An increasing number of well-known companies have reduced or paused their diversity, equity, and inclusion initiatives that were widely embraced by much of the corporate world in the wake of the protests following the tragic killing of George Floyd, a Black man, by the Minneapolis police in 2020. This shift has been triggered by a concerted effort by conservative activists to challenge workplace programs in both the legal system and on social media platforms, as well as recent executive orders by President Donald Trump aimed at dismantling DEI policies in federal agencies and private businesses. DEI policies are typically designed to address systemic obstacles hindering the advancement of historically marginalized groups in specific fields or positions. Critics argue that certain education, government, and business programs are discriminatory as they target participants based on factors like race, gender, and sexual orientation. They have taken aim at corporate sponsorships, employee-led affinity groups, initiatives intended to support minority or women-owned businesses, and diversity goals set by some companies for increasing representation of minorities in leadership roles. Although making hiring or promotion decisions based on race or gender is generally prohibited under Title VII of the 1964 Civil Rights Act, companies assert that they are not engaging in such practices. Instead, they express a commitment to gradually diversifying their workforce through measures such as broadening candidate pools for job vacancies. Here are some examples of companies that have scaled back their DEI efforts: Pepsi PepsiCo has confirmed that it is discontinuing some of its diversity, equity, and inclusion programs, while rival Coca-Cola has reiterated its support for its own inclusion initiatives. In a message to employees, PepsiCo CEO Ramon Laguarta announced that the company will no longer establish targets for minority representation in its management roles or supplier network. He stated that PepsiCo will now focus its sponsorships on events and organizations that promote business growth. Laguarta emphasized that inclusion remains a priority for PepsiCo, known for its brands such as Gatorade, Lay’s, Doritos, Mountain Dew, and Pepsi. The company’s chief diversity officer will transition to a broader role concentrating on employee engagement, leadership development, and fostering an inclusive workplace culture. Goldman Sachs Investment giant Goldman Sachs has revealed that it is eliminating a requirement that mandated IPO clients to include women and members of minority groups on their board of directors. A spokesperson for Goldman Sachs mentioned in an email to The Associated Press, “Due to legal developments regarding board diversity requirements, we have discontinued our formal board diversity policy. We still believe that diverse backgrounds and perspectives are beneficial to successful boards, and we will encourage clients to adopt this approach.” Goldman Sachs will continue to offer a service that connects clients with diverse candidates to serve on their boards. Google Google has withdrawn its 2020 goal of increasing the representation of underrepresented groups in the company’s leadership team by 30% within five years. In a communication to employees, the company also indicated that it was exploring other adjustments in response to President Trump’s
A report submitted to the Securities and Exchange Commission omitted a standard statement used since 2020, expressing the company’s commitment to integrating diversity, equity, and inclusion into all aspects of its operations and cultivating a workforce that mirrors the demographics of its customer base.
Target revealed adjustments to its “Belonging at the Bullseye” initiative, discontinuing a program established to support career development for Black employees, enhance the shopping experience for Black customers, and promote Black-owned businesses in response to events following Floyd’s death in Minneapolis, where Target is headquartered. The retailer, with nearly 2,000 stores nationwide and over 400,000 employees, also announced the conclusion of its previous three-year diversity, equity, and inclusion (DEI) objectives, which focused on increasing the representation of women and racial minority groups in hiring and promotions, as well as sourcing from diverse suppliers including individuals from marginalized communities. Additionally, Target disclosed its decision to discontinue participation in surveys evaluating their initiatives, such as the annual index compiled by the Human Rights Campaign, and to reassess corporate partnerships for alignment with business goals.
Meta Platforms, the parent company of Facebook and Instagram, disclosed the discontinuation of its DEI program, based on hiring practices, training, and vendor selection. Following a review prompted by the Supreme Court’s 2023 ruling on affirmative action, Meta will no longer maintain a dedicated diversity and inclusion team but will instead focus on implementing unbiased practices across the organization. This change involves ending the “diverse slate approach” to recruitment, which aimed to consider a diverse range of candidates for each job opening.
Amazon announced the phasing out of certain DEI programs without specifying details in a memo dated December 16. The company’s senior HR executive mentioned the ongoing process of dismantling outdated initiatives by the end of 2024, emphasizing the shift towards programs with proven effectiveness and fostering a more inclusive company culture.
McDonald’s, after four years of prioritizing diversity efforts, recently disclosed plans to discontinue specific diversity objectives for senior leadership representation and a supplier-focused diversity training program. The fast-food chain aims to shift away from individual-led initiatives and concentrate on established programs with demonstrated positive outcomes to cultivate a genuinely inclusive workplace environment.
McDonald’s has announced that it will be pausing its external surveys and is focusing on developing its own leadership ranks. The company emphasizes its commitment to inclusion and diversity, believing that a diverse workforce is a competitive advantage.
Walmart, the world’s largest retailer, has decided not to renew its commitment to a racial equity center established in 2020 and will no longer participate in the HRC’s Corporate Equality Index. The company also plans to monitor its third-party marketplace to prevent the sale of products aimed at LGBTQ+ minors.
Ford’s CEO, Jim Farley, outlined changes to the company’s Diversity, Equity, and Inclusion policies, including discontinuing participation in the HRC’s Corporate Equality Index. The company remains focused on fostering a safe and inclusive workplace without implementing hiring quotas or specific diversity goals.
Lowe’s has decided to review its programs following a Supreme Court ruling on affirmative action and consolidate its employee resource groups into one umbrella organization. The retailer will no longer participate in the HRC index and will limit its involvement in events outside its core business areas.
Harley-Davidson announced a review of its sponsorships and organizations and will only support initiatives central to growing the sport of motorcycling and supporting first responders, military members, and veterans. The company will no longer participate in workplace equality rankings compiled by the HRC, and its training programs will be business-focused.
Brown-Forman, the parent company of Jack Daniels, has opted to withdraw from the HRC’s Corporate Equality Index and make changes to its diversity and inclusion strategy in response to evolving business and legal landscapes. The company aims to remove quantitative workforce and supplier diversity goals.
“Brown-Forman’s ongoing commitment to cultivating an inclusive work environment is reflected in the alignment of employee objectives with business performance, coupled with a thorough review of training programs to ensure their congruence with the company’s updated strategy,” Elizabeth Conway, the company’s spokeswoman, stated in an email.
John Deere, a prominent farm equipment manufacturer based in Moline, Illinois, announced in July its decision to discontinue sponsoring “social or cultural awareness” events. The company also disclosed its plan to conduct a comprehensive audit of all training materials to guarantee the exclusion of socially-driven messages, adhering strictly to federal and local regulations. While affirming that diversity quotas and pronoun identification are not part of its official company policies, John Deere underscored its ongoing commitment to monitoring and advancing diversity within the organization.
Meanwhile, Tractor Supply, a well-known retailer headquartered in Brentwood, Tennessee, made headlines in June with its announcement to terminate various corporate diversity and climate initiatives. This strategic shift followed a period of intense conservative backlash against the rural retailer. The company revealed its decision to eliminate all Diversity, Equity, and Inclusion (DEI) positions, as well as retire existing DEI objectives. Furthermore, Tractor Supply declared its intention to discontinue supporting non-business-related activities like Pride festivals or voter campaigns, and cease participation in the Human Rights Campaign (HRC) index data submissions.
In a significant policy reversal, Tractor Supply also announced its withdrawal from carbon emission reduction goals, redirecting its focus towards enhancing land and water conservation efforts. These changes prompted the National Black Farmers Association to call for the resignation of Tractor Supply’s president and CEO shortly after the company’s directives were made public.
