Massive U.S. Retailer Announces It Will Abolish DEI
Target is making big changes, and the corporate world is taking notice.
Target is making big changes, and the corporate world is taking notice.
In a press release Friday, the retail giant laid out a roadmap for 2025, outlining a shift in focus toward growth and evolving with the market landscape. Among the notable changes, Target will be concluding its three-year diversity, equity, and inclusion (DEI) goals, as well as winding down its Racial Equity Action and Change (REACH) initiatives as scheduled next year.
āThroughout 2025, weāll be accelerating action in key areas and implementing changes with the goal of driving growth and staying in step with the evolving external landscape,ā the company stated. āWe will continue to monitor and adjust as needed.ā
Targetās announcement signals a significant pivot, with the company set to halt all external diversity-focused surveys, including the Human Rights Campaignās Corporate Equality Index, a staple in measuring corporate commitment to LGBTQ+ inclusion. Additionally, the company plans to revamp its supplier diversity efforts by transitioning to a more comprehensive āSupplier Engagementā model aimed at supporting small businesses within a broader, inclusive procurement process.
Employee resource groups, once central to DEI initiatives, will now focus on professional development and mentorship, remaining open to all employees without the previous focus on identity-based groupings. Target will also take a closer look at corporate partnerships to ensure alignment with its new growth-oriented strategy.
Kiera Fernandez, Targetās chief community impact and equity officer, announced to employees on Friday that the company will undergo changes in alignment with its āBelonging at the Bullseyeā strategy, responding to the shifting external environment. The adjustment includes completing its three-year DEI goals and phasing out its Racial Equity Action and Change (REACH) initiatives by 2025, as originally scheduled.
āAs a retailer that serves millions of consumers every day, we understand the importance of staying in step with the evolving external landscape, now and in the future ā all in service of driving Targetās growth and winning together,ā Fernandez explained.
The change comes after growing public backlash over DEI initiatives across corporate America, with many claiming the policies have prioritized social agendas over business performance. The move also follows controversy over its LGBTQ+ Pride merchandise in 2023, which led to the removal of certain items after public criticism and safety concerns for employees.
Target may be a bellwether for other companies reassessing their priorities in a shifting economic and cultural climate. President Trump has taken action to eliminate āradical and wastefulā DEI programs across the federal government. On Monday, he signed an executive order effectively dismantling DEI initiatives within federal agencies. The order also rescinds a 1965 executive order that barred federal contractors from engaging in employment discriminationāmarking a major shift that could reshape workplace policies across the country.
Meta, the parent company of Facebook, has also disbanded its DEI team, with leadership expressing concerns that āDEIā had become divisive and implied preferential treatment. Walmart has also rolled back its DEI commitments, no longer prioritizing suppliers owned by women or minorities and choosing not to renew its commitment to a racial equity center. Similarly, McDonaldās has reduced its DEI efforts, though specific details have not been disclosed.
Federal agencies have wasted no time, scrubbing DEI resources from their websites and abandoning previous diversity efforts.Ā In the private sector, companies have been reconsidering their DEI commitments amid fears of legal challenges.
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