Why DEI Failed

Amazon, Meta, and Walmart roll back their DEI commitments.
February 18, 2025
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Amazon, Meta, and Walmart are a few of the Fortune 100 companies rolling back their commitments to diversity, equity, and inclusion (DEI).

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The big, poorly kept secret about the DEI industry is that diversity programs don’t actually generate that much diversity.

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In the four years since DEI became commonplace, the workforces of the largest U.S. public companies have only become slightly less white. This is despite U.S. corporations investing over $340 billion in DEI initiatives.

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Much of the problem stems from DEI practitioners’ extreme lack of standards, consistency, and accountability.

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For example, the three most popular DEI interventions—mandatory diversity training, job tests, and grievance systems—make firms less diverse, not more.

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% change over five years in representation among managers

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In theory, DEI promised a more inclusive workplace, but in practice, its flawed execution often stalled or even reversed progress.

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