Diversity, equity, and inclusion programs at some of the nation’s largest companies have been falling apart one by one in 2024, with signs that efforts to reverse DEI initiatives will only intensify in 2025.
This year saw the rise of prominent figures like Elon Musk and Lululemon founder Chip Wilson, among others, who have loudly lobbied against DEI initiatives. Major corporations, including Walmart, Lowe’s, Ford, and Toyota, have heeded the call and reconnected with their DEI programs, especially after social media-driven campaigns by influencers like Robbie Starbuck.
Meanwhile, Utah, Alabama, and Iowa have joined Florida and Texas in banning DEI offices at their public universities, and three other states—Idaho, Kansas, and Indiana—have banned colleges from requiring diversity data in hiring and admissions.
All of this comes after countless companies pledged to support diversity efforts across the board following the 2020 police killing of George Floyd in Minneapolis, sparking a national social justice movement.
But with President-elect Donald Trump and his administration vowing to eliminate federally funded diversity programs, the future of DEI is in jeopardy.
Nika White, who runs a company specializing in DEI, said the field has had a challenging year.
“The rhetoric around banning DEI programs in institutional and academic settings, especially in the context of the broader political climate, often ignores the fact that such programs are designed not to ‘lower the bar’ but to raise it by ensuring that everyone — regardless of background — has an equal opportunity to contribute and succeed,” Musk said on his social media platform X. As a senator, Vice President-elect J.D. Vance co-sponsored the bill to dismantle the DEI Act in June, calling DEI “a destructive ideology that breeds hatred and racial division.” Trump signed an executive order exempting federal DEI programs near the end of his first term in 2020, which Joe Biden rescinded shortly after taking office. The Trump transition team did not respond to a request for comment.
In the midst of this summer’s presidential election, Democratic nominee Kamala Harris was labeled a “DEI hire” in one of the most extreme policy attacks. A baseless politician blamed DEI for the collapse of a Baltimore bridge in March, and others have claimed DEI makes air travel unsafe.
“These attacks are often rooted in anti-Black racism,” White said. “Billionaire business owners who wield influence to limit DEI initiatives often do so under the guise of ‘colorblindness’ or ‘meritocracy,’ arguing that DEI programs prioritize identity over skill.” “It undermines the progress that has been made over the past few decades, creating a chilling effect that can further polarize our society, and limit the ability of organizations to have open and honest conversations about race, equity, and inclusion—conversations that are critical to moving us forward as a nation.”
Demonizing DEI “fails to recognize the systemic barriers that many marginalized groups face in accessing opportunity and thriving in environments where they are not valued or represented,” she added.
Not Quite the Death Knell
If 2025 is the year DEI dies, as some hope, it will take a massive effort. Trump has threatened to revoke federal funding and accreditation for colleges and universities that don’t comply, which he will do in the face of legal challenges.
On the business side, many companies have continued their diversity and inclusion initiatives, albeit quietly. CEOs like JPMorgan Chase’s Jamie Dimon have called themselves “a full-throated, red-blooded, patriotic, calm capitalist CEO,” and their commitment to DEI has been unwavering. Mark Cuban, the “Shark Tank” host and former owner of the NBA’s Dallas Mavericks, has said that having a diverse workforce is “good for business.”
Fatima Gilliam, who heads DEI consulting firm The Azara Group and is the author of “Race Rules: What Your Black Friends Won’t Tell You,” wants to hear more voices like the ones coming out in the new year to stave off the threat. The capitulation of corporations and universities and the silence of business leaders have been “disheartening,” she said, or what she calls “profiles of lack of courage.”
The longer negative discourse around DEI goes unchallenged, Gilliam added, “People are kind of justifying this new normal; they’re not just agreeing with it, but then they’re defending it.”
A survey by Rover College, a website that helps users manage the complexities of applying to college, found that 54 percent of students who responded support DEI and push for mandatory DEI courses, and 70 percent describe the overall impact of DEI on college campuses as positive.
“You can’t throw the baby out with the bathwater,” said Bill Townsend, CEO and founder of Rover College. “Is DEI flawed? Yes, but it still works. But there are a lot of good parts that are thrown out with the bad parts, and students see that.”
The “work” at Townsend involves socialization and exposure to the diverse opinions and experiences that come with a diverse student body. In fact, he said, 55 percent of Republican students surveyed said they viewed DEI as a positive.
“The big positive about DEI is that it exposes people to racial groups and views about race that are different from the way they were raised at home,” he said. “We have to work and live among people who are different from us. DEI helps us manage that dynamic. Getting rid of DEI reinforces the fact that you don’t have to get along with everyone. It doesn’t have to be that way.”
In addition, according to the Boston Consulting Group, research of more than 27,000 employees in 16 countries shows that DEI programs increase profits and inspire employee engagement. “Many leaders are doubling down on their commitment to DEI, not just because it’s the right thing to do but because they recognize that inclusion drives innovation, employee satisfaction, and organizational performance,” White said.
In 2024, DEI critic Robbie Starbuck led a campaign for companies, including giant Walmart, to dismantle their DEI programs through angry social media posts.
Starbuck, which did not respond to a request for comment on its 2025 plans, has said it will push to drop DEI.
White and Gilliam, the DEI experts, acknowledged Starbuck’s influence. As a result, some companies that want to keep DEI but fear backlash have rebranded diversity, equity and inclusion as “inclusion and belonging” and other phrases.
“DEI, the letters and what they mean, are a problem for people,” Townsend said, adding that “diversity and inclusion” might be less jarring.
DEI advocates said they don’t care what it’s called. They just want to protect it.
“I’m pessimistic about the future of DEI because I see things as they happen,” Gilliam said. “But I think there’s hope, but hope has to come from people on an individual basis.” People need to stand up and make a decision to influence what’s really happening. “You’re not going to stand up and support me, and I’m not going to support you by spending my dollars with your company.” And I’m going to tell everyone not to do that either. We have to put our stake in the ground and take an aggressive stance like they do. It’s important.”
