Pittsburgh Post-Gazette

By Carlos T. Carter

Link to article here.

A message to corporate leaders in the Greater Pittsburgh Region: I urge you to stand up for what is right, what will benefit your bottom line, and avoid following a dangerous trend that undermines our nation’s strength.

Donald J. Trump issued an Executive Order titled “Ending Radical And Wasteful Government DEI Programs and Preferencing,” aiming to dismantle the Diversity, Equity and Inclusion (DEI) initiatives that have made our country stronger at every level. It claimed these “discriminatory programs” caused “immense public waste and shameful discrimination.”

The order is meant to be complete, leaving no trace of official concern for diversity, equity and inclusion in the federal government. It required terminating within 60 days all DEI “and ‘environmental justice’ offices and positions (including but not limited to ‘Chief Diversity Officer’ positions); all ‘equity action plans,’ ‘equity’ actions, initiatives, or programs, ‘equity-related’ grants or contracts; and all DEI or DEIA performance requirements for employees, contractors, or grantees.”

The president’s decision is wrong, as it undermines the creation of an equal-opportunity America where everyone can thrive. I am not alone in this belief. Most Americans, 81% according to a Harris Poll, agree that companies — one of the main subjects of federal DEI initiatives — should reflect our nation’s diversity.

Not surprising

This action is not surprising. Trump has openly supported white supremacy, although he has distanced himself from Project 2025, the Heritage Foundation initiative promoting an America that excludes people who look like me.

I understand that some may disagree with my stance on the president’s executive orders, particularly those who feel that DEI programs lower standards and discriminate against white people. However, it’s crucial to distinguish between perception and reality.

DEI is not about lowering standards or quotas (quotas are illegal). It’s about setting measurable goals to ensure that people of color, women and other minorities are adequately represented in the workforce. There is no substantial data suggesting that white people are being discriminated against in this context. Economic data shows that wealth and power are still disproportionately held by white people.

We need to separate emotional responses and social media rhetoric from the facts. Black and Latino workers face higher unemployment rates and lower wages than white workers. These disparities are not based on lack of merit but systemic barriers that need addressed.

Although companies like Walmart, Meta, and McDonald’s have succumbed to pressure from rightwing extremists through threats and intimidation, many others have remained steadfast, embracing DEI to ensure diverse representation. Given America’s growing diversity, our institutions should not be dominated by white men.

By 2045, Black and brown people are expected to make up the majority of the population, and our companies and institutions must reflect this shift.

Economic power

It is also critical to recognize the immense economic power of these diverse communities. Together, Black and brown Americans hold over $4 trillion in spending power, a force that cannot be ignored. This spending power needs to be recognized and respected by companies who profit from people of color as their reversal on DEI could backfire.

Even if some people are not willing to embrace the moral responsibility of creating equal opportunity and representation, the benefits to our businesses are undeniable. According to McKinsey’s latest research, companies that prioritize diversity are more profitable.

Among large firms, those with less ethnic diversity underperformed their peers by 24%, while the top 25% of firms overperformed their peers by 27%. The bottom firms in terms of gender diversity underperformed their peers by 31% and the top 25% overperformed by 18%.

People, organizations, and businesses who recognize the value of DEI are actively standing up against efforts to undermine it. For example, over 98% of Costco shareholders recently rejected a proposal from a conservative think tank seeking to investigate and eliminate the company’s DEI practices. I applaud Costco for defending practices that move our country forward.

However, there is more work to be done.

America’s future

On Jan. 22, 2025, the National Urban League hosted an emergency Demand Diversity Roundtable, bringing together diverse leaders who represent the fabric of America and over $4 trillion in spending power. The purpose of the meeting was to sound the alarm about the attack on DEI and to call on Congress, the community, and businesses to support equal opportunity for all.

At the roundtable, a prominent leader said, “I don’t care what you call DEI … just do it!” Whether you call it belonging, ESG (an investment principle concerned with environmental, social and governance issues), or something else, we cannot afford to ignore America’s future.

We may not agree on everything, even on the value of DEI initiatives, but we should all agree that DEI is good for business and our country’s prosperity. It is not only morally wrong to dismantle DEI, it is also bad for business.

Carlos T. Carter is president and CEO of the Urban League of Greater Pittsburgh. His previous article was “The loss of affirmative action would be bad for America.”

First Published: January 30, 2025, 5:30 a.m.