From CNBC: 2025-02-07 09:26:41

President Donald Trump signed executive orders targeting diversity, equity, and inclusion programs, prompting some corporations to scale back or scrap their initiatives. Companies like Lowe’s and Ford had already begun rolling back DEI programs. Brands face a dilemma: supporting DEI may lead to legal challenges, but backing down could stir controversy in a polarized environment.

Despite Trump’s orders, some companies like Costco and Apple are standing firm on their DEI support. CEOs of prominent companies like Pinterest, JPMorgan Chase, and Goldman Sachs have indicated they will continue their DEI efforts. Many businesses are quietly working on DEI internally, even if they are scaling back public commitments.

McDonald’s faced backlash for retiring some DEI goals, but defended its decision, emphasizing accomplishments in areas like gender pay equity. While some companies are reframing their DEI initiatives, DEI experts suggest that businesses can still promote inclusion without making performative commitments. Actions like highlighting diverse employees can communicate support for inclusion.

It remains to be seen how companies’ stances on DEI will impact their stock or revenue. Consumers are increasingly making buying decisions based on companies’ values. Activist campaigns targeting corporations have had a noticeable impact in recent years, with hopes that leveraging consumer influence can support the cause for diversity, equity, and inclusion.

Civil rights activist Rev. Al Sharpton has organized “buy-cotts” at Costco to support the retailer’s pro-DEI stance, with plans for more events. The National Action Network is researching companies to boycott for DEI policy rollbacks, aiming to support businesses that prioritize diversity, equity, and inclusion. The influence of consumers on corporate decisions is becoming increasingly significant.



Read more at CNBC: Companies holding the line, working behind the scenes