McDonald’s is following a trend among various corporations to reconsider their diversity, equity, and inclusion (DEI) initiatives. The fast-food giant pointed to a decision by the U.S. Supreme Court in July 2023 that banned affirmative action in college admissions as a key factor in its decision-making process.
In recent times, conservative activists have been targeting companies both legally and through social media, aiming to establish a similar movement against DEI initiatives within workplaces. These activists have specifically focused on diversity programs and hiring practices that prioritize underrepresented groups, and have extended their critiques to include initiatives related to gender identity and sexual orientation.
Typically, DEI policies are designed to counter discriminatory practices; however, some critics contend that programs that differentiate participants based on characteristics such as race, gender, and sexual orientation are inherently inequitable, arguing for equal opportunities for all.
In a recent announcement, McDonald’s declared that it would discontinue certain objectives aimed at enhancing diversity within its senior leadership ranks and would also terminate a program meant to induce its suppliers to develop diversity training. In a rebranding effort, the diversity team will now be known as the Global Inclusion Team. Despite these changes, McDonald’s maintains that it is dedicated to fostering inclusion and sees a diverse workforce as beneficial for competition.
Other companies have also retracted their DEI commitments:
**Walmart**
Walmart, the world’s largest retailer, revealed in November that it would not extend its five-year partnership with an equity racial center formed following the police murder of George Floyd in 2020, and would cease its involvement with the Human Rights Campaign’s annual inclusion benchmark for LGBTQ+ employees. The company also pledged to monitor its third-party marketplace more closely to ensure that products aimed at LGBTQ+ minors, such as transgender youth chest binders, are excluded. Moreover, Walmart no longer intends to use race and gender as criteria for improving diversity in supplier contracts, nor will it collect demographic data for grant eligibility.
**Ford**
In August, CEO Jim Farley informed employees in a memo of changes to Ford’s DEI strategies, including a halt on participation in the HRC’s Corporate Equality Index. The automaker has been evaluating its policies for a year and has no plans to enforce hiring quotas or link pay to specific diversity targets. Farley affirmed the company’s dedication to creating a safe and inclusive environment while emphasizing that efforts and resources will be allocated towards serving customers, employees, and communities rather than engaging publicly with polarizing social issues.
**Lowe’s**
In response to the Supreme Court’s ruling on affirmative action, Lowe’s leadership announced in August that they were reviewing existing programs and merging its employee resource groups into a single organization. Previously segmented into distinct groups representing diverse demographics, the company will also withdraw from participating in the HRC index and will stop sponsoring events outside its core business interests.
**John Deere**
In July, John Deere indicated that it would discontinue sponsoring “social or cultural awareness” events and would audit training materials to ensure compliance with federal and local regulations. The company, which is based in Moline, Illinois, emphasized that it has never had policies regarding diversity quotas or pronoun identification, while still claiming to uphold its commitment to tracking and enhancing internal diversity.
**Tractor Supply**
Tractor Supply announced in June that it would terminate various corporate diversity and climate initiatives following a significant backlash from conservative groups online. The retailer stated it would dissolve all DEI roles, abandon existing DEI objectives, and cease sponsorship of non-business-related activities such as Pride festivals and voting campaigns. Additionally, the company will no longer participate in the HRC index and will shift its focus from carbon emission goals to land and water conservation efforts. The National Black Farmers Association even called for the resignation of Tractor Supply’s president and CEO shortly after the announcement was made.
