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Toyota has become the latest company to back away from workplace diversity plans, declaring that it will no longer participate in diversity, equity, and inclusion (DEI) events such as cultural festivals and parades.
Instead, the company says it plans to align its activities with STEM education and workforce readiness, according to a company memo.
The decision comes amid scrutiny from anti-DEI activist Robby Starbuck, who included Toyota in a series of companies he claims have embraced “woke” policies. A Toyota spokesperson dismissed the impact of Starbuck's campaign, however, telling Bloomberg that it was “negligible,” with only a few hundred employee queries and about 30 customer calls following his comments.
In an internal memo, Toyota announced it will cease participation in external DEI evaluations, including the Human Rights Campaign's Corporate Equality Index. The automaker explained the shift as a move to ensure that supported activities align with its core values and strategies.
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“When we find something that does not align with our values and strategies, we will address it directly,” the memo said.
Despite the reduction in external DEI activities, Toyota plans to continue supporting its Business Partnering Groups (BPGs), which it describes as fostering an “inclusive environment where diversity of thought can flourish.” The groups will continue to focus on professional development, networking, mentoring, and volunteer opportunities for employees.
The firm also emphasized that its new focus on STEM and workforce readiness is intended to create a more unified and values-driven company culture.
The memo explained that Toyota would also be reviewing its strategic partnerships and investments across all areas of its business. As a result, the company will no longer participate in national and regional culture surveys, such as Civic50 and Fair360, in addition to the HRC index.
DEI debate goes on
Starbuck, reacting to the news on social media platform X, praised Toyota’s decision, saying, “I have to give the executives credit for taking this unifying action. The companies who adopt neutrality will win the future because they don’t violate the core beliefs of the consumers they rely on.”
Toyota’s decision reflects a broader trend as corporations reassess their DEI commitments amid shifting public and consumer expectations. The roll-call of companies that have abandoned DEI initiatives in recent months includes Harley-Davidson, Ford, Jack Daniels, John Deere, Caterpillar and Molson-Coors. Plenty of other companies, meanwhile, have doubled-down on their DEI commitments such as Wells Fargo, Mastercard and JPMorgan Chase.
