In the mid-1990s, Denny’s faced class-action lawsuits that accused the company of discriminatory actions. The family-dining leader agreed to pay more than $54 million to settle lawsuits filed by thousands of black customers who claimed they were refused service or forced to wait longer or pay more than white guests. At the time, Deval L. Patrick, head of the civil rights division of the Justice Department called it the largest and broadest settlement under the Federal public-accommodation laws. In all, more than 4,300 claims were filed. The story catapulted Denny’s to the forefront of a growing conversation over racial issues in the workplace. In 1995, it formed a diversity team and implemented new training practices. It also made a concerted effort to recruit minority employees and empower voices up and down the corporate ladder. By 2000, Denny’s earned the top ranking in Fortune’s “America’s 50 Best Companies for Minorities.” It fronted the list the following year, too. Today, diversity remains a top-flight issue across the country for companies of all sizes—heightened to hyper levels by headline events, like the deaths of George Floyd and Breonna Taylor, and the Black Lives Matter movement. While diversity and inclusion initiatives represent relatively recent practices for some companies, Denny’s has been at it for decades. Rather than just put the 1990s incident behind it, the company shifted focus entirely.

About two-thirds of Denny’s present workforce is made up of minority groups, including half of restaurant management-level employees. The company’s board consists of 44 percent of minorities and 33 percent women. Additionally, Denny’s has spent more than $2 billion with diverse and disadvantaged suppliers since it introduced a Supplier Diversity Program in 1993. Last year, diverse and disadvantaged businesses represented 14.1 percent of Denny’s total purchases. Michelle Hunt, a 25-year Denny’s vet, serves as Denny’s director of supplier diversity. April Kelly-Drummond, head of diversity, equality, inclusion, and multicultural engagement, who has also been with Denny’s for more than 25 years, and Fasika Melaku, VP of learning and development, chatted with FSR about Denny’s efforts on the inclusion topic, why they’re critical today, and how the company can continue to make progress. After the class action lawsuit of the 90s, what steps did Denny’s take to improve diversity, equity, and inclusion efforts? – Source: fsrmagazine.