
The landscape of federal diversity, equity, and inclusion (DEI) initiatives is undergoing significant changes as the current administration under Donald Trump has signaled intentions to end these programs. An executive order from the president has resulted in placing government DEI personnel on paid leave, leaving their future employment uncertain. In this shifting environment, major corporations in the United States, including industry giants like Walmart, Costco, and Target, are reevaluating their internal DEI strategies, with some opting to scale back or maintain their initiatives based on the evolving national discourse around these critical issues.
Explore the current state of DEI recruitment and employment programs within various major American corporations and how these changes may impact their workforce and community engagement strategies.
Revamped DEI Strategy at Target: What You Need to Know
On January 24, 2025, Target unveiled a transformative approach to its “belonging to the bullseye” strategy, which has raised eyebrows across the retail industry. According to a report by CBS News, the retailer is discontinuing a significant initiative aimed at supporting Black employees in their career development, enhancing the shopping experience for Black customers, and promoting Black-owned businesses nationwide. This shift marks a pivotal moment in Target’s DEI efforts, reflecting broader trends in corporate America.
In a statement, Target emphasized its commitment to “accelerating action in key areas” throughout 2025, indicating a strong focus on adapting to the evolving external landscape. The retailer aims to implement substantial changes that will drive growth and align its operations with the changing expectations of its customer base and stakeholders.
Target is ending its DEI initiatives. pic.twitter.com/IkwPIK36yV
? Tiffany Fong (@TiffanyFong_) January 24, 2025
Target’s announcement outlined several key actions that will be phased out, reflecting a significant shift in its approach to DEI:
- Ending a three-year set of diversity, equity, and inclusion goals
- Terminating its Racial Equity Action and Change (REACH) initiatives ?as planned?
- Transforming employee resource groups into communities focused on development and mentorship
- Assessing corporate partnerships to ensure alignment with Target?s growth roadmap
- Halting diversity-focused surveys, including the HRC?s Corporate Equality Index
- Redefining its “Supplier Diversity” team to “Supplier Engagement” to enhance the inclusive global procurement process, with a special focus on supporting small businesses
According to CBS News, Target’s chief community impact and equity officer, Kiera Fernandez, communicated to staff that “years of data, insights, listening, and learning have influenced this next chapter in our strategy.” She emphasized the importance of adapting to the changing external environment to remain relevant and effective in serving millions of consumers daily.
Walmart’s Strategic Shift in DEI Programs: An Overview
In a notable move, Walmart announced in November 2024 its intention to reduce its DEI programs, as reported by multiple sources. A significant aspect of this strategy involves a thorough review of grants allocated to Pride events, ensuring that Walmart does not inadvertently support sexual content deemed inappropriate for minors. For instance, the company mentioned that a family-friendly pavilion should not be adjacent to a drag show, as highlighted by the Associated Press.
Walmart expressed its commitment to fostering a sense of belonging among its associates, customers, and suppliers, stating, “We?ve been on a journey and know we aren?t perfect, but every decision is rooted in our desire to open doors to opportunities for everyone.” This statement underscores Walmart’s ongoing efforts to navigate the complexities of diversity and inclusion within its corporate framework.
Costco’s Shareholder Vote Against DEI Practices: A Significant Rejection
In a recent shareholder meeting, a majority of Costco investors voted against a proposal aimed at assessing the company’s diversity, equity, and inclusion practices. This move was reported by CBS News, with the anonymous investor contending that while the terms “diversity, equity, and inclusion” may seem harmless, they are often used to disguise a more radical agenda. The investor argued that these DEI initiatives undermine merit-based hiring and promotion processes by disregarding qualifications based on race and gender.
Ultimately, about 98 percent of Costco’s shareholders rejected the investor’s anti-DEI proposal, signaling strong support for the company’s current DEI practices despite the controversy surrounding such initiatives in the corporate world.
