Companies That Have Stripped Back Their DEI Efforts
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Several major U.S. companies are buckling under pressure from conservative groups to scale back or eliminate diversity, equity, and inclusion (DEI) programs. This shift follows the U.S. Supreme Court’s June 2023 ruling that ended affirmative action in college admissions. Spurred by this decision, conservative organizations have filed lawsuits targeting DEI initiatives in corporate America, challenging workplace practices that aim to support marginalized groups.
McDonald’s is the latest company to dial back its DEI efforts. In a statement posted on the fast-food chain’s website on Jan. 6, the company announced it would revise its DEI protocols. Although McDonald’s will continue to review diversity goals through its Purpose & Impact Report, which covers the board, employees, and suppliers, the company is introducing the “Golden Rule”—treating everyone with dignity, fairness, and respect—as a core principle of its inclusion strategy. McDonald’s has also outlined four key guiding principles: promoting community reflection, leveraging inclusion for competitive advantage, fostering a sense of belonging, and maintaining business accountability.
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In addition, McDonald’s is implementing several strategic changes. The company said that it would be moving away from “aspirational representation goals” and focusing instead on embedding inclusion practices into daily operations. It is also pausing external surveys to focus on internal growth, and replacing its supplier diversity pledge with a more integrated approach to inclusion and business performance. The diversity team will be renamed the Global Inclusion Team to better align with the company’s values.
As part of its ongoing DEI efforts, McDonald’s said it made significant strides. The company reported that over 30% of its U.S. leadership team comes from underrepresented groups. On pay equity, McDonald’s has achieved gender pay parity across all levels and markets, as highlighted in its 2024 Purpose and Impact Report. The most recent employee Pulse Survey found that 84% of employees feel McDonald’s is an environment where they can be themselves, and 78% of employees rated the company positively on its Inclusion Index. Additionally, McDonald’s has exceeded its U.S. supplier diversity goal of 25% diverse-owned supplier spend by 2025, achieving it three years ahead of schedule, the letter stated.
“Inclusion is one of our core values and in 2024 “we opened our doors” to hundreds of millions of customers and two million crew people from all walks of life. Everyone is welcome under our Golden Arches, and this broad-based appeal is why McDonald’s is one of the world’s most beloved brands,” the company added in their announcement.
Here are several other companies that have scaled back DEI efforts.