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Remove gender pronouns, says Deloitte US. How big companies are abandoning DEI initiatives

FP Explainers February 12, 2025, 19:55:43 IST

Major corporations including Google, Amazon, McDonald’s, Boeing and IBM have significantly scaled back their diversity, equity, and inclusion (DEI) initiatives, with Deloitte instructing staff working on contracts for the US government to remove pronouns. The shift comes amid increasing legal challenges, including lawsuits over race-based hiring and promotions, and heightened scrutiny from the Trump administration

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People stand in front of a Google logo during a media reception at the Google France headquarters ahead of the Artificial Intelligence Action Summit in Paris, France, February 9, 2025. File Image/Reuters
People stand in front of a Google logo during a media reception at the Google France headquarters ahead of the Artificial Intelligence Action Summit in Paris, France, February 9, 2025. File Image/Reuters

In a sweeping rollback of corporate diversity, equity, and inclusion (DEI) initiatives, a growing number of major companies have pared back or completely eliminated their DEI programmes.

The shift comes amid increasing political and legal scrutiny, with President Donald Trump’s second administration making DEI a central issue.

Many corporations have responded by scaling back diversity-related commitments, citing sustainability, legal concerns, or changing business priorities.

Major corporations rolling back DEI commitments

A broad spectrum of industries has seen major companies reduce or eliminate DEI programmes. Among the most prominent changes:

  • Google no longer marks cultural observances like Pride Month and Black History Month on its calendar and has removed hiring targets aimed at improving diverse representation. The company cited scalability concerns in managing such efforts globally.

  • Deloitte’s US division has directed employees working on government contracts to remove pronouns from email signatures and is ending its diversity, equity, and inclusion (DEI) programme.

  • Goldman Sachs has scrapped its 2020 policy requiring at least one board member from an underrepresented background for companies going public.

  • Amazon omitted language on inclusion and diversity in its latest annual report and is reassessing its DEI programmes.

  • Accenture announced it would cease diversity targets in hiring and promotions, attributing the decision to Trump administration policies urging private firms to roll back DEI goals.

  • Amtrak confirmed it would reduce its DEI programmes, including hiring and promotion initiatives focused on diversity.

  • The Smithsonian Institution shut down its diversity office following Trump’s executive order labelling DEI programmes as “dangerous” and “demeaning.”

  • Target abandoned racial hiring targets, ended its Racial Equity Action and Change programme, and withdrew from external diversity surveys.

  • McDonald’s eliminated diversity targets, stopped participating in demographic surveys, and renamed its diversity team to the “Global Inclusion Team.”

  • Meta ended several diversity hiring initiatives , citing changes in the “legal and policy landscape.”

  • Walmart wound down its Center for Racial Equity and stopped participating in Human Rights Campaign (HRC) surveys, also removing “DEI” terminology from official documents.

  • Boeing dismantled its DEI department and reassigned employees to human resources roles.

  • Ford discontinued external diversity surveys and modified its employee resource groups.

  • Harley-Davidson abandoned its DEI division, stating it does not use diversity quotas for hiring or supplier contracts.

  • John Deere stopped supporting cultural awareness events and removed “socially-motivated messages” from its documentation.

  • Jack Daniel’s manufacturer Brown-Forman removed workforce and supplier diversity goals and decoupled executive pay from DEI performance.

  • Lowe’s consolidated its employee resource groups and ceased participating in Pride events and HRC surveys.

  • Pepsi, GM, Disney, GE, Intel, PayPal, Chipotle, and Comcast removed or reduced DEI-related references in investor reports.

United States President Donald Trump has made the elimination of DEI programmes a cornerstone of his second term.

Shortly after taking office, he issued an executive order abolishing DEI initiatives in the federal government, directing agencies to revise hiring and training programmes to exclude diversity-focused policies.

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His order also dismantled environmental justice offices and reinstated a ban on transgender troops in the military.

Attorney General Pam Bondi has reinforced this stance by instructing the Department of Justice to investigate and penalise DEI-related “preferences” in private companies and universities that receive federal funding.

The administration is leveraging the 2023 Supreme Court ruling in Students for Fair Admissions v. Harvard, which struck down race-based affirmative action, as justification for these actions.

Corporate pushback: Companies defending DEI

Despite the backlash, several companies continue to support DEI initiatives:

  • Costco shareholders overwhelmingly rejected a proposal to evaluate the risks of maintaining DEI programmes, with over 98 per cent voting against it.

  • Apple opposed a similar shareholder proposal, arguing that restricting DEI would interfere with its business strategy.

  • Delta Airlines reaffirmed its commitment to DEI, stating it is “critical” to business success.

  • Cisco CEO Chuck Robbins defended DEI as a valuable business strategy, stating that criticisms focus on only a few problematic aspects rather than the broader benefits.

  • Deutsche Bank CEO Christian Sewing stated that DEI is integral to the company’s success and financial performance.

  • NFL Commissioner Roger Goodell stated the league remains committed to diversity policies, asserting they improve the sport’s quality and representation.

DEI at Davos: Trump vs Business leaders

At the 2025 World Economic Forum in Davos, Trump reaffirmed his commitment to eliminating DEI, calling it “discriminatory nonsense” and advocating for a merit-based system. However, several business leaders defended diversity efforts:

  • JPMorgan Chase CEO Jamie Dimon pledged continued outreach to minority communities.

  • Nasdaq CEO Adena Friedman remarked that diversity perspectives fluctuate with political cycles but remain valuable.

  • Vista Equity Partners CEO Robert Smith praised diverse teams as more productive and efficient.

  • Bank of America CEO Brian Moynihan supported diversity as commercially logical and beneficial to business growth.

Private equity executives told Reuters they would maintain DEI efforts but might reframe their terminology to avoid political backlash.

The conservative anti-DEI movement

Right-wing groups have aggressively targeted corporate DEI policies. The National Center for Public Policy Research has pushed shareholder resolutions urging companies to abandon diversity programmes, reported Forbes.

Social media campaigns led by figures like Robby Starbuck have pressured companies, claiming responsibility for recent DEI rollbacks at firms such as Walmart, McDonald’s, and John Deere.

Billionaire investors Bill Ackman and Elon Musk have also criticised DEI. Ackman played a key role in the resignation of former Harvard University President Claudine Gay , alleging she was selected primarily based on diversity criteria.

Musk has frequently mocked DEI initiatives, labelling them as ineffective and politically driven.

The future of corporate DEI remains uncertain as companies navigate legal challenges and political pressure. Some firms are opting for quieter, less visible diversity efforts, while others are abandoning DEI altogether.

With inputs from agencies

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