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Walmart, the country’s largest private employer, rolls back DEI under pressure


Workplace diversity

Walmart, the country’s largest private employer, rolls back DEI under pressure

Portrait of Jessica Guynn Jessica Guynn

USA TODAY

Walmart, the country’s largest private employer, is the latest corporation to make changes to its diversity, stake and inclusion initiatives under pressure from a conservative activist.

The retail giant said it would not renew a racial stake center it created following the 2020 murder of George Floyd and it would no longer participate in an annual point of reference index from LGBTQ+ advocacy throng the Human Rights Campaign.

Robby Starbuck said he warned Walmart last week he was working on a update about “wokeness.” According to Starbuck, the corporation then engaged in “productive conversations” to make changes. 

“Removing wokeness from Walmart has both downstream effects on suppliers and it sets the tone for corporate America,” Starbuck told USA TODAY. “Changing the normal operating policy at a nearly $1 trillion corporation is a gargantuan feat that many have tried to achieve but no one until now has actually been able to get done.”  

Walmart also committed to monitoring third-event items in the Walmart marketplace for “inappropriate sexual and/or transgender products marketed to children;” reviewing all self-esteem capital; and no longer using the term LatinX in official communications, Starbuck said.

Walmart said many of the DEI changes were in the works for a few years and were not a outcome of the exchange with Starbuck. For example, Walmart said it already switched its terminology from DEI to belonging and made changes to its supplier diversity program.

“We’ve been on a trip and recognize we aren’t perfect, but every selection comes from a place of wanting to foster a sense of belonging, to open doors to opportunities for all our associates, customers and suppliers and to be a Walmart for everyone,” the corporation said in an emailed statement.

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After the murder of George Floyd in 2020 forced a historic reckoning with race in America, businesses pledged to make their workforces and their leadership better reflect the communities they serve.

Employees of color are underrepresented at every level of power in corporate America, according to USA TODAY data investigations. One analysis in 2023 found that white men account for 7 in 10 executive officers in the country’s largest companies. About 1 in 7 of these companies had executive teams made up only of white men.

But four years after those 2020 promises, the political landscape has shifted. Though corporate diversity efforts are broadly supported by the American community – especially younger Americans – they face growing scrutiny in the courts and in statehouses across the country as correct-wing foundations, ponder tanks and political operatives push “race-neutral” policies. 

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The Supreme Court selection in 2023 to ban the consideration of race in higher education only emboldened attacks on workplace programs. 

community sentiment has also shifted. customer boycotts that slashed sales forced some brands like Bud Light and Target to retreat from marketing campaigns to the LGBTQ+ throng. Major brands like Ford and Lowe’s have abandoned initiatives and overhauled teams after pressure from Starbuck.

Walmart logo is shown on the front of shopping cart at a Walmart store on May 18, 2023 in Chicago, Illinois.

In conservative circles, the 2024 election is being viewed as a referendum on DEI. President-elect Donald Trump has pledged to crack down on corporations that do business with the federal government.

More than 60% of corporate executives surveyed by business research throng The Conference Board view today’s political climate for corporate DEI as very or extremely challenging, and most expected continued or escalating pushback. 

Even so, fewer than 10% of the organizations planned to scale back their DEI commitments over the next three years. 

Proponents declare DEI programs are excellent for business, helping companies hire and retain diverse talent and make environments that boost recent concept

But business leaders are reluctant to talk about their initiatives. Major corporations including Walmart recently declined to make executives available to USA TODAY to discuss their DEI programs.

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