Ford Motor Company announced on Wednesday that it is discontinuing its diversity, equity, and inclusion (DEI) program and will no longer participate in an LGBTQ+ ranking system that has sparked controversy among many consumers. Ford is one of several U.S. corporations that have decided to move away from DEI initiatives following backlash from conservative consumers who argue that such programs promote divisive identity politics, according to Newsmax.
In a memo to employees, Ford CEO Jim Farley explained, “We recognize that our employees and customers hold a wide range of beliefs, and the external and legal environment surrounding political and social issues continues to change.”
Ford joins other companies like JPMorgan Chase, Harley Davidson, and most recently, Lowe’s, in scaling back or reevaluating their DEI policies.
The corporate focus on DEI began in the wake of George Floyd’s death and the ensuing protests, which highlighted ongoing concerns about race and gender equality in the United States. However, many companies are now reconsidering these initiatives, especially when faced with potential boycotts or shareholder pressure. For instance, Jack Daniel’s parent company faced a boycott threat, and some shareholders have argued that DEI programs constitute illegal discrimination and conflict with the corporation’s duty to investors.
The shift away from DEI has gained momentum following the U.S. Supreme Court’s June 2023 ruling that ended affirmative action in university admissions. DEI supporters argue that such programs are essential for fairer hiring and promotion practices, particularly for minorities.
Farley noted in the memo that Ford, America’s oldest automaker, will now prioritize more traditional goals, such as ensuring the satisfaction of employees, customers, and stockholders, rather than engaging in public discussions on polarizing issues.
Conservative activist Robby Starbuck, who has been actively campaigning against companies with DEI policies, shared the memo on social media, stating, “Big news: We were in the middle of investigating woke policies at Ford, but this morning Ford confirmed to me that they’re making changes. This isn’t everything we want, but it’s a great start. We’re now forcing multi-billion dollar organizations to change their policies.”
In addition to the policy shift, Ford has delayed the introduction of its electric truck and has reduced production of the EV-150 due to low consumer demand. The company is now focusing on offering an all-hybrid lineup to consumers by 2030.
