On Monday, Nov. 25, Walmart, one of the largest supermarket retailers, announced that it will start rolling back its diversity, equity, and inclusion (DEI) policies. Walmart is the latest in a long list of corporations that have withdrawn from DEI commitments after being criticized by conservative activists.
Walmart revealed its plans to end its racial equity programs for staff and review and potentially overturn internal programs established to diversify its network of suppliers. It also announced it would not renew its philanthropic commitment to the Center of Racial Equity, which in previous years had funneled $100 million over five years to the organization.
Walmart is not alone in this; it is not the first corporation to roll back DEI initiatives. Many companies, such as Lowes and Toyota, have been doing so, citing a narrative that they are costly and largely unneeded. This trend began in late 2022 and is part of a larger cultural shift in the United States that could have signaled the presidential pendulum swaying to the right this past election.
The root of this issue stems from the lack of genuine commitment to the cause of DEI. In 2020, in the wake of the death of George Floyd, consumers were overly engaged in political narratives that demanded a higher level of accountability from companies and institutions that would otherwise aid in upholding systemic issues that resulted in the brutalization of Black people. Seeing an opportunity to comfort consumers and develop a better brand image, aligned with narratives that comfort people for spending at multi-billion corporations, corporations began quickly coming out with DEI initiatives. However, many activists and scholars were suspicious of these moves and noted that although it was a positive change, the impact would be measured in the long term. Corporations do not have a genuine commitment to DEI initiatives, and they commit to generating revenue and appeasing the interests of shareholders. As ideologies become more right-leaning as a response to many issues, including a lack of faith in a democratic government, a declining economy and a weak COVID response, corporations follow suit.
DEI is a framework dedicated to increasing minority representation in the workforce, schools and professional spaces. The disconnect stems from the forced nature of its inception in corporate and academic workspaces. As an increasingly liberal sentiment took over the nation during the Obama presidency, so did the call for equal representation and consideration for many identities. There was a wave of decentralizing privileged identities as the default identity in the workplace, and efforts were made to signal an improvement. Virtue signaling, the phenomenon of doing virtuous things for the sake of appearing “good,” became prevalent in corporate strategy, as being likable was directly correlated to being profitable. The problem is that DEI positions can only generate so much profit, with revenue usually generated during the initial announcement. As long as a company intends to establish a DEI department, most consumers are willing to overlook what happens afterward. This has led to more corporations dismantling related roles and departments.
Buzzword politics has also contributed to the disdain for DEI. Terms like “critical race theory” and “diversity, equity and inclusion” have become polarizing topics in educational spaces with little consideration for their true definition and purpose. Critical race theory, considered a niche study of law, has been banned in public schools despite educators never introducing these topics to young students. Instead, the narrative around terms like “DEI” has been warped to signal the idea of prioritization of people of color or those who are differently abled over those who are more privileged.
Such roles have been disappearing from the job market, with DEI departments often being hit with layoffs at a higher rate than many other sectors. It seems that after the death of George Floyd, some companies believe there is no longer a need, that the response has been adequate, and they can phase it out now. However, in a broader sense, DEI positions are correlated with increased profit and better business. These initiatives foster a sense of belonging for individuals in the workplace, enabling them to better participate in their work and the company overall. The retention rate among companies with DEI is much higher than that of companies without, indicating a greater level of comfort among employees. Although many corporations have regressed from their initial promises, some companies still intend to and will continue their DEI initiatives. Despite many companies pulling back, there is a net positive impact in business industries that didn’t exist before 2020 and wouldn’t have existed without the momentum of the Black Lives Matter movement.
This rollback approach to DEI programs does not indicate the death of the movement. It merely points out the shallow commitment of some organizations and emphasizes a need for a deeper, more authentic dedication to diversity, equity, and inclusion. As long as marginalized communities continue to fight for their rights and demand representation, DEI will remain a necessary and ongoing effort. The core of DEI is exposing all of these hidden underlying issues that persist in how we discuss and interact. However, they are so well hidden that we could easily go on living without revealing them. The non-existence of DEI feels natural because it’s work that goes against the grain. It is an uphill battle that ultimately shapes our common places into more accepting environments.
