Companies that kept policies did just as well financially, even after Trump’s executive order, as those that didn’t

Conservative backlash was supposed to put an end to the diversity, inclusion and equity (DEI) movement as companies were warned “go woke, go broke”.

In January 2025, Donald Trump delivered a death knell, ending DEI within the federal government with executive orders and threatening to target companies that still supported it. Companies including Google, Goldman Sachs, McDonald’s and Walmart that had embraced DEI years earlier fell into line and announced an end to their policies.

But new research published on Friday and shared exclusively with the Guardian found that companies that resisted the pressure and kept their DEI practices, including Costco, Apple and Delta Air Lines, performed just as well as their competitors who pulled back.

  • turtlesareneat@piefed.ca
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    1 hour ago

    Folks here’s the deal. Corporations have an obligation to the shareholder over everyone else. Costco doesn’t give a shit about consumers. Costco cares about nurturing and communicating their brand, which is all about being pro-consumer.

    Target doesn’t give a shit about you. Apple doesn’t give a shit about you. Nike. Whatever brand you love, it doesn’t love you back. Unless you’re a shareholder and you want a very specific thing.

    Corporations that kept DEI had their internal prognosticators tell them “it’ll blow over and be better for us if we stay the course.” That’s it. Never in any meeting did someone utter the words “It’s the right thing to do, that’s why.”

    Corporations that tossed DEI made a different calculation.

    That’s it.

    So celebrate that our side currently has a very good market segment in all these corporations, but don’t celebrate anything else.

    • vithigar@lemmy.ca
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      30 minutes ago

      Costco doesn’t give a shit about consumers. Costco cares about nurturing and communicating their brand, which is all about being pro-consumer.

      You’re not strictly wrong, and I understand that corporations are not anyone’s friends, but the line between these two distinctions is vanishingly thin.

    • cloudshouter@lemmy.zip
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      1 hour ago

      None of the people who hated DEI/affirmative action could ever tell me what it actually is. None of the people who say “let the market decide” understand or recognize that there are serious financial benefits to diversity based practices.

    • CharlesDarwin@lemmy.world
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      57 minutes ago

      Yep. It’s the same reason why corporations generally support women in the workplace, too. It’s an amoral calculation about more consumption.

      But I’m pretty sure I saw that corps also came down on racial equality in the Civil Rights era because it was better for business, they figured. Again, not necessarily a moral choice.

  • CharlesDarwin@lemmy.world
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    1 hour ago

    I still laugh that Odyssey made so much fucking money. And still is making money. So far it has grossed over a billion. This, after so many conservatives told us that it was going to fail bigly because “woke”.

    Somehow, I feel this is another thing (like Gamergate or Obama winning 2 terms, or them losing the stupid culture war over gay marriage, etc.) that will break the brains of conservatives and they will mete out their backlash later on normal Americans for it…

    Anyway, imagine people not choosing their entertainment based on a movie being “woke” or not…just because something like Star Wars The Acolyte sucked ballz and was “woke” doesn’t mean people were rejecting it because it’s “woke”, and that’s where the conservative culture warriors go so wrong on culture-war bullshit.

    Same goes for companies that bent the knee - or not - when it came to the wishes of the most hateful people in the country. I’m not surprised at all to learn that a company not being “woke” didn’t really matter to consumers and they were not really rewarded for getting rid of DEI or whatever, and that those that didn’t get rid of it were not punished.

    I’m sure quite a few Qnut types think that everyone in America is going to just start showering non-DEI companies with cash, but that’s not how it works, LOL.

  • Meron35@lemmy.world
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    3 hours ago

    Go nazi declare bankruptcy

    Redpilled, Get killed

    Go fash lose cash

    Lick boot, lose loot

    Go right eat shite

    All incel, no braincells

    Nazi salute, go destitute

    ADL, common L

    Ku Klux, lose bucks

    Apartheid, all downside

  • Godofdirt@lemmy.world
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    3 hours ago

    Costco just does the bare minimum of ethical behavior and is somehow one of the most ethical companies in America

  • vala@lemmy.dbzer0.com
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    5 hours ago

    performed just as well as their competitors who pulled back.

    Takeaway: no one cares.

  • SabinStargem@lemmy.today
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    6 hours ago

    If we ignore the (good) morality of DEI, there is plenty of pragmatic value in having it: You get to hire the best people for the job, and work with a wider variety of customers.

    Woke is good and practical.

  • mechoman444@lemmy.world
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    8 hours ago

    The issue here isn’t necessarily DEI itself. The fact that some companies performed better after implementing DEI programs and policies doesn’t necessarily mean they performed better simply because they became more inclusive. I think what may have actually happened is that these companies changed their hiring methods and policies in ways that reduced nepotism, cronyism, and other forms of favoritism, creating a more merit-based hiring system. And of course, that can translate into better profits because you’re hiring the best-qualified employees rather than your cousin, brother, sister, or some guy who happens to look like you.

    • DebraBucket@lemmy.world
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      7 hours ago

      because you’re hiring the best-qualified employees rather than your cousin, brother, sister, or some guy who happens to look like you

      That was the whole point of DEI. Data showed that diverse companies were more profitable. Addressing bias (like nepotism), especially unconscious bias (“I trust this guy more ~because he looks like me~”) was a primary initiative in DEI. The other was to encourage people who don’t normally speak up (either because they never get hired or because the environment is less psychologically safe for people like them) to do so and challenge group think. It was never meant to be”lower the bar”, but it was meant to force critical thinking around what the bar is.

      • mechoman444@lemmy.world
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        4 hours ago

        I know the other guy thinks I’m not nuanced enough to understand this, but the issue is that you guys aren’t actually understanding the distinction I’m making.

        The side effect of DEI was, in many cases, a push toward combating nepotism, cronyism, and arbitrary hiring practices in favor of hiring based on merit. And frankly, that should have been the goal from the beginning. The DEI framework wasn’t necessarily required to accomplish that.

        If you simply eliminate or curtail nepotism, cronyism, favoritism, and other arbitrary barriers to employment, you are already creating many of the outcomes people associate with DEI: a broader pool of candidates, more equal opportunity, and greater emphasis on qualifications rather than who someone knows or what social group they belong to.

        That’s where I think the problem ultimately becomes one of semantics and framing. It’s similar to what George Carlin was getting at with examples like “shell shock” becoming “post-traumatic stress disorder”: sometimes we change the terminology and then end up arguing about the terminology rather than the underlying phenomenon.

        By calling the entire project “DEI”, diversity, equity, and inclusion, the debate became about the meaning and implications of those words instead of focusing on the actual institutional problems we should be addressing.

        And we keep doing this for some reason. We give a perfectly straightforward objective a politically loaded name, and then everyone spends their time fighting over the nomenclature instead of fixing the underlying problem.

        Combating nepotism is a great idea. Calling it DEI was, in my opinion, a terrible idea.

        The better approach would have been to focus on transparent hiring, equal opportunity, eliminating nepotism and cronyism, and selecting people based on their qualifications and ability to do the job. Those principles naturally produce a more diverse workforce when the old barriers to entry are removed.

        And that’s the part I think gets lost in the argument: the goal shouldn’t be “including people into the workforce.” People don’t need to be artificially included if the system isn’t artificially excluding them in the first place.

        Remove the arbitrary barriers, judge people on their qualifications, and let the resulting workforce be whatever it naturally becomes. That’s a much easier principle to defend than turning the entire discussion into a fight over what DEI does or doesn’t mean.

        • DebraBucket@lemmy.world
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          2 hours ago

          The side effect of DEI was, in many cases, a push toward combating nepotism, cronyism, and arbitrary hiring practices in favor of hiring based on merit.

          That was not a side effect, that was the intent. I worked on DEI initiatives. Nepotism, managers higher their friends instead of the most qualified candidate was part of those conversations, they were raised by the employees we talked to. All those things are forms of bias.

          The DEI framework wasn’t necessarily required to accomplish that.

          Intentionally addressing bias isn’t necessary to combat people who have a bias against those who are not their friends or family?

          By calling the entire project “DEI”, diversity, equity, and inclusion, the debate became about the meaning and implications of those words instead of focusing on the actual institutional problems we should be addressing.

          That’s literally what you’re doing though. You are claiming the problem is how we named it, and arguing if we had only referred to it as something else, it would not have been a problem.

          It’s easy to complain about the efforts trying to address a problem, it’s harder to actually put forth that effort.

          Also, if a political group wants to demonize something, it doesn’t matter what you name it, they will demonize it. You had states legalizing Civil Unions instead of Marriages for same-sex couples: they STILL demonized the relationships. People like you were saying “the name Marriage is the problem, just call it something else”. We clearly see now that the name was never the problem.

        • MrShankles@lemmy.world
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          4 hours ago

          everyone spends their time fighting over the nomenclature instead of fixing the underlying problem

          Well said. What you’re describing reminds me of something I read long ago: essentially, auditioning for a position in an orchestra. But the person played from behind a curtain, so that the listeners/judges wouldn’t have bias. Simple, effective, and you get the most talented players in your ensemble

          How to implement best practices, without giving it a label that malicious ass hats can manipulate

          • mechoman444@lemmy.world
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            3 hours ago

            Thank you sir. I certainly appreciate it, although I have a feeling that this comment is going to get severely downloaded anyway.

  • Gork@sopuli.xyz
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    13 hours ago

    I will never ever set foot in a Target again when they completely abandoned their commitment to DEI.

  • HazardousBanjo@lemmy.world
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    12 hours ago

    No corporation is pro-working class.

    That being said, some are certainly worse than others.

    I will forever remain a loyal Costco member if they keep up their pro-consumer practices, including keeping their DEI programs.

      • xxploit@lemmy.ca
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        9 hours ago

        And AFAIK you can’t just get a job at Costco anymore (unless it’s something very specific that requires certain education /skill?), you have to work 1-2 years as contractor and hope to get an offer.

        If you know what’s worth getting and what isn’t at Costco, membership is still a good deal and if you know your spend, even just 3k a year, it’s worth being executive member over regular, as you get it back (60+) in cashback, but they are enshittifying at breakneck speed.

        • ExplosiveLynx@lemmy.world
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          9 hours ago

          I work at a Costco and we pretty regularly hire people with little to no experience so I’m not sure where you heard that first part. But they’re still a corporation and corporations suck so not defending them

  • Jaysyn@lemmy.world
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    11 hours ago

    The correct saying is, “Go Fash, Lose Cash.”

    Apple absolutely shouldn’t be in this list. They are basically working for ICE at this point.

  • Granbo's Holy Hotrod@lemmy.world
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    13 hours ago

    Its is weird because I know people who work are target and a few who have been there for going on 30 years and their stories tend to be positive and describe a very inclusive environment. I mean compared to other companies in that market…

    • Folstar@lemmus.org
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      12 hours ago

      For decades, Target was a fairly progressive and forward thinking company (by big company standards). That was why it was such a kick in the dick when Target dropped DEI.

      The whole situation was kind of weird since the CEO, Brian Cornell, who had been a vocal supporter of DEI and Target was wildly successful with him at the helm, seemed to lament the decision to end DEI… so who made that choice? The leader who pushed DEI and made us profitable was somehow overruled and it cost the company a shitload of money so now the CEO has to be replaced. What? What the fuck is going on a Target HQ?

      • ultranaut@lemmy.world
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        12 hours ago

        It was all bullshit the entire time, the public lamentation over the decision is kayfabe. Target never actually supported anything except making more money, as soon as they thought they could make money being against DEI they jumped ship. It was just a very effective marketing campaign where they faked support because it benefited them financially.

    • scytale@piefed.zip
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      12 hours ago

      I feel like that’s the case for a lot of them. The top level are publicly saying they are scrapping policies, but it’s still actually being observed in the lower levels. Like there’s a gap between what the executives are saying and what the actual people managing the company are doing.

  • dudeface@lemmy.world
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    10 hours ago

    Where I work is pretty woke still, I don’t know why someone cares much about what their workmates are or want to be