Donald Trump's incoming administration will make opposition to DEI initiatives official, promising sweeping reforms across federal agencies, contractors, and educational institutions.
The incoming administration’s agenda underscores a growing polarization around DEI, which remains a contentious issue in both the public and private sectors.
Trump has vowed to dismantle federal DEI programs, revoke related requirements, and eliminate government staff dedicated to implementing DEI policies. Speaking during his campaign, he framed DEI as fostering unlawful discrimination, pledging to fine universities engaging in “explicit unlawful discrimination under the guise of equity.”
His administration plans to pursue the changes through measures like the Dismantle DEI Act, sponsored by Vice President-elect JD Vance, which aims to eliminate DEI funding and programming across federal entities.
Mixed perspectives on DEI
The debate over DEI is not confined to Washington. Private companies remain divided over the merits of such programs, with some arguing they promote tolerance and inclusion, while others question their effectiveness.
Bill Townsend, CEO of College Rover, defended DEI initiatives, saying: “The big positive about DEI is that it exposes people to ethnic groups and viewpoints that are different from how they were raised. We have to work and live among people who are different from us, and DEI helps us manage that dynamic.”
Conversely, critics like Harvard public policy professor Iris Bohnet point to a lack of evidence that DEI training delivers meaningful outcomes. “I did not find a single study that found diversity training leads to more diversity,” Bohnet said, adding that changing mindsets is “very hard.”
Organizations like The Heritage Foundation have similarly argued that DEI programs fail to increase tolerance and may exacerbate divisions within workplaces.
Federal spending under scrutiny
A December report from the conservative group Parents Defending Education revealed that since 2021, the federal government has spent over $1 billion on DEI-related grants. This includes $490 million for DEI hiring, $343 million for programming, and $169 million for mental health and social-emotional learning tied to DEI.
Examples of funded initiatives include antiracist counseling for students, youth activism programs, and race-based teacher affinity groups. In Utah, the Cook Center for Human Connection received $4 million to support middle school students struggling with anxiety, depression, and other mental health issues.
Anne Brown, CEO of the Cook Center, explained, “We provide courses for parents to help them support their children through challenges like anger or depression, equipping families with resources tailored to their needs.”
DOGE targets "DEI bloat"
Leading the charge to curtail federal DEI spending is the Department of Government Efficiency (DOGE), a newly created entity helmed by entrepreneur Vivek Ramaswamy and Tesla CEO Elon Musk. DOGE’s mandate includes slashing regulations, cutting expenditures, and restructuring federal agencies.
Musk has been an outspoken critic of DEI, declaring on X, “DEI is racism and sexism,” and accusing the movement of fostering illegal discriminatory practices. Ramaswamy echoed his sentiments, highlighting the significant payroll costs for DEI staff within federal agencies.
According to Ramaswamy, the Department of Health and Human Services employs 294 DEI staffers across seven offices, with a combined payroll exceeding $67 million. “The latest HHS budget request mentions ‘equity’ 829 times. An efficient government has no place for DEI bloat,” he said.
As the federal government reevaluates DEI priorities, private sector leaders and HR professionals face tough decisions about the future of workplace inclusion policies. The debate highlights the tension between fostering diversity and addressing concerns over legality, cost, and efficacy.