Chairman of O’Leary Ventures, Kevin O’Leary, appears on ‘The Big Money Show’ to share insights on Walmart’s rollback of its DEI initiatives and President-elect Donald Trump’s promise to raise tariffs on Mexico, China, and Canada.
Numerous major U.S. companies are retracting their diversity, equity, and inclusion (DEI) initiatives, with Walmart being the latest to align with this trend amid increasing pressure from conservative factions.
Supporters of DEI contend that these initiatives aim to rectify historical wrongs and systemic disparities. Conversely, conservatives argue that DEI fosters division, resulting in these initiatives facing criticism from conservative commentators and state legislatures nationwide.
A prominent critic of corporate DEI policies is Robby Starbuck, who actively shares updates on companies’ DEI decisions on his social media platforms, X and Instagram.
State legislators and governors have enacted resolutions to limit DEI initiatives within higher education and public sector institutions.
Harley Davidson is among the iconic companies retracting DEI initiatives. (iStock)
For instance, Republican Utah Governor Spencer Cox enacted legislation earlier this year that bans diversity training and inclusive hiring practices at universities and in state government, further expanding the list of states prohibiting such programs.
In terms of higher education, the board of governors at the University of North Carolina voted to remove DEI requirements and roles, signifying a growing resistance against DEI principles in educational institutions nationwide.
This trend has also affected the private sector, with significant companies retracting their commitments following the U.S. government’s prohibition of affirmative action in college admissions in July 2023.
Numerous firms encountered and faced lawsuits related to their DEI policies.
Walmart
Walmart, the leading employer in America with over 1.6 million employees and a market capitalization of $800 billion, revealed on Monday its decision to move away from DEI initiatives.
“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 stated regarding this decision.
Walmart, the leading employer in America with over 1.6 million employees and a market cap of $800 billion, announced its withdrawal from DEI programs. (Walmart)
Moving forward, Walmart will no longer engage in the Human Rights Campaign’s (HRC) Corporate Equality Index, will not offer LGBTQ-related products online, discontinue racial equity training with the Racial Equity Institute, and will end its partnership with the Racial Equity Center, a program initiated in 2020 with a five-year objective.
Additionally, the company will cease using the term “Latinx,” which is a gender-neutral reference to individuals of Latin descent.
Molson Coors
FOX Business obtained a letter from Coors indicating that the company’s executives decided in March to broaden their perspective on DEI policies to ensure that all “employees feel they are included.” The company did not provide comments beyond the details in the letter.
“We are making sure our executive performance incentives are tied to business success, removing aspirational representation goals starting next year,” company leaders noted in a memo received by FOX Business.
Molson Coors has also discontinued its involvement in the HRC Corporate Equality Index.
CATERPILLAR MAKES POLICY CHANGES IN YET ANOTHER CORPORATE DEI ROLLBACK
Ford Motor Company
Ford Motor Company, based in Michigan, announced in August its decision to scale back its DEI initiatives. According to a memo leaked by Starbuck, the Fortune 500 company also opted out of the HRC Corporate Equality Index and “best places to work” rankings. Furthermore, the company clarified that they do not “employ hiring quotas or link compensation to the achievement of particular diversity objectives.”
Michigan-based Ford Motor Company announced in August its decision to retract DEI initiatives. Photographer: Jeff Kowalsky/Bloomberg via Getty Images (Jeff Kowalsky / Getty Images)
In an email to employees, CEO Jim Farley stated, “We will direct our energy and resources toward serving our customers, teams, and communities instead of publicly addressing the myriad polarizing issues of our times.”
He added, “Certainly, there will be moments when we express our views on fundamental issues if we believe our input can lead to a constructive impact.”
Harley-Davidson
The renowned motorcycle manufacturer announced in August its decision to retract DEI efforts shortly before Ford made a similar announcement.
The motorcycle company, established 120 years ago, posted a statement on their X account regarding the choice.
“We remain committed to engaging all members of our community as we embark on this journey together as one Harley-Davidson. United We Ride,” the company proclaimed.
The company expressed its intent to “assess all sponsorships and affiliations” it currently holds.
They expressed disappointment at the divisive discourse on social media over recent weeks, which they believe undermines the unity of the Harley-Davidson community.
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Moreover, the company revealed, “We have not had a DEI function since April 2024, and we currently do not have a DEI function in place. We do not utilize hiring quotas, nor do we maintain supplier diversity spending targets.”
Lowe’s
The home improvement retailer scaled back its DEI efforts coinciding with the changes made by other firms. Following the lead of Ford Motor Company and Walmart, Lowe’s withdrew from participation in surveys conducted by the Human Rights Campaign.
Additionally, Lowe’s reportedly stopped sponsoring and attending various events, including Pride parades and other celebrations not directly related to its business objectives.
Starbuck claimedcredit for Lowe’s decisions, asserting on X that these changes occurred after he exerted pressure on the company, threatening to “uncover” their “woke policies.”
Other companies that have rolled back their DEI initiatives include John Deere, Tractor Supply, Caterpillar, and John Forman.
Contributions for this report were made by FOX Business’ Breck Dumas.