Walmart DEI Rollback: Scales Back Diversity Initiatives Amid Pressure

Walmart Inc. is reversing course on diversity, equity and inclusion initiatives, joining a growing list of businesses retreating on DEI programs targeted by conservative activists. Walmart, the largest private employer across the U.S., has recently announced significant DEI rollback. Walmart DEI changes come during increasing scrutiny of corporate policies related to social justice and follow mounting pressure from conservative activists who claim to be influencing the retail giant’s direction.

(Image Credit: walmart)

The world’s biggest retailer Walmart shall be ending DEI and will no longer consider race and gender to boost diversity when granting supplier contracts. It will also stop collecting demographic data when assessing financing eligibility.

Walmart’s DEI rollback

Walmart , the most prominent company so far to pull back on diversity promises, on Monday confirmed it would stop using the term “DEI” in official communications. It will also curb racial equity training for staff, stop participating in notable rankings by LGBTQ advocacy group the Human Rights Campaign and review its support for Pride and other events.

Walmart abandons DEI efforts

The changes in Walmart policies were made public after anti-DEI activist Robby Starbuck posted a social media video saying that he had threatened Walmart with a campaign to lead a customer boycott just days before Black Friday, one of the biggest holiday shopping events of the year.

Starbuck said he contacted public relations staff at the company last week asking that it pull its support from LGBTQ causes and other DEI initiatives. He promised to call on his 700,000 followers on X to boycott the retailer if it didn’t make the changes. A spokesperson for the company confirmed conversations with Starbuck over recent days.

Walmart’s decisions come from “a place of wanting to foster a sense of belonging, to open doors to opportunities for all our associates, customers and suppliers,” the spokesperson for the Bentonville, Arkansas-based company said.

Walmart ends DEI

Walmart said it would stop using “DEI” and instead focus on “belonging” and work on a respectful and supportive environment. Walmart also said that it will review funding of all Pride events and monitor online merchants and remove items as necessary.

Legality of corporate diversity

Walmart joins at least 10 other companies from Deere & Co. to Boeing Co. who have pulled back on their DEI commitments in recent months, as corporate America reconsiders diversity policies in the wake of last year’s Supreme Court ruling banning affirmative action in college admissions.

That decision raised questions about the legality of corporate diversity programs, prompting many companies to quietly reevaluate their efforts. The ruling also emboldened a slew of anti-DEI activists, who say the backlash will intensify under President-elect Donald Trump.

Walmart’s diversity efforts

Walmart, pledged to do more for people of color after the murder of George Floyd by a White police officer in 2020. Walmart had already been working with the Racial Equity Institute for a couple of years by then, offering training on the history of race and racial inequity in the U.S. More recently, it implemented practices such as new diversity hiring guidelines, while offering a race and inclusion curriculum for U.S. employees and building relationships with historically Black colleges and Hispanic-serving institutions.

The company has said its U.S. businesses sourced more than $13 billion in goods and services from more than 2,400 diverse suppliers in the year to January. It defines these vendors as at least 51% owned, managed and controlled by racial and ethnic minorities, women, veterans, members of the LGBTQ+ community or people with disabilities.

Hiring at Walmart

Walmart said in its latest culture and diversity report in 2024 that people of color represent about 51% of its total U.S. workforce. Among new U.S. hires, 49% were women and 29% were women of color. About 59% were people of color, the company said.

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