In the US, the acronym DEI stands for Diversity, Equity and Inclusion. It refers to measures and programs aimed at preventing discrimination against people based on their gender, skin color, sexual orientation, disability, religion, ethnicity and more. However, the abbreviation is increasingly politically charged - progressive people understand it as a sign of a fairer society, while for conservatives it borders on a dirty word.
Some large companies are now starting to withdraw from the programs through which they fulfilled the goals of DEI - among them "McDonald's", supermarkets "Walmart", "Boeing" and "Ford". This doesn't necessarily mean that gender equality, for example, no longer matters to them. In fact, it shows that they are changing their strategy to avoid problems. Many conservatives argue that equality and inclusion programs are actually discriminatory - against white men, for example.
"Now every business leader is faced with the fact that in 2025 DEI will be much more controversial, it will pose a greater risk, and they will have to somehow deal with that," says Lily Zhen, who advises companies on DEI policies.
What is DEI and who benefits from it
DEI programs experienced their resurgence after the Black Lives Matter movement in 2020. Many companies have begun offering training on identifying stereotypes, mentoring programs for minority groups, and practices to ensure they hire people from across the spectrum.
These measures aim to create a fair environment not only in the workplace but also in education and institutions. The goal is to avoid systemic inequality and discrimination and to encourage the participation of people of different genders, ethnicities, sexual orientations, and other identity characteristics. DEI aims to "create a level playing field", says David Glasgow, executive director of the "Melzer" Center for Diversity, Inclusion, and Belonging" at New York University.
There is also a business logic for companies to implement these practices, the expert believes. Studies show that using a wider range of talent leads to more innovation and creativity. It also allows companies to reach a more diverse customer base.
Legal pressure is also expected to increase
Not everyone is a fan of these programs. Since the Supreme Court ruled to overturn so-called affirmative action in college and university admissions — such as black quotas — more and more lawsuits have been filed against DEI programs, Glasgow explains.
Conservative activists like Robbie Starbuck regularly use social media to attack companies for their equality programs. In November 2024, Starbuck even took credit for ending Walmart's DEI program.
Some lawsuits have already been successful. In September, venture capital firm Fearless Fund announced that it would permanently end its program to encourage black women entrepreneurs. This was preceded by a legal dispute with the conservative activist group Edward Bloom's "American Equal Rights Alliance". The lawsuit alleged that the program violated the Civil Rights Act of 1866 because it discriminated on the basis of race.
Such cases have an even greater chance of success once Donald Trump returns to the White House, Glasgow believes. "He will appoint more judges who will interpret the anti-discrimination law conservatively. That's why I expect that in some of the cases we are following, the courts will rule against the programs".
Glasgow acknowledges that there are also some criticisms of DEI - for example, initiatives that rely on accusations and public reprimands. "But there is also a counter-movement in society for progress in the field of social justice", he added.
DW sent inquiries to "Walmart” and another large company that has ended these programs. The retail giant did not respond, and the other company declined to comment for fear of retaliation. Lili Zhen believes that some company leaders feel insecure. In an increasingly risky environment, they must make "decisions that have a big impact on the bottom line, brand reputation, employee retention and motivation."
Companies will not give up these policies
Currently, the majority of American companies continue to support policies related to equality and inclusion, according to a study by the research institute "The Conference Board". About 80 percent of companies plan to maintain or increase funding for DEI programs over the next three years.
But even companies that reduce their equality programs and make their commitment less public could remain true to the values associated with them, says Lily Zhen. "Maybe they call it belonging, maybe they call it equity. Whatever the case, it seems that most of the existing commitments are not changing," she says. For example, a few weeks after Trump's election victory, "Walmart" renamed the page on this topic on its website from "Belonging, Diversity, Equity and Inclusion" to only on "Belonging".
But without clear goals for diversity, fewer investments will be made in this area, warns Lili Zheng. If leaders hesitate to take a stand and express their commitment to these values, Zheng says, "we could lose control of how the issue is talked about.".
Authors: Laura Kabelka | Annika Sost