The politicians, provocateurs and think tanks that in the past few years have worked to dismantle diversity, equity and inclusion may not appreciate the full consequences of their efforts.

They’ve used a variety of tactics, in the public and private sectors, including White House executive orders; lawsuits or the threat of lawsuits; shareholder proposals; and needling on social media. They’ve notched high-profile wins, most notably the Supreme Court’s ruling against affirmative action and capitulation at several companies, including retailers and brands that have ended or scaled back their DEI programs.

The successful challenges, inevitably, are forcing scrutiny of DEI practices. But they also provide an opportunity to reinforce DEI goals and execution, which David Glasgow, executive director of New York University’s Meltzer Center for Diversity, Inclusion, and Belonging, sees as a silver lining.

Indeed, the victories are hardly universal. Because diversity, equity and inclusion are good for business for a variety of reasons, most companies are not abandoning DEI. So far in 2025, Target, Nike and Costco are among those that have defended at least some aspects of their policies (in Costco’s case, vociferously). As the Heritage Foundation, a major DEI foe, noted in November, most Fortune 500 companies continue to publicly commit to DEI.

“It is a time for companies to refine and strengthen their inclusion efforts in ways that reduce the risk in the short term — because the risk is real, and we know that — and in ways that are sustainable in the long term,” said Adrienne Pulido, vice president of inclusion insights at Kantar. “So it is looking at both ends of the spectrum, in terms of being very clear about what inclusion means to their business.”

What DEI is and isn’t

DEI is being pilloried as discriminatory and unfair, yet these systems are designed to create a business that is neither. That is, a business where employees have a variety of backgrounds and perspectives (diversity); hiring, promotion and other actions are executed fairly (equity); and the culture is comfortable and inviting to all who work there (inclusion).

“Unpacking what DEI is and what inclusion is, is part of this moment we’re in and part of the conversation that companies need to have about their strategies,” Pulido said by video conference. “What does DEI mean to the business itself? What does it mean to the business and to the future business? Because the demographics of the country are changing, and our research shows that inclusion as a concept, as an idea, is very popular among Americans of all backgrounds.”

DEI goals for most companies are more important than ever because the markets for their products and services are more diverse than they were a decade or more ago, according to Effenus Henderson, who has worked in recruiting, staffing and succession planning at companies in the U.S. and abroad since the 1970s.

‍

Read full article here