Ford joins list of companies walking back DEI policies

Ford engine is the latest company to roll back some of its commitments on diversity, equity and inclusion.

The automaker has been “revisiting” its DEI policies and practices over the past year to address the changing “external and legal environment regarding political and social issues,” according to an internal communication shared with global Ford employees and posted to X on Wednesday by an anti-DEI activist. Ford confirmed the letter was authentic and said it had no additional comment on the matter.

Ford's move follows retailer Tractor deliveryone of the first major companies to end its DEI efforts, after cutting ties with the Human Rights Campaign, an LGBTQ+ advocacy group, earlier this summer. and retired DEI goals, such as increasing the number of employees of color in management positions. Harley-Davidson also decided last week to no longer consult the HRC Standard for the Treatment of LGBTQ+ Employees, confirming that it does not have a DEI function.

Home improvement retailer Lowe's also joined the effort earlier this week, indicating that further policy changes may be made over time.

The companies have cited conservative backlash and changing social and political circumstances in their announcements.

Ford said in a memo Wednesday that it will not impose quotas on minority dealers or suppliers, and that it will not impose quotas on hiring.

The automaker will also no longer participate in the Human Rights Campaign's Corporate Equality Index and several other “best workplaces” lists.

The Human Rights Campaign scores participating companies annually on their corporate LGBTQ+ equality measures, which include practices such as offering spousal health benefits regardless of gender and having separate LGBTQ+ community activities. Ford had received a perfect score on the index in previous years.

“As a global company, we will continue to focus our efforts and resources on taking care of our customers, our team and our communities, rather than publicly commenting on the many polarizing issues of the day,” Ford said in the statement sent to employees. “There will, of course, be times when we will speak out on core issues when we believe our voice can make a positive difference.”

After the Supreme Court struck down affirmative action in colleges, more and more conservative activists on social media called on companies to stop investing in DEI.

“There’s an old saying: If you give an inch, people take a mile, and that’s essentially what we saw when the Supreme Court made a ruling that was very specific to higher education institutions,” industrial and organizational psychologist Derek Avery told CNBC. “Conservative state attorneys general sent letters to companies warning them that they could expect to be sued if they continued to advocate and promote DEI practices within their organizations that could be construed as being in violation of the Supreme Court ruling, even though the Supreme Court ruling had no impact on those corporate initiatives.”