Walmart has announced changes to its diversity, equity, and inclusion (DEI) practices, joining other companies like Lowe’s, Toyota, and Ford in scaling back these initiatives. As the largest employer in the United States with 1.6 million employees, Walmart’s decision marks a significant shift. The retailer will no longer use a prominent LGBT rights index for hiring decisions, cease prioritizing diverse suppliers, and discontinue the use of the term “DEI.” According to Walmart U.S. President and CEO John Furner, the goal is to ensure that all customers and associates feel welcomed and that they belong.
Walmart has never implemented racial quotas for employees and will continue this practice. In addition to modifying hiring and procurement strategies, the company is ending collaborations with certain external organizations. It will not renew its five-year commitment to an equity racial center that was established during the Black Lives Matter movement in 2020, following the death of George Floyd. Walmart had originally pledged $100 million to this center to address disparities faced by Black and African American communities in areas such as education, health, finance, and criminal justice.
Furthermore, Walmart will no longer participate in the Human Rights Campaign’s Corporate Equality Index, which evaluates companies based on workplace culture, social responsibility, employee benefits, and protections against discrimination. The retailer is also reviewing its inventory to remove items with sexual themes targeted at minors and reassessing its involvement in Pride events to ensure content is suitable for children.