From Commitment To Caution: Google's DEI Overhaul

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(RTTNews) - Google is reevaluating its diversity, equity, and inclusion or DEI strategies, following similar moves by Meta and Amazon. The company has discontinued its diversity hiring targets and revised its corporate messaging, with parent company Alphabet Inc (GOOGL), removing DEI commitments from its annual report.

This trend extends beyond Google. Meta phased out its DEI program last month, while Amazon scaled back similar efforts in December. Major corporations such as Disney, McDonald's, Ford, Walmart, Target, Lowe's, and John Deere have also reduced their DEI initiatives.

These corporate retreats coincide with heightened political and legal scrutiny. A recent executive order from President Trump targets DEI policies deemed illegal, warning of financial penalties under the 1863 False Claims Act. The directive also mandates federal agencies to investigate DEI practices within publicly traded companies, large nonprofits, and other organizations.

Fiona Cicconi, Alphabet's chief people officer, acknowledged the shift in an internal email. "In 2020, we set aspirational hiring goals and focused on expanding beyond California and New York to enhance representation. Moving forward, we will no longer set aspirational goals."

Alphabet further underscored this shift in its latest 10-K filing with the Securities and Exchange Commission, omitting a long-standing commitment to fostering a diverse workforce.

As regulatory pressures mount, companies face growing uncertainty over the legal viability of DEI programs. Google's recalibrated stance reflects a broader corporate shift, balancing inclusion efforts with evolving legal and political landscapes.

GOOGL closed Friday's trading at $185.34 down 3.27 percent or $6.26 on the Nasdaq.