Major companies in the U.S. are backing out of diversity, equity, and inclusion (DEI) efforts, with Walmart being among the most recent to join the chorus amid mounting pressure from conservatives.
Many proponents of DEI argue that the effort corrects historical injustices and systemic inequities. However, conservatives say that it promotes division instead, leading DEI initiatives to be subject to attacks by conservatives and state legislatures across the U.S.
One of the most prominent figures at the forefront of blasting companies over DEI is Robby Starbuck, who frequently posts changes companies have made regarding DEI on his X and Instagram accounts.
State lawmakers and governors passed resolutions to restrict DEI on college campuses and in the public sector.
For example, Republican Utah Gov. Spencer Cox signed a bill into law earlier this year that prohibits diversity training, hiring and inclusion programs at universities and in state government, adding to a growing list of states to ban such programs.
On the higher education front, the University of North Carolina board of governors committee in North Carolina voted to eliminate DEI requirements and roles as part of a growing backlash to DEI ideology in schools across the country.
The phenomenon also spread into the private sector, where major companies followed suit after the U.S. prohibited affirmative action in college admissions in July 2023.
Several companies faced and lost lawsuits due to their DEI policies.
Walmart, the top employer in America with over 1.6 million employees and a market cap of $800 billion, announced on Monday that it's stepping away from DEI efforts.
"We’ve been on a journey and know we aren’t perfect, but every decision comes from a place of wanting to foster a sense of belonging, to open doors to opportunities for all our associates, customers and suppliers and to be a Walmart for everyone," the company’s statement on the move reads.
Going forward, Walmart will no longer participate in the Human Rights Campaign’s (HRC) Corporate Equality Index, which measures workplace inclusion for LGBTQ+, sell LGBTQ-related items on its website, conduct racial equity training through the Racial Equity Institute, and extend its partnership with the Racial Equity Center, a program that was established in 2020 as a special five-year initiative.
Furthermore, the company will stop using "Latinx," a gender neutral term to refer to Latin people.
FOX Business acquired a letter from Coors, citing the company's executives saying its human resources team began making plans in March to broaden the view of its DEI polices to ensure all "employees know they are welcome." The company did not comment beyond the contents of the letter.
"We are ensuring our executive incentives are tied to business performance and do not include aspirational representation goals beginning next year," company executives wrote in a memo obtained by FOX Business.
Molson Coors also ended its participation in the HRC Corporate Equality Index.
CATERPILLAR MAKES POLICY CHANGES IN YET ANOTHER CORPORATE DEI ROLLBACK
Michigan-born Ford Motor Company announced in August that it was rolling back DEI efforts. According to a memo leaked by Starbuck, the Fortune 500 company also pulled out of its participation in the HRC Corporate Equality Index and "best places to work" lists. The company added that they do not "utilize hiring quotas or tie compensation to the achievement of specific diversity goals."
Ford CEO Jim Farley penned an email to employees, stating that "We will continue to put our effort and resources into taking care of our customers, our team, and our communities versus publicly commenting on the many polarizing issues of the day."
He added, "There will of course be times when we will speak out on core issues if we believe our voice can make a positive difference."
The motorcycle company made an announcement in August to drop DEI shortly before Ford made the move.
The 120-year-old motorcycle company posted on their X account a statement about the decision.
"We remain committed to listening to all members of our community as we continue on our journey together as one Harley-Davidson. United We Ride," the company announced.
The company said that will "review all sponsorship and organizations we are affiliated with."
"We are saddened by the negativity on social media over the last few weeks, designed to divide the Harley-Davidson community."
GET FOX BUSINESS ON THE GO BY CLICKING HERE
The company added that "we have not operated a DEI function since April 2024, and we do not have a DEI function today. We do not have hiring quotas and we no longer have supplier diversity spending goals."
The home-improvement retail chain scaled back DEI within the same month as other companies. Following suit with Ford Motor Company and Walmart, Lowe’s discontinued its participation in surveys for the Human Rights Campaign.
Additionally, Lowe’s reportedly discontinued sponsorship and participation in events, including Pride parades and other festivals, that are outside the scope of its business imperatives.
Starbuck took credit for Lowe’s changes, stating on X that they were made after he pressured the company, threatening to "expose" their "woke policies."
Other companies that rolled back DEI were John Deere, Tractor Supply, Caterpillar, and John Forman.
FOX Business' Breck Dumas contributed to this report.
