Why boomers are turning their backs on some of Australia's largest companies

Australia's baby boomers are using their spending power to boycott companies that virtue signal their support for trendy political causes, a new report has found.

The Centre for Independent Studies, a conservative think tank, said corporations pushing the 'diversity, equity and inclusivity' agenda were in fact more likely to lose customers than attract new ones.

'This suggests that when they are advocating for controversial issues, businesses might lose investors, employees and customers rather than attract them,' it said in a new report, 'Business Means Business. Why Corporates Should Avoid Social Activism'.

Baby boomers - those born between 1946 to 1964 - were very reluctant to back companies pushing progressive political causes, with 72 per cent of customers, employees and shareholders of this older generation declaring they never or infrequently supported corporate activism.

Among Generation X, or those born between 1965 and 1980, 71 per cent were of a similar view, compared with 60 per cent for Millennials born between 1981 and 1996.

Generation Z adults, born since 1997, were the only group to have a large number supporting corporate activism with 48 per cent declaring they often or always backed companies doing this.

Report authors Simon Cowan and Emilie Dye said corporations were alienating older and middle-aged customers by trying to appease a younger crowd.

'Not only does corporate activism increase staff turnover, but the activism appears to only appeal to a subset of the population, namely Gen Z, Greens voters,' they said.

'As a result, corporations are likely losing their most experienced people as well as important diversity of thought within their organisations.

'Corporations are paying a price for their activism.'

Last year big corporations like Qantas declared their support for the Indigenous Voice to Parliament, only for the No vote to prevail with 61 per cent support as the referendum failed in every state.

The flying kangaroo airline continues to pay tribute to the 'traditional custodians of the local lands and waterways on which we live, work and fly' as flights land.

Corporate websites, from those for banks to supermarkets, have footers acknowledging 'First Nations peoples and their Elders, past and present'.

Then there is the ANZ bank sponsoring Sydney's Gay and Lesbian Mardi Gras, with big business websites often featuring the rainbow flag with the light blue and pink to denote support for transgender individuals.

The Black Lives Matter movement in the US also saw Australian companies like software group Atlassian declare their support for 'anti-racism' programs. 

The report also suggested a seemingly good cause could alienate consumers, with hard left activists often linked to movements like anti-racism, based on the Critical Race Theory ideology that implies white people are oppressors because of colonialism. 

'Movements that may seem innocuous or non-threatening — like anti-racism — often turn out to be led by individuals with extreme views that many people find deeply obnoxious when they are made public,' it said.

'Corporate activism may have some upside, but the downsides seem more likely and more significant.'

A company's reputation could also be destroyed if it was too closely associated with a cause the public didn't favour.

'Senior management should also be concerned they are putting their companies at risk of reputational harm if they associate with movements that are, or become, viewed negatively by the general public,' the report said.

'To top it off, a clear majority of people do not support activism of this sort by companies. 

'Neither employees nor shareholders believe companies should be taking positions on contentious public debates.'

The report was based on an online survey of 2,521 Australian adults in April, split into customers, employees and shareholders.