Diversity, Equity, and Inclusion (DEI) initiatives have long been part of corporate strategies, but their mainstream adoption has been a gradual process. While DEI gained significant momentum in the past decade, the foundation for workplace diversity training was laid in the mid-1960s following the introduction of equal employment laws and affirmative action in the United States.

Before these laws, many companies had explicit histories of racial discrimination. As new policies emerged, organizations launched diversity training programs to help employees adapt to integrated workplaces. However, these early initiatives were largely ineffective, often consisting of mandatory training sessions and checklist-style do’s and don'ts that failed to foster real change.

Despite these shortcomings, corporate attitudes toward DEI gradually shifted. By the early 2000s, executives began to see DEI not as a bureaucratic obligation but as a value-generating function. Many corporations introduced Chief Diversity Officers, reflecting DEI’s growing importance. Companies also began setting measurable goals to improve workforce diversity and inclusion, linking these efforts to business outcomes such as employee retention, innovation, and market expansion.

The Political Shift Against DEI

In recent years, the business world has witnessed a stark reversal. The political climate, legal challenges, and corporate restructuring have led to widespread cutbacks in DEI efforts. This shift accelerated with Donald Trump’s return to the Oval Office in January 2025.

On his first day back in office, Trump signed an Executive Order titled “Ending Radical and Wasteful Government DEI Programs and Preferencing,” which described DEI initiatives as “immense public waste and shameful discrimination.” He directed all federal DEI staff to be placed on paid leave and, eventually, laid off. Another Executive Order, “Ending Illegal Discrimination and Restoring Merit-Based Opportunity,” reversed numerous policies that had promoted diversity in workplaces for the past 50 years.

Trump’s executive actions sent shockwaves across corporate America. His targeting of DEI—an issue he had consistently opposed throughout his campaign—came at a time when many businesses were already reevaluating their diversity programs. Over the past year, multiple high-profile companies have scaled back or entirely dismantled their DEI initiatives, citing legal pressures, financial considerations, and shifting political landscapes.

Companies Scaling Back DEI Efforts

PepsiCo

In February 2025, PepsiCo informed employees via an internal memo that it would end its workforce representation goals, impacting managerial roles and supplier diversity programs. The company’s diversity page on its hiring website has been taken down. Meanwhile, its main competitor, Coca-Cola, continues to publicly support DEI initiatives and has expressed concerns over the risks associated with a less diverse workforce.

Coca-Cola

Unlike many of its peers, Coca-Cola has maintained its commitment to DEI but has warned that policies restricting diversity efforts could harm its business. In an annual filing, the company stated that its ability to attract and retain diverse talent directly impacts its operations. As a federal contractor supplying drinks to the military and other institutions, Coca-Cola has voiced concerns about the implications of Trump’s crackdown on DEI.

Disney

On February 11, 2025, Disney announced it would discontinue its “Reimagine Tomorrow” initiative, which was designed to highlight underrepresented voices. The company also removed content disclaimers on older films that contained racial stereotypes. Internal communications suggest that diversity-related performance factors will no longer be used in employee evaluations.

PBS

PBS, which relies on federal funding, confirmed in February 2025 that it would cease its DEI initiatives to comply with the new executive orders. The company also laid off key DEI personnel and is facing heightened scrutiny from the Federal Communications Commission (FCC).

Tech and Financial Giants

• Google removed diversity hiring goals, stopped acknowledging certain cultural observances on its calendar, and stated that its reevaluation aligns with legal mandates.
• Meta cut its DEI team and discontinued supplier diversity programs.
• Amazon deleted DEI-related content from its policy pages and corporate filings.

The financial sector has followed suit:

• JPMorgan Chase acknowledged in its 2024 filing that it faces criticism over its DEI policies and may have to reassess its programs.
• Goldman Sachs, Morgan Stanley, Citigroup, and Huntington Bank have scaled back DEI messaging and initiatives.

KPMG US

Following Trump’s election, KPMG removed all DEI reports from its website and ended its “Accelerate 2025” initiative. The firm cited legal compliance and changing federal regulations as the primary reasons for this shift.

Boeing

Boeing disbanded its DEI team in November 2024. Former VP of DEI, Sara Bowen, described the decision as a difficult but inevitable shift, acknowledging the pressures from political and economic forces.

Retailers: Target, Walmart, and Lowe’s

• Target stopped reporting DEI metrics and withdrew from external diversity evaluations. This led to consumer backlash and a lawsuit from Florida Attorney General James Uthmeier, who accused the company of misleading investors with its diversity initiatives.
• Walmart phased out DEI training for employees and removed LGBTQ+ merchandise from some stores.
• Lowe’s scaled back diversity policies in response to affirmative action rulings and online criticism.

Harley-Davidson

In August 2024, Harley-Davidson ended its DEI programs and removed supplier diversity goals. The company cited growing political pressure and the need to maintain brand unity amid social media controversies.

Paramount Global

Paramount Global announced modifications to its DEI programs in response to mandates from the Trump administration. The company ceased collecting demographic data for U.S. job applicants except where legally required.

Apple

Despite Apple’s shareholders voting against an anti-DEI proposal, Trump publicly demanded the company dismantle its diversity programs via a Truth Social post. While Apple has not announced official rollbacks, the heightened political pressure reflects a broader corporate trend of reassessing diversity commitments.

Bank of America

Bank of America has taken a subtler approach by adjusting its DEI language and removing "aspirational" diversity hiring targets. In its latest annual report, the bank replaced the term “diversity” with “talent” and “opportunity,” signaling a strategic repositioning rather than a full-scale abandonment of DEI principles.

Victoria’s Secret

Victoria’s Secret has quietly shifted its focus from DEI to broader messaging around “inclusion and belonging.”Archived versions of its website show that references to DEI initiatives have been removed, along with a section dedicated to supplier diversity.

The Future of DEI in Corporate America

The rollback of DEI initiatives marks a turning point in corporate governance. While some companies, like Coca-Cola, continue to defend diversity efforts, many others have opted for compliance over confrontation. The combination of executive orders, legal challenges, and shifting public sentiment has forced businesses to reconsider their diversity strategies.

This new era of DEI uncertainty raises critical questions:

• Will companies find alternative ways to promote inclusion without overt DEI programs?
• How will these changes impact workplace culture and talent acquisition?
• And perhaps most importantly—what happens if political winds shift once again?

For now, DEI in corporate America stands at a crossroads, navigating uncharted terrain amid increasing political and economic scrutiny.