In this article, Target announced on Friday that it is discontinuing its diversity, equity, and inclusion (DEI) programs, which were aimed at aligning its workforce and products more closely with its customer base. The Minneapolis-based retailer revealed in a memo to employees that it will no longer pursue its three-year DEI objectives, cease reporting to external diversity-focused organizations like the Human Rights Campaign’s Corporate Equality Index, and terminate a program dedicated to increasing the availability of products from Black- or minority-owned businesses. The memo, authored by Kiera Fernandez, Target’s chief community impact and equity officer, emphasized the company’s strategic evolution based on years of data, insights, and learning to drive growth and success while adapting to the changing external environment.
Target clarified that the DEI announcement does not involve any job cuts. The decision aligns Target with a growing trend among companies like Tractor Supply, Meta (Facebook’s parent company), Walmart, and McDonald’s, which have recently abandoned DEI-related commitments and objectives. Some companies faced pressure from conservative groups or referenced the Supreme Court’s rulings on affirmative action in higher education as reasons for their actions. Target’s move also follows former President Donald Trump’s executive orders to halt government DEI programs shortly after taking office.
While some companies are retracting their DEI initiatives, others like Costco have reaffirmed their commitment to diversity. Target’s dedication to diversity and equity was reinforced following the “Black Lives Matter” protests and the tragic death of George Floyd in 2020. Target CEO Brian Cornell expressed personal motivation to enhance diversity efforts after Floyd’s murder, leading to initiatives such as increasing Black employee representation, supporting Black entrepreneurs, and committing to significant spending with Black-owned businesses by 2025. The company also donated funds to support social justice organizations.
Target’s decision to dissolve its DEI goals coincides with increased scrutiny from conservative circles on corporate inclusivity efforts. The retailer had previously faced criticism over certain initiatives, such as its Pride Month collection, which was met with backlash and threats, impacting sales. Despite challenges, Target remains committed to recognizing heritage months like Black History Month and Pride Month through merchandise collections. The company’s workforce has become more diverse in recent years, with 43% white, 31% Hispanic/Latino, 15% Black, and 5% Asian employees as of the fiscal year ending in early February 2024. However, the leadership team remains less diverse, with 72% white, 11% Hispanic/Latino, 11% Asian, and 6% Black representation.
