailing gaps underscores why leadership representation matters; it shapes who feels welcome and who chooses to stay. 

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The next generation is watching. They’re not just evaluating leadership; they’re assessing authenticity. Do leaders reflect their values? Do they create space for a diversity of identities? Do their actions align with their words? If healthcare leaders want to attract, retain and inspire the next generation of healthcare professionals, they need to answer with a resounding yes.

Visibility isn’t vanity—it’s vital

LGBTQ+ healthcare leaders don’t seek their positions because they want to be “the first” or “the only,” but their visibility matters. For younger LGBTQ+ professionals, seeing representation in senior leadership helps affirm that they, too, belong in the workplace. Representation is not performative or political—it’s personal. And it sends a powerful signal to employees: you are welcome here. That message is particularly resonant with today’s rising workforce. 

Press Ganey’s latest healthcare employee experience data shows that inclusive cultures drive engagement, performance and retention. For LGBTQ+ employees, inclusion must be woven into everyday practice, not just reserved for public statements or celebratory months. Authenticity isn’t optional in leadership. It’s how trust is built, cultures are shaped and teams thrive. When leaders are open about who they are—what they value, what they’ve lived through and what they stand for—they create a ripple effect that invites others to do the same.

Gen Z is setting a new standard, and that’s a good thing

According to Press Ganey’s data, Gen Z healthcare professionals are leaving the workforce at the highest rate, 38 percent compared to 22 percent among millennials. This gap highlights a shift in expectations, including improved equity in their organizations. Research from Ernst & Young shows that LGBTQ+ inclusion is one key driver: nearly 40 percent of Gen Z LGBTQ+ employees say they’ve left a job because the culture wasn’t welcoming, significantly higher than any other generation. Gen Z workers are deeply mission-driven, but they will not stay in environments that ask them to choose between their well-being and their work. They expect more from leadership: greater authenticity, deeper inclusion and more meaningful follow-through.

They’re right to expect it, and to ask that healthcare live up to its stated values. The Bureau of Labor Statistics projects that Gen Z will make up 30 percent of the workforce by 2030. Healthcare organizations that fail to realize that much of Gen Z is unwilling to compromise their values for employment risk losing a crucial pipeline of future talent. 

Across all generations, research shows that employers’ attitudes toward trust, belonging, respect and safety are the greatest drivers of employee engagement and retention. This isn’t surprising; when employees feel valued by their colleagues and leaders, they contribute to a safer, harmonious work environment. 

Four ways to build a healthcare culture where everyone can thrive

Creating an inclusive, affirming workplace takes more than good intentions. Healthcare leaders need to take essential steps to ensure LGBTQ+ and underrepresented healthcare workers are seen and supported. These aren’t suggested guidelines; they’re tangible actions that can yield improved retention. 

A daily commitment to inclusion and belonging

A sense of belonging must go beyond a healthcare organization’s mission statement and be infused in every aspect of employee experience. A recent study found that nurses in hospitals with high LGBTQ+ inclusion reported lower burnout, reduced job dissatisfaction, better care quality and a greater willingness to recommend their hospitals. Leaders can double down on their commitments by creating open feedback channels for LGBTQ+ employees to express how their organization can best support them. Showing, not telling, how this feedback will shape policy and practice will create critical trust between employees and their organization. 

Strong, supportive leadership

The manager-employee relationship remains critical. Direct supervisors who fail to foster safety and trust can cost staff and patients alike. Healthcare leaders must give their managers the resources to build strong teams: investment in team development, professional development opportunities and an always-on feedback loop. This provides all employees, but especially historically marginalized groups, the space to foster necessary trust with their teams. 

Safe and educational workshops  

Healthcare leaders can’t assume their entire staff understands the nuances of contributing to an inclusive work environment. For marginalized groups, this education is a matter of safety. Nearly 30 percent of LGBTQ+ employees have experienced verbal harassment at work because of their sexual orientation or gender identity. Regular, research-informed inclusivity training gives all employees an opportunity to build cultural competence and ensure colleagues from all sexual orientations and gender identities are safe and respected. 

Career development from day one

LGBTQ+ professionals face well-documented barriers to advancement. One in five LGBTQ employees reported not being promoted because of their sexual orientation or gender identity at some point in their lives, and 42 percent say that their identity has hindered their professional advancement. Organizations need to implement clear, visible pathways for growth to support retention and ensure opportunities are accessible for all. This goes hand in hand with ensuring these commitments are visible in every fabric of your organization. When LGBTQ+ employees feel their potential is recognized and their career progression is supported, they are more likely to invest in the organization long-term. 

What healthcare needs now

The future of healthcare won’t be built by people who all look, love or lead the same way. It will be shaped by those bold enough to challenge the status quo and compassionate enough to bring others with them. Every healthcare leader should ask themselves: Are we creating environments where LGBTQ+ employees—and all employees—can thrive? If the answer isn’t a clear yes, there’s work to do. And if it is, there’s a responsibility to keep pushing forward. 

The Inclusion Gap at the Heart of Healthcare’s Retention Problem