In a significant shift from its previous diversity initiatives, McDonald's, the global fast-food giant, has announced the termination of certain diversity practices.
This decision comes in the wake of a 2023 U.S. Supreme Court ruling that deemed affirmative action in college admissions illegal. The move is seen as a response to a conservative backlash against diversity, equity, and inclusion (DEI) programs.
According to The Guardian, McDonald's is not alone in this shift. Other major corporations, including Walmart, John Deere, and Harley-Davidson, have also scaled back their DEI initiatives.
In a statement released on Monday, McDonald's revealed plans to retire specific targets aimed at increasing diversity within its senior leadership. The company also plans to discontinue a program that encourages its suppliers to foster diversity training and increase representation of minority groups in their leadership.
In addition, McDonald's will suspend "external surveys," although the company did not provide further details. This decision mirrors actions taken by other companies, such as Lowe's and Ford, which have also halted their participation in an annual survey by the Human Rights Campaign that assesses workplace inclusion for LGBTQ+ employees.
The Chicago-based company had previously launched a series of diversity initiatives in 2021 following a series of sexual harassment lawsuits filed by employees and a discrimination lawsuit brought by a group of Black former McDonalds franchise owners.
McDonald's chairman and chief executive, Chris Kempczinski, had previously emphasized the company's commitment to diversity. "As a world-leading brand that considers inclusion one of our core values, we will accept nothing less than real, measurable progress in our efforts to lead with empathy, treat people with dignity and respect, and seek out diverse points of view to drive better decision-making," Kempczinski wrote in a LinkedIn post.
The CEO had also acknowledged the need for improvement, stating, "We also have to acknowledge that some people in our system feel like they havent been given a fair opportunity. Weve got to face up to that fact and do better."
However, the company cited the "shifting legal landscape" following the Supreme Court decision and the actions of other corporations as reasons for reassessing its policies.
The changing political landscape may also have influenced this decision. Former President Donald Trump has been a vocal critic of DEI programs. Trump's incoming deputy chief of policy, Stephen Miller, leads a group called America First Legal, which has actively challenged corporate DEI policies.
Vice President-elect JD Vance introduced a bill in the Senate last summer to end such programs in the federal government. Conservative political commentator Robby Starbuck, known for threatening consumer boycotts of brands that do not retreat from their diversity programs, recently warned McDonald's of a potential story on its "woke policies."
Despite these changes, McDonald's senior leadership team maintains its commitment to inclusion, stating in an open letter to employees and franchisees that a diverse workforce remains a competitive advantage. The company reported that 30% of its U.S. leaders are members of underrepresented groups, a slight increase from 29% in 2021.
McDonald's also announced that it had achieved gender pay equity at all levels of the company, one of the goals set in 2021. The company expects to meet its target of allocating 25% of total supplier spending to diverse-owned businesses by the end of the year.
While the company's diversity team will now be known as the global inclusion team, McDonald's affirmed its continued support for efforts that ensure a diverse base of employees, suppliers, and franchisees. The company also pledged to continue reporting its demographic information.
The McDonalds Hispanic Owner-Operators Association declined to comment on the policy change. The National Black McDonalds Operators Association has yet to respond.
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