How are C-suites reacting to Trump’s DEI orders?

Solely 8% of C-suite leaders surveyed say they’re critically contemplating altering their variety, fairness and inclusion packages on account of President Donald Trump’s  govt orders concentrating on DEI, in response to a Feb. 26 report from Littler.

Whereas 53% of C-suite leaders surveyed after the inauguration stated the administration’s insurance policies and rhetoric are more likely to lower company DEI commitments in 2025 — a 15 proportion level bounce from pre-inauguration survey outcomes — 47% of executives stated commitments will both stay the identical or develop in 2025.

Nonetheless, greater than half surveyed stated they’re anxious in regards to the threat of DEI-related lawsuits, authorities enforcement and shareholder proposals. 

These issues may be well-founded as lawsuits and shareholder proposals have already got challenged employers. Target, Costco and John Deere, to call a couple of, confronted shareholder strain relating to these points from each DEI detractors and supporters. 

Republican attorneys common also sent a pointed letter to Costco demanding the corporate drop its DEI packages inside 30 days not lengthy after the corporate’s board refused a shareholder proposal asking the corporate to provide a report on the dangers of its DEI programming.

So far as inside DEI programming is anxious, solely 22% of executives surveyed by Littler stated they’re contemplating eliminating DEI-focused roles, and 28% stated they’re contemplating worker useful resource group rollbacks.

However of those that are contemplating DEI pullbacks, 52% stated they’re taking a look at eliminating DEI benchmarks and comparable metrics partly to keep away from any semblance of quotas — one thing the Trump administration has loudly denounced. Varied firms, including Google, have already made this transfer. 

“The letter of the legislation” relating to DEI “stays unchanged,” Kate Mrkonich Wilson, Littler shareholder and member of the agency’s IE&D consulting observe, stated in an announcement. However the threat of lawsuits is “amplified” attributable to Trump’s regulatory priorities, she famous.

“In consequence, it’s extra necessary than ever” for personal employers to evaluate their DEI practices “for any potential vulnerabilities to information compliance with longstanding anti-discrimination legal guidelines.”