Nearly 60 conservative asset managers, state treasurers, and nonprofit organizations issued an open letter to more than 1,000 U.S. CEOs, demanding that they disclose their diversity, equity, and inclusion (DEI) policies.
The letter comes as many believe the incoming Trump administration will put pressure on companies to end DEI initiatives.
“We are investors, investment advisors, fiduciaries, and proxy voting and corporate engagement consultants to investors, and the State Financial Officers Foundation, a coalition of 38 financial officers from 28 states—representing over half of the country—that focuses on free market principles, federalism, and economic freedom while protecting taxpayer dollars through strong fiscal responsibility and responsible financial management,” the letter says. “We write to urge you to provide needed transparency to shareholders on pressing cultural issues that are impacting your companies.”
The letter went on to describe the “downfall of DEI” across numerous companies, college campuses, and its widespread rejection through the votes of the American electorate.
“With both houses of Congress soon under Republican control, a Trump-Vance administration will likely advance and enact policies that increase the risk of current DEI policies at every corporation,” the letter says, adding, “You stand at an important crossroads. Either you can heed the voice of the American people— your shareholders, customers, and employees—or you can bow to fringe activists who demand that you double down on a failing ideology.”
“At this watershed cultural moment, we urge you to provide this transparency so we can assure our clients that their investments are free from divisive ideologies and are instead being properly used to deliver excellence in goods and services that benefit all Americans,” the letter concludes.
While many figures have urged for DEI efforts to be disbanded, Democrats have called for companies to maintain their DEI moves.
An October letter led by Rep. Robert Garcia (D-CA) implores companies to “reject division and continue supporting programs, policies, and initiatives that give everyone a fair chance at achieving the American Dream.”
“Inclusion is a core American value, and a great business practice. By embracing this value, you create safer and fairer workplaces without sacrificing quality or financial success. Continual progress towards more equal policies and benefits decreases the risk that anyone—employees and consumers—will experience discrimination, bias, and other threats to their safety and well-being.”
