The Diversity Dilemma

President Donald Trump targeted DEI programs as soon as he returned to office, but research suggests many companies are sticking with them

- AMAN KIDWAI

THE FIRST FEW MONTHS OF DONald Trump's second presidency and changes in the federal and cultural landscape have had a dramatic effect on corporate diversity, equity and inclusion efforts, but for many companies those policies appear to remain an integral part of a sound talent strategy.

A recent survey of corporate leaders, including general counsel, HR and diversity officers, by employment law firm Littler found that 49 percent of C-suite leaders were not considering new or further rollbacks of DEI programs, despite the Trump administration's moves to end such initiatives. Littler found that only 8 percent are seriously considering changes, and in 2024 three-quarters of the businesses surveyed maintained (46 percent) or increased (30 percent) DEI commitments and activity.

Of the leaders continuing their efforts, around three-quarters said that employee expectations played a role, "suggesting that [DEI] remains an important talent retention and recruitment strategy for many employers even as the environment around those efforts becomes more hostile,” said a Littler report in response to the findings. Amid the surging sense of DEI backlash in January, Newsweek noted survey data from Gravity Research that showed 43 percent of firms in the Fortune 100 mentioned DEI in 2023 earnings calls. That fell last year to 31 percent, but there was a 59 percent rise in neutral, related terms such as “belonging” or “diverse perspectives.”