Meta and Amazon recently announced their plans to reduce diversity initiatives.
Axios reported the memo to Meta’s employees to confirm that it had shifted its focus from DEI to other areas due to “a changing legal and policy environment”. Meta made this announcement shortly after it announced that it would be scrapping its independent fact checking programme on Facebook and Instagram. This program had been criticized by Donald Trump, the President-elect and other Republicans.
Amazon sent an employee memo a month before stating it would “wind down outdated programs and material” related to inclusion and equity.
Meta and Amazon do not act alone. Since Trump’s reelection, these tech giants have joined a growing list of US companies, including Walmart and McDonalds.
Some US companies are not following the trend of rolling back DEI. Apple has asked investors to vote against the proposal to stop its DEI efforts. We may see other organizations take a stance in the coming weeks.
Business leaders and HR professionals wonder what this trend means for workplace culture and progress in building inclusive cultures. Will this retreat bring tech giants rewards or will DEI evolve to regain corporate commitment and evolve?
It is possible to interpret the decision of Meta and Amazon to roll back on DEI programs as the end of corporate efforts for creating diverse and inclusive workplaces.
“Meta’s action is bandwagon-chasing and deeply disappointed.” Inclusion is not a fad. It’s a way to get more from our teams, says Bruce Daisley Workplace Culture Consultant and former Twitter VP.
He says that Zuckerberg’s strategy to pander to Trump will not go according to plan for Meta’s boss. The first Trump administration saw the populace respond to hate-filled politics, such as the attempted Muslim ban and the ban on transgender soldiers by becoming more vocal. “The #MeToo movement and the #BLM were born out of a reaction to injustice and prejudice,” says Daisley.
“It is reasonable to expect some level of political discord from the new administration.” He continues. In a few months, Zuckerberg’s actions may seem even more out-of-step with how employees and potential recruits feel.
This reaction is a knee-jerk response that lacks a counterbalance
Stakeholders may also interpret the decision of large firms to withdraw from diversity plans as impulsive and without much consideration for alternative approaches.
The co-chair of the equality and diversity committee at University of Edinburgh Business School, Dr Tom Calvard says: “These companies appear to be more concerned about what they plan to roll back than what they intend to add.”
This could be perceived by some as a more knee-jerk reaction and a sign of a general lack of DEI engagement. Calvard says that stakeholders would be better served if there was a more transparent, democratic, and evidence-based decision-making process, which explains how the rollbacks can be offset through investments in effective governance, HR practices, and strategic plans. Calvard adds that “Pessimistic comparisons can also be drawn between the failure of large companies to engage with climate change and sustainable business.”
Quick-fix DEI plans lack return on investment
Lack of return on investments could also be a factor in the decline.
Shakil Butt is an HR specialist and D&I Consultant. He notes that following events such as the #MeToo, #BLM, and tragedies like those of George Floyd and Sarah Everard organisations prioritized diversity. This led to the creation of a multitude of DEI positions, often filled by individuals with little experience. Quick-fix initiatives were funded to appear to be doing something.
The DEI is a superficial initiative that aims to attract diverse talent, raise awareness and understanding and promote inclusion in a tokenistic way.
Butt says, “Senior leaders could not see how their investment would impact retention or improve service to customers and users.”
Turning DEI Barriers into Opportunities
It may seem that the widespread winding down of DEI in US companies is a step backwards for diversity and inclusion at work. Some inclusion experts see these changing tides as a chance for individuals to stand up and organisations to change their approach.
Lockwood believes that progressive organisations will adopt a holistic approach to DEI, integrating it into their broader wellbeing strategy.
Individual Influence
We have the ability to influence organisations’ actions and decisions as customers and employees. It’s important to support and recognise organisations that are genuinely committed to creating diverse and equitable workplaces where inclusion is a part of their values and actions, says Jenny Garrett, an author and executive coach who is dedicated to advancing DEI.
We must use our influence, both as employees and consumers, to align ourselves with companies who champion true representation. Voting with your feet and wallets is a powerful way to send a message that holds corporations accountable and drives meaningful change.
Change the language
Garrett also sees the opportunity to change language when discussing issues related to inclusion. Garret says that ‘DEI,’ as a buzzword has perhaps become politicised. This is an opportunity to reframe our conversation and find language that resonates across all stakeholders, fostering genuine buy-in.
Atif Chhoudhury is the CEO and Co-Founder at Diversity and Ability. He agrees that the language must change, and that a greater emphasis should be placed on intersectionality. “We need to create new definitions of DEI and initiatives built on the foundation of intersectionality. This will position businesses to succeed over those who have abandoned doing the right things when it was easier to do so.”
Shifting to long-term strategies
Choudhury stresses the importance of incorporating longer-term concerns into decision-making.
“We should strive for initiatives that unite people and have a lasting impact.” Choudhury says, “We must not forget that diversity is counting people and inclusion is making people count.”
He adds, “Think beyond short-term; cutting back now could lead to losing trust, progress and talent.”
DEI isn’t dead – it’s evolving
It may seem that the quest to create diverse and inclusive workplaces is over for companies like Meta and Amazon. But Joanne Lockwood is confident that it will survive: “The fight will continue, because equity is not only a moral obligation but also a driver for business success.”
Lockwood says that “DEI hasn’t died – it is simply evolving.”
How does this evolution manifest itself in reality?
Lockwood believes that progressive organisations will adopt a holistic approach to DEI, integrating it into their broader wellbeing strategy.
“Inclusive work environments don’t happen by accident. They are sustained by leadership, allieship, and accountability.” Focus must be shifted to initiatives that promote psychological safety, equal opportunity, and genuine connection in the workplace.