'Walmart for everyone'? | Walmart scraps DEI programs including racial equity center amid conservative pressure

Walmart scraps DEI programs including racial equity center amid conservative pressure

Walmart has adjusted its diversity, equity, and inclusion (DEI) initiatives following scrutiny from conservative voices, sparking further debate over corporate responsibility and workplace belonging.

The retail giant recently announced changes, including the discontinuation of a racial equity center established in 2020 and the cessation of its participation in the Human Rights Campaign’s annual benchmark for LGBTQ+ workplace inclusion.

It will undoubtedly be viewed in the context of a broader DEI backlash, while Walmart maintains the changes were part of long-term plans unrelated to outside pressure. The adjustments align with an increasingly polarized political environment, where opposition to DEI efforts has gained traction, particularly since the election victory by Donald Trump.

The focus on Walmart intensified after conservative activist Robby Starbuck revealed he was preparing a report scrutinizing the company’s DEI practices. Starbuck claimed he held “productive conversations” with Walmart that led to the revisions. “Changing the policy of a nearly $1trillion company is a gargantuan feat,” Starbuck said. He added that Walmart’s shifts could set a precedent for other corporate giants.

Among the announced changes, Walmart pledged to review third-party marketplace items for “inappropriate sexual and/or transgender products marketed to children,” reassess its Pride funding, and remove the term “Latinx” from official communications.

"Walmart for everyone"

In a statement, Walmart reiterated its commitment to fostering workplace wellbeing and inclusion: “We’ve been on a journey and know we aren’t perfect, but every decision comes from a place of wanting to foster a sense of belonging…to be a Walmart for everyone.”

The retailer emphasized that several adjustments, such as its shift from using DEI to “belonging” in terminology, were planned well before recent discussions.

Walmart’s changes occur against a backdrop of growing political and public opposition to DEI programs. The Supreme Court’s 2023 decision banning race-conscious admissions in higher education has emboldened challenges to workplace initiatives, while consumer boycotts targeting LGBTQ+ marketing campaigns by brands like Target and Bud Light have reshaped corporate strategies.

Commitments to DEI

Despite the pushback, corporate DEI efforts remain broadly supported, particularly among younger demographics. Advocates argue these programs are crucial for hiring and retaining diverse talent, fostering innovation, and reflecting the communities businesses serve.

However, a 2023 Conference Board survey found that over 60% of corporate executives view today’s political climate as a significant challenge for DEI. While most companies plan to maintain their DEI commitments, fewer than 10% intend to scale back in the near term.

For Walmart, the balance between appeasing critics and maintaining inclusive workplace practices reflects a broader challenge faced by corporations navigating a hazardous political and social environment. The retailer’s response, quickly backing down from social media criticism, adds it to a growing list of companies whose real commitment to DEI must be questioned.

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