DEI Week in Review: Corporate and Government Shifts Reshape U.S. Workforce

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The past week has seen significant developments in Diversity, Equity, and Inclusion (DEI) policies across multiple sectors, with corporations, government agencies, and public figures adjusting their approaches to DEI amid shifting political and legal landscapes. High-profile retailers, financial institutions, and educational organizations have modified or withdrawn DEI programs, while new government directives and public backlash continue to shape the debate. From Supreme Court rulings to executive orders, these changes highlight the evolving and often contentious role of DEI in business, education, and governance.
Corporate Adjustments to DEI Policies
Several major corporations and organizations have reassessed their DEI commitments in response to political and legal pressures.
- Retailers’ Public and Private Stances: Major U.S. retailers, including Target, Amazon, and Tractor Supply, have publicly announced the discontinuation of certain DEI programs. However, many continue to support diversity initiatives discreetly, such as funding LGBTQ+ Pride events and maintaining internal resource groups for underrepresented employees. This dual approach reflects a balancing act between legal compliance and corporate values.
- AACSB International: The world’s largest business school accreditation body has removed references to “diversity and inclusion” from its reporting standards, replacing them with “community and connection.” The change is intended to protect U.S. business schools from legal risks, particularly in states with laws restricting DEI programs.
Government Actions Impacting DEI
Federal policies continue to influence corporate and institutional approaches to DEI.
- Executive Order 14173: President Donald Trump signed an order titled “Ending Illegal Discrimination and Restoring Merit-Based Opportunity”, which prohibits private companies from implementing DEI-focused hiring for jobs created by federal contracts. This order revokes elements of the 1965 Equal Employment Opportunity mandates, prompting businesses to reconsider DEI hiring practices.
- Department of Education’s Reporting Portal: The Department of Education launched a website for individuals to anonymously report K-12 public schools promoting DEI initiatives. Critics have labeled it a “snitch form,” arguing that it fosters division rather than protecting students’ rights. Social media users have responded by flooding the portal with irrelevant submissions.
- Justice Department’s Case Dismissal: The Department of Justice dropped a lawsuit against the Denka Performance Elastomer plant in Louisiana, accused of creating high cancer risks in a predominantly Black community. The administration justified the dismissal as part of an effort to dismantle what it calls “radical DEI programs.”
- EEOC’s New Direction: Andrea Lucas, acting chair of the Equal Employment Opportunity Commission (EEOC), plans to scrutinize DEI programs that consider race, ethnicity, or sex in employment decisions, arguing that such considerations may constitute unlawful discrimination.
Public and Cultural Reactions
DEI continues to be a polarizing topic in public discourse, with strong reactions from both supporters and critics.
- Criticism of Justice Amy Coney Barrett: Supreme Court Justice Amy Coney Barrett faced backlash from conservative groups after voting to reject Trump’s attempt to freeze nearly $2 billion in foreign aid. Right-wing figures labeled her a “DEI judge,” accusing her of succumbing to identity politics, illustrating intra-party tensions over DEI policies.
- NYC Council Speaker’s Speech: Adrienne Adams, Speaker of the New York City Council, faced criticism after delivering a State of the City address that frequently referenced “diversity,” “equity,” and “racism.” Some critics viewed her remarks as divisive and overly focused on DEI principles.
- Federal Workers’ Subtle Protests: In response to government efforts to eliminate DEI initiatives, some federal employees are engaging in small acts of protest, such as displaying Pride flags and using personal pronouns in internal communications.
- Scientific Community’s Stand: On March 7, 2025, scientists in the United States and France participated in “Stand Up for Science 2025” rallies to protest policy changes affecting DEI in scientific research. The protests called for the reinstatement of diversity-focused initiatives in government-funded research programs.
- Pentagon’s Content Removal: The Department of Defense has initiated a purge of DEI-related content from military branches, including the removal of historical records unrelated to DEI, such as information on the WWII bomber Enola Gay.
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Legal Challenges to DEI Rollbacks
Several lawsuits have emerged in response to recent DEI-related policy changes.
- Executive Order 14168: Multiple lawsuits have been filed challenging Executive Order 14168, which aims to eliminate DEI positions and initiatives in the federal government. Plaintiffs argue that the order violates constitutional rights and the Administrative Procedure Act.
Net Net: The Future of DEI Remains Uncertain
The developments of the past week illustrate the ongoing and contentious debate surrounding DEI initiatives. While corporate entities adjust their strategies in response to legal pressures, government agencies continue to reshape DEI policies through executive orders and new compliance measures. Public reactions remain polarized, with protests, lawsuits, and subtle resistance efforts reflecting the complexity of these changes.
As businesses, educators, and policymakers navigate this evolving landscape, the future of DEI still remains uncertain but undeniably significant in shaping workforce and institutional policies moving forward.