“Dei!” — that one word can mean a lot here.

We, Malaysians say “dei” to call our friends. The corporate world says “DEI” to call out their values. Globally, DEI is a framework and stands for Diversity, Equity, and Inclusion — it shapes how companies are judged, trusted, and valued.

Same sound, different impact — but maybe not as far apart as we think.

So here’s the question: Is DEI just for Western firms, or does it hold weight in Malaysian business too?

1. What Exactly is DEI?

• Diversity → Who’s in the room (different genders, ages, ethnicities, backgrounds).
• Equity → Making sure everyone has a fair chance (not lowering the bar but helping people reach it).
• Inclusion → Ensuring every voice is heard, respected, and able to contribute fully.

Put simply: diversity is numbers, equity is fairness, inclusion is culture. Globally, DEI is no longer seen as HR jargon. It’s become a business strategy linked to innovation, productivity, and even market performance.

2. Is DEI Required in Malaysia?

What Bursa Malaysia Requires (So Far)

• Since 2015, all public-listed companies (PLCs) must disclose their board diversity policies (gender, age, ethnicity) in annual reports (Bursa circular via PwC).
• Since June 2023, every PLC must have at least one woman director on the board (Bursa Malaysia media release; Securities Commission Malaysia).
• In 2024, Bursa’s chairman proposed making workforce diversity disclosures part of sustainability reporting, though this is not yet mandatory (NST).

Important: Currently, Bursa’s rules emphasise board diversity. Equity and inclusion are encouraged under ESG best practices but are not legally required.

For Non-Listed Companies

• SMEs and private firms don’t have diversity mandates.
• But many clients, investors, and employees now look for ESG credentials, where DEI plays a role under the “Social” pillar.

So while DEI itself isn’t a legal requirement in Malaysia, diversity has entered the governance agenda, and expectations are rising.

‍
3. Global vs. Local: How Does Malaysia Compare?

• Globally: In the US and Europe, companies face stronger scrutiny. DEI policies are tied to ESG ratings, investor confidence, and even procurement opportunities.
• Malaysia: We're catching up. Diversity — especially gender — is being regulated and reported on. But equity and inclusion? Still voluntary, and very much dependent on each company’s culture and commitment.
• Local Reality: Even without strict laws, Malaysians live DEI daily — multi-ethnic teams, festive open houses, diverse food culture at work. The gap? Turning this spirit into structured, measurable business practices.

4. Why Should Malaysian Businesses Care?

Even if you’re not listed on Bursa, here’s why DEI matters:

• Investor & client expectations → Global partners often ask about ESG, and DEI is part of the “S” pillar.
• Talent retention → Younger employees care about inclusion. If they don’t feel seen, they leave.
• Innovation & growth → Diverse teams may debate more, but they deliver stronger solutions.
• Brand & reputation → Businesses that reflect Malaysia’s diversity are more relatable, more trusted, and more future-ready.

Put simply: DEI isn’t charity. It’s strategy.

5. Do We Need to Talk About This?

Some business owners might ask: “We’re already diverse in Malaysia. Why bring DEI into it?” Answer: Because representation isn’t the same as inclusion.

• Diversity alone is numbers.
• Inclusion is making those numbers meaningful.
• Equity is levelling the playing field so no talent goes to waste.

Malaysia’s strength is its diversity. DEI ensures that strength becomes a business advantage — not just a coincidence.‍‍

‍6. Light, Business, Hope

As this season of Deepavali reminds us, light only shines when it touches everyone.
In business, the same is true — opportunities should reach every voice, every talent, every corner of the organisation.

Bursa has already placed diversity on the governance agenda. Equity and inclusion are not yet mandated — but they’re the natural next step for businesses that want to lead.

And here’s the thing — DEI isn’t separate from ESG. It’s already built into the “Social” pillar, shaping how companies are evaluated, trusted, and sustained. When diversity, equity, and inclusion go beyond side projects, they become signals of stronger governance, greater innovation, and long-term resilience.

At SHIFT by Sunview, we help organisations turn those signals into strategy. We guide companies to embed ESG and DEI into their business models — not just talk about them — so they’re aligned with investor expectations, ready for regulatory shifts, and grounded in Malaysia’s reality.

‍

‍

‍