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Target is ending its diversity goals, joining trend among other major companies to scale back DEI
Discount store chain Target says it's joining rival Walmart and a number of other prominent American brands in scaling back corporate diversity, equity and inclusion initiatives.
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What is DEI and why is it facing pushback?
Discount store chain Target said Friday that it would join rival Walmart and a number of other prominent American brands in scaling back diversity, equity and inclusion initiatives that have come under attack from conservative activists and, as of this week, the White House.
The Minneapolis-based retailer said the changes to its "Belonging at the Bullseye" strategy would include ending a program it established to help Black employees build meaningful careers, improve the experience of Black shoppers and to promote Black-owned businesses following the police killing of George Floyd in 2020.
Target, which operates nearly 2,000 stores nationwide and employs more than 400,000 people, said it already had planned to end the racial program this year. The company said Friday that it also would conclude the diversity, equity and inclusion, or DEI, goals it previously set in three-year cycles.
The goals included hiring and promoting more women and members of racial minority groups, and recruiting more diverse suppliers, including businesses owned by people of color, women, LGBTQ+ people, veterans and people with disabilities.
Target has long been a fierce corporate advocate for the rights of Black and LGBTQ+ people. In a memo to employees, Kiera Fernandez, Target's chief community impact and equity officer, as a "next chapter" in a decades-long process to create "inclusive work and guest environments that welcome all."
"Many years of data, insights, listening and learning have been shaping this next chapter in our strategy," Fernandez wrote in the memo, which Target shared Friday. "And as 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."
There's no doubt the U.S. civil rights landscape has undergone a massive transformation in the five years since much of corporate America adopted DEI goals in response to the Black Lives Matter protests that followed Floyd's death in Minneapolis.
In 2020, Target pledged to give $10 million to social justice initiatives and to rebuild areas of the Twin Cities damaged by riots. At that time, Target leaders said they wanted to increase their Black workforce by 20% over the next three years.
A 2023 U.S. Supreme Court decision that outlawed affirmative action in college admissions emboldened conservative groups to bring or threaten lawsuits targeting corporate initiatives such as employee resource groups and hiring practices that prioritize historically marginalized groups.
Walmart, McDonald's, Ford, Harley-Davison, John Deere and Lowe's are among the well-known consumer brands that reduced or phased out their DEI commitments in recent months.
President Donald Trump this week signaled his administration's agreement with conservatives who argue that policies designed to increase minority representation by considering factors such as race, gender and sexual orientation are unconstitutional.
On his first day in office, Trump signed an executive order aimed at ending DEI programs within the federal government. The order cut funding for so-called DEI initiatives across all agencies in order to "end DEI inside the federal government," according to Trump administration officials.Â
A memo from the U.S. Office of Personnel Management Tuesday evening called for all federal DEI employees to be placed on leave by Wednesday evening. Â
Unlike some of the companies retooling or retiring their diversity initiatives, Target's work to build a more inclusive workforce predated 2020, and the company also was long seen as a trailblazer with respect to LGBTQ+ inclusion.
But the employee memo shared Friday said Target no longer would participate in surveys designed to gauge the effectiveness of its actions, including an annual index compiled by the Human Rights Campaign, a national LGBTQ+ rights organization. Target said it would further evaluate corporate partnerships to ensure they're connected directly to business objectives, but declined to share details.
Getting corporations to withdraw from the Human Rights Campaign's Corporate Equality Index and to stop sponsoring Pride activities have been goals of DEI opponents.
Steering clear of a backlash from conservative customers and organizations is something that Target has tried to navigate for a while. As transgender rights became a more prominent issue in 2016, the company declared that "inclusivity is a core belief at Target" and said it supported transgender employees and customers using whichever restroom or fitting room "corresponds with their gender identity."
But after some customers threatened to boycott Target stores, the company said that more stores would make available a single-toilet bathroom with a door that could be locked.
In 2023, Target faced an anti-LGBTQ campaign that went viral on social media. The campaign threatened employees and there were some instances of damaged products and displays in stores. In response, Target removed certain items that it said caused the most "volatile" reaction from opponents.Â
The company did not stock its stores with Pride Month products in 2024.
Still, some prominent companies have resisted public pressure to retreat from their diversity plans. On Thursday, Costco shareholders rejected a proposal urging the wholesale club operator to evaluate any risks posed by its diversity, equity and inclusion practices.
According to preliminary results shared by Costco executives, more than 98% of shares voted against the proposal submitted by a conservative think tank based in Washington. Costco's board of directors had recommended a no vote.
In: McDonald's Walmart DEI Donald Trump Trump Administration Harley-Davidson Target Minneapolis© 2025 CBS Interactive Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.
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