since Trump administration Begins to collapse DEI Program At the beginning of the year, many companies were scrambling to remove or cover up their DEI plans. But former gubernatorial candidate in Georgia Stacey Abrams Warnings to the company Change their policies To appease a new political order: it will not stop here.
“This concept of simply following water is the opposite of every history we have written, which is the opposite of every history we have ever written,” she said on a panel at NYU Law School on July 11. “It may not cost you in the short term, but in the long term.”
Abrams argued that companies that previously made DEI commitments only reversed it after a few years and would eventually isolate certain groups in the process. She added that the companies “don’t operate on silo islands” because consumers are paying attention. These include former federal contractors President Trump’s order Eliminate its policies, or lose government business.
“I don’t have much sympathy for billions of dollars companies that care about losing some contracts when they are willing to sacrifice their entire community for that purpose,” Abrams said.
Major companies like Target have Facing boycott and customers reduce or eliminate criticism from their DEI programs, resulting in traffic declines and Missed sales expectations recent. But Abrams pointed out Costco As an example of a company that relies on DEI policies. Earlier this year, the company’s board directors unanimously asked shareholders to vote against shareholder proposals, and they voted for them at a profit margin of 98%. Board of Directors explain The organization is “rooted in respect” and inclusion is “appropriate and necessary”.
Abrams noted that the necessary conditions for advocating DEI programs are not only legal, but also beneficial to the organization.
“Costco has always been based on this responsibility. So no matter the change, they never need to change their policies, they never have to promote their identity. They are simple. We can see the difference between Costco and other institutions.”
British
brit.morse@fortune.com
Around the table
The most important HR headlines roundup.
Indeed, Glassdoor is cutting about 1,300 jobs as part of a move that combines operations and focuses on AI. Bloomberg
The State Department is laying off more than 1,300 employees as part of a comprehensive restructuring of the Trump administration. Wall Street Journal
The FCC is involved in certain transactions and putting pressure on companies to abandon their DEI commitments in order to keep moving forward. New York Times
Water cooler
Everything you need to know wealth.
positive. The recently passed “a large bill” will include billions of dollars Tax cuts related to parenting. –Sara Braun and Alicia Adamczyk
A war of talents. Meta ignited Fierce battle of AI talentsproviding large compensation packages to top candidates. – Ashley Lutz and Fortune Intelligence
No replacement workers. As a tech giant Put down thousands of workersS The CEO of a $8 billion food company thanks to AI says real people are still the most important part. –Preston comes
