Ford Motor Adjusts DEI Program Amidst Growing Pressure from Conservative Groups

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Ford Motor Revamps Diversity, Equity, and Inclusion Program, Exits LGBTQ Advocacy Group Ranking Amid Conservative Pressure

Ford Motor Company (F.N) announced on Wednesday that it is revising its Diversity, Equity, and Inclusion (DEI) program, including its decision to withdraw from participating in a prominent LGBTQ advocacy group’s ranking system. This move aligns Ford with a growing number of U.S. companies that are rethinking their DEI strategies in response to increasing pressure from conservative groups.

Ford CEO Jim Farley addressed the change in a memo to employees, stating, “We are mindful that our employees and customers hold a wide range of beliefs, and the external and legal environment related to political and social issues continues to evolve.” This reflects the company’s intention to navigate the complex and shifting landscape of social and political issues while maintaining a focus on its workforce and customer base.

In recent months, several major U.S. companies, including JPMorgan Chase (JPM.N), Harley-Davidson (HOG.N), and Lowe’s (LOW.N), have also modified their DEI policies. These changes come after years of increased corporate emphasis on diversity initiatives, particularly following the widespread protests in 2020 against racial and gender disparities, sparked by the police killings of George Floyd and other Black Americans. The protests led to a heightened focus on DEI efforts aimed at increasing racial and ethnic representation in corporate leadership and across the workforce.

However, this commitment to diversity has faced significant challenges recently. Some companies have started to scale back their DEI programs due to pressure from conservative legal organizations. These groups argue that such programs constitute illegal discrimination and violate directors’ fiduciary duties to shareholders. The opposition to DEI initiatives has gained further momentum following the U.S. Supreme Court’s June 2023 ruling that struck down affirmative action in university admissions, even though this ruling does not directly impact corporate policies. Advocates for diversity warn that the backlash against DEI could undermine the progress made by underrepresented groups, particularly in achieving leadership positions within corporations.

Former President Donald Trump, who is currently a Republican candidate for the U.S. presidency, has been a vocal critic of DEI initiatives, further fueling the debate. In his memo, Farley emphasized that Ford would prioritize supporting its employees and customers over engaging in public commentary on polarizing social and political issues. He highlighted that the company’s employee resource groups have shifted their focus over the past year to emphasize networking, mentorship, professional development, and community service.

As part of its policy adjustments, Ford decided to discontinue its participation in certain external culture surveys earlier this year. This includes opting out of the Human Rights Campaign’s (HRC) ranking and various “best places to work” lists. The decision has drawn criticism from advocacy groups, with HRC president Kelley Robinson stating, “Ford Motor Company is abandoning its financial duty to recruit and keep top talent from across the full talent pool.”

The policy change was first reported by Bloomberg, and Robby Starbuck, a conservative activist known for scrutinizing corporate employment policies, provided the memo to Reuters. While Ford confirmed the accuracy of the memo, the company declined to offer additional comments. On the social media platform X, Starbuck remarked, “This isn’t everything we want, but it’s a great start. We’re now forcing multi-billion dollar organizations to change their policies.”

Ford’s decision reflects a broader trend among corporations to navigate the evolving dynamics of DEI initiatives while balancing the diverse perspectives of their stakeholders. As the conversation around diversity and inclusion continues to evolve, companies like Ford are reevaluating their approaches to ensure they align with both their business goals and the shifting expectations of their employees and customers.