Why Ignoring Neurodiversity Is a Major Business Risk

In 2022, an Arizona Subway franchisee learned an expensive lesson about neurodiversity: they paid $30,000 to settle allegations that they failed to accommodate a newly hired employee with autism and ADHD. The employee had requested specific task instructions, redirection, and follow-up—simple accommodations that would have cost virtually nothing to implement. Instead, the company fired him after just four shifts, triggering an EEOC lawsuit that could have been easily avoided.

This isn't an isolated incident. It's part of a growing tsunami of legal action that's hitting organizations across every sector, and the costs are escalating rapidly.

A Dangerous Gap

We're witnessing a collision of awareness and ignorance that's creating unprecedented legal risk. More people than ever are recognizing their neurodivergent traits—autism diagnoses have increased 787% over the past two decades, while prescriptions for medication to treat ADHD jumped 800%. Among Gen Z, a remarkable more-than-half consider themselves in some way neurodiverse, with many embracing these differences as part of their identity rather than hiding them.

However, workplace education and inclusion practices haven't kept pace. Most organizations are still operating with outdated assumptions about how brains work, while employees are increasingly confident about their rights and willing to challenge discrimination. This creates a dangerous gap: empowered, aware employees entering workplaces led by managers who lack the knowledge to support them effectively.

Lawsuits Are Exploding

The numbers tell a stark story. Employment tribunals alleging neurodiversity discrimination rose by a third, and legal experts report the trend has only accelerated since then. The EEOC filed 110 lawsuits challenging employment discrimination in fiscal year 2024, with neurodiversity-related cases representing a growing segment. Twenty percent of neurodivergent workers have experienced discrimination or harassment at work, creating a vast pool of potential plaintiffs who are increasingly willing to seek legal redress.

Recent corporate casualties paint a sobering picture. A Honda dealership paid $100,000 to settle claims after discharging an employee who disclosed she had ADHD and was taking medication under medical supervision. Party City Corporation agreed to pay $155,000 to settle a lawsuit involving a job applicant on the autism spectrum who required a job coach as a reasonable accommodation. During the interview, the hiring manager made disparaging comments and stated that Party City had "bad experiences" with applicants requiring job coaches.

Such incidents don’t just cost settlement dollars. They risk, of course, also causing PR damage to  employer brands, signaling to top talent that an organization isn't a place where different brains are valued.

The Real Damage

The direct financial impact of these lawsuits represents just the tip of the iceberg. Legal fees, settlement costs, and management time diverted from core business activities create immediate operational disruption. But the deeper costs are far more insidious.

Research shows that 65% of neurodivergent employees fear discrimination from management, leading to a reluctance to disclose their conditions or request necessary accommodations. This fear creates a cascade of problems: 33% of neurodivergent employees report negative impact on their mental wellbeing, while 21% report negative impact on job performance.

When talented employees feel they must "mask" their natural thinking styles to avoid discrimination, organizations lose access to the very cognitive diversity that drives innovation and problem-solving. The widespread ignorance about neurodiversity causes neurodivergent people to feel misunderstood and marginalized at work, compromising their comfort, productivity, and the collaborative potential of their teams.

Why Teams Underperform

Most companies are hemorrhaging potential without realizing it. Organizations miss out on the full potential of their people—simply because they don't know how different brains work. Research from Uptimize and the CIPD found that just 51% of managers appreciated the value of neurodiversity, and worse still, only 46% felt capable and confident to support neurodivergent individuals in the workplace.

This management gap creates friction instead of synergy. Meetings become ineffective when different communication styles aren't understood. Projects suffer when diverse thinking approaches aren't properly leveraged. Teams underperform when members feel they can't bring their authentic selves to work.

Employment solicitors are seeing an exponential increase in neurodiversity discrimination claims involving employees with ADHD and autism, often arising from disciplinary proceedings against employees who have had "meltdowns" or "outbursts"—situations that could have been prevented with proper understanding and accommodation.

The Business Case Is Clear

Here's what forward-thinking organizations understand: neurodiversity isn't a burden to accommodate. Research by Forbes showed that diverse teams delivered 60% better results.

In organizations that have implemented neuroinclusive policies, 63% of employees report positive impact on wellbeing and 43% report positive impact on performance.

The talent pool reality is compelling, too. About 15 to 20 percent of the population is neurodivergent, yet a disproportionate number may be unemployed or under-employed. Organizations that tap into this talent reservoir gain access to individuals who often excel in high-demand areas like technology, analysis, and creative problem-solving.

Act Now or Pay Later

Organizations that act now can transform potential legal liability into competitive advantage. This means training managers to recognize and support different thinking styles, auditing hiring practices for unintentional barriers, and creating clear accommodation policies. Most importantly, it means building a culture where cognitive diversity is seen as a strategic asset, not a compliance checkbox.

The choice is stark: embrace neurodiversity as a driver of team performance and innovation, or prepare to pay the escalating costs of discrimination lawsuits, talent exodus, and missed opportunities. The organizations that thrive in the next decade will be those that unlock the power of every brain on their team.

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Schedule a call with the Uptimize team today to discuss how neuroinclusion fits into your organization’s culture, inclusion and belonging initiatives.