Trump is attacking DEI. Big businesses believe it’s valuable

Trump Criticizes DEI Efforts, But Major Companies Stand By Diversity Initiatives

President Donald Trump recently blamed the Federal Aviation Administration’s (FAA) diversity efforts for a plane collision in Washington, D.C. that killed 67 people. He did not provide evidence linking diversity hiring practices to the crash, stating only that “it just could have been.” Trump specifically criticized the FAA’s recruitment of individuals with disabilities under the Biden administration, despite the FAA’s own support for such hiring during Trump’s first term.

This marks another instance where critics of Diversity, Equity, and Inclusion (DEI) initiatives, like Elon Musk, have claimed that such programs lead to negative outcomes. Musk previously suggested that DEI efforts contributed to the California wildfires by hindering the Los Angeles Fire Department’s performance.

Despite growing opposition from conservative circles, DEI remains integral to many of America’s top companies, which view it as essential for business success. Companies like Walmart, McDonald’s, Target, and Ford have made adjustments to their DEI strategies, but many still maintain strong commitments to diversity, emphasizing its value in attracting and retaining talent. According to research by the Boston Consulting Group, DEI initiatives have been linked to increased profits, reduced employee turnover, and enhanced motivation.

Ken Frazier, the first Black CEO of a major pharmaceutical company, defended DEI, stating it helps uncover “hidden talent” and offers fair opportunities for disadvantaged individuals. A recent study found that 486 out of 500 Fortune companies still have a DEI commitment. Leading firms, including e.l.f. Beauty and Costco, remain firm in their support for diversity efforts, citing the importance of diverse teams in driving better outcomes and enhancing customer experiences.

Despite the controversy surrounding DEI, experts suggest that most companies view diversity as a long-term business asset, with some adjusting the language or structure of their programs rather than abandoning them entirely.

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