DEI Faces New Challenges That Merit Alone Cannot Address
Apprehensions to DEI are a-historical.
Walmart killed Mom-and-Pop shops, said Sacha Thompson, founder of The Equity Equation.
In an interview, Thompson reflected on her mother’s vitriol towards Walmart. When she asked her mother about this disdain for the corporation, Thompson’s mother noted that Walmart had killed the Mom-and-Pop shops. For this reason, Thompson’s mother did not like Walmart. She was not alone in her ire.
When Walmart monopolized deserted areas of Chicago, it brought relief to communities suffering from food deserts. So, when these stores were taken away abruptly, it garnered backlash in these same communities that were left without grocery stores, according to Block Club Chicago.
Now, as Walmart rolls back its Diversity, Equity, and Inclusion (DEI) initiatives amid political pressure, its move is unsurprising to some. Thompson noted that many companies who rolled back DEI were not DEI-friendly to begin with. Moreover, in response to the closing of Walmart stores in Chicago, she added that this could become an opportunity for urban farmers to serve their local communities.
Whether it’s shopping with Black owned brands or avoiding DEI-unfriendly stores, Thompson said, “power is really in the hands of the people.”
Thompson’s comments underscore a key point about DEI: Walmart may have set a precedent for its competitors as the number one Fortune 500 company, but it has not killed DEI. It simply shifted the pendulum.
However, news of Costco doubling down on DEI might just shift this pendulum back. “[D]ata suggests shareholders largely support diversity efforts in spite of the backlash,” according to Business Insider. “Costco’s move could flip the script on the perceived popularity of anti-DEI proposals and requests to look into the matter in the first place.”
Generally, most Fortune 500 companies still support DEI. According to Yahoo! News, 485 of the Fortune 500 companies have DEI initiatives. Historically speaking, DEI has always benefitted corporations and individuals, said Dr. Vic Baker.
The Historical Context
He is the founder and CEO of EquitiFy, and in an email interview, Baker said that resistance to DEI would be costly to companies’ bottom lines. “They will face lawsuits that result in court-mandated policies, public disclosures of inequities, and lasting damage to their bottom line. These organizations will become cautionary tales, examples of what happens when short-term resistance overrides long-term vision,” he noted. In Baker’s view, DEI is not just an “altruistic gesture” but it is also a sound economic strategy.
Baker added that this economic strategy is rooted in history. He said, “affirmative action in the 1970s wasn’t solely about leveling the playing field, but also about tapping into the economic potential of a more inclusive workforce.” Overall, DEI is rooted in historical movements such as civil rights and affirmative action, but some may forget this history.
In her interview, Thompson also tied DEI to history. To Thompson, “supremacy culture” only frames things from a contemporary standpoint without providing historical context. As a result, minority groups, such as Asians, treat other minority groups like enemies. Thompson gave the example of the Asian Americans suing Harvard for reverse discrimination and how the lawsuit backfired for them.
In June 2023, a group of Asian Americans won a lawsuit that killed affirmative action in higher education, but when data came out the next year about Asian enrollment, the numbers had dropped. So, this group plans to sue again, according to Blavity. Due to “supremacy culture,” Thompson noted, this group thought themselves privileged and did not recognize that, historically, affirmative action did benefit Asian Americans.
Thompson then referenced a video between author Jose Antonio Vargas and Gene Wu discussing how Asian Americans were beneficiaries of the civil rights movement. “Your civil rights that you enjoy right now was paid for with Black blood,” Wu stated in the video.
The work of DEI seeks to benefit everyone, Thompson mentioned. Some of the trends she has seen so far in 2025 are calls for DEI work to be more expansive. Thompson noted that firms now want to create “inclusive cultures” that extend beyond “superficial” things like workshops.
However, Thompson wants to reframe how we discuss DEI. To her, a lot of the DEI focus right now is on corporate initiatives, but the work is much bigger than that. To Thompson, DEI is not only professional, but it’s also personal.
The Ames Precedent
According to Forbes, the Supreme Court will review a reverse discrimination case this year that could swing the pendulum for DEI. In this case, Ames v. Ohio Department of Youth Services, a heterosexual woman named Marlean Ames said she was denied a promotion based on her sexuality. She worked as an administrator for the Ohio Department of Youth Services and applied for a Bureau Chief position in 2019. When two gay people were promoted instead of her, Ames filed a discrimination lawsuit under Title VII, which prohibits discrimination based on sexual orientation. The lower courts denied Ames’s claim, citing a lack of evidence.
Ames appealed to the U.S. Supreme Court, and arguments in her case will be heard beginning February 26, 2025. As evidenced from this case and the group of Asian Americans who fought to end affirmative action in education, some see DEI as a means of “reverse discrimination.”
This is because DEI is a threat to the power structure. In Ames’ case, she is a straight woman claiming discrimination because her LGBT+ peers were promoted over her. As a cis-het woman, Ames is a part of the power structure that DEI threatens to dismantle. To take back that power, she is appealing her case to the Supreme Court.
With a mostly conservative court, this case could set a precedent for DEI moving forward. However, the question as to what precedent remains. To Thompson, a favorable ruling for Ames could mean a less favorable outcome for others claiming reverse discrimination. When LGBT+ people come “with receipts,” Thompson posits, then that could set a negative precedent for those who believe in reverse discrimination, as it did with the Asian Americans fighting affirmative action.
Looking Ahead
Overall, the evolving landscape of DEI reveals a complex interplay between progress and pushback. Corporate rollbacks and claims of reverse discrimination underscore the resistance to DEI efforts, but they also reveal the resilience of DEI practitioners. As Thompson and Baker emphasize, DEI is not just a strategy for inclusion but a crucial economic and social imperative. The pendulum may swing, but the collective power of communities and businesses to reframe and reinforce equity initiatives will ultimately define the path forward. Whether through grassroots movements, corporate accountability, or historical reflection, the work of DEI continues, ensuring that inclusivity remains a cornerstone of progress.
About This Rwebel
Javanna is a multifaceted professional with a rich background in writing, education, and media. She holds a Master of Science in Journalism and a Bachelor of Arts in English, which has fueled her passion for storytelling and communication. Javanna is the CEO and founder of Rwebel, where she produces books, articles, and multimedia videos about culture and difference.
