Corporate America Ditches DEI Pledges Amidst Backlash

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Corporate America Ditches DEI Pledges Amidst Backlash
Social IssuesDEIDiversity
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Following a wave of corporate commitments to diversity, equity, and inclusion (DEI) after the George Floyd protests, many large companies, including Walmart, Amazon, and Meta, are now scaling back or ending their DEI programs. This shift comes amid mounting political and legal challenges to DEI initiatives, raising concerns about the future of diversity in the workplace.

An American flag flies outside a Walmart store in Miami. In 2020, Walmart was one of many large U.S. companies that pledged to fight racism and increase internal diversity. But now it, Amazon, Facebook and many other companies are ending some of those programs.the sweeping reckoning on racism it sparked, corporate America rushed to join in.estimated in 2021. And their CEOs announced these promises with solemn rhetoric about their companies' roles in fixing societal problems.

"We remain committed to creating a culture where everyone can be successful, and ensuring we are a Walmart for everyone," a company spokesperson tells NPR.. For example, in a note shared with NPR, Amazon executive Candi Castleberry told employees last year that"we remain dedicated to delivering inclusive experiences for customers, employees, and communities around the world." Under the political headlines, there's a more subtle undercurrent at work.

But when Floyd was murdered, big companies had raised the expectations of employees and customers that they would take a stand. And Bermiss argues that many rushed into promises without thinking through the costs — or what made the most sense for each individual business. Instead, some companies relied too much on the prospect of financial rewards for DEI programs, or what became known as"the business case for diversity.

And, as he adds, that's firmer ground than hoping that"if we get two more Latinos on the board, our stock price will go up."Despite the ongoing pressures, Costco and JPMorgan aren't the only employers still spending money on DEI.

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