The NAACP has released a new spending guide for Black Americans. This guide shows companies that have kept or dropped their diversity, equity, and inclusion (DEI) initiatives. There are many boycotts arising in response to the anti-DEI movements. Thus, the NAACP aims to help Black Americans spend their money wisely. Continue reading to learn more about the NAACP listing companies dropping DEI initiatives.
Purpose of the Spending Guide
The spending guide provides information on companies’ current stances. This is regarding the DEI policies. Many of these policies were introduced after the Black Lives Matter protests. This was in the summer of 2020. Also, the guide not only identifies companies that have ended their DEI commitments. They also explain how they have done so.
It lists brands that have eliminated DEI departments or positions. These are dedicated to promoting diversity. Also, it notes companies that have reduced goals. These are for diverse supplier contracts and staffing quotas. Additionally, the guide mentions the companies that have cut investments. These are in historically Black colleges and universities (HBCUs).
Empowering Black Consumers
The NAACP’s guide emphasizes the economic power of Black Americans. Also, the organization believes that diversity efforts should be supported. This is by both businesses and consumers. DEI programs can directly contribute to the advancement of Black individuals and communities.
“Diversity is better for the bottom line”, stated NAACP President Derrick Johnson. He explained that businesses that ignore the multicultural nature of consumerism. This consumerism will fall behind in a global economy.
Meetings with Major Companies
As the spending guide gains attention, the NAACP is meeting with major companies. These are Walmart, Amazon, and McDonald’s. These discussions focus on their changes to DEI programs. Also, it focuses on the impact on Black consumers. Target faced immediate calls for boycotts. They will also meet with NAACP leaders.
The guide praises companies like Costco and Ben & Jerry’s. This is for maintaining strong DEI practices. Moreover, these companies have stood firm. This is during the backlash against diversity initiatives.
Background on DEI Initiatives
The Trump Administration has faced serious backlash for its crackdown on DEI policies. An executive order signed by Trump aimed to end “illegal preferences and discrimination”. This order encouraged the private sector to eliminate DEI initiatives.
DEI policies are designed to promote fair treatment and equal opportunities. These are for people from different backgrounds. Also, these policies include anti-discrimination measures. They also include training to promote inclusivity. Some organizations even hire staff particularly to implement DEI policies.
Companies Backtracking on DEI Commitments
The NAACP’s advisory shows companies that are reversing their commitments to DEI. This includes companies that have removed diversity officer positions. Moreover, they have discontinued hiring practices. These are aimed at increasing staff diversity. They also reduced investments in Black communities.
The NAACP wants to hold these companies accountable for their actions. Also, the guide aims to inform Black consumers about where to spend their money. Then, it encourages them to support businesses that uphold DEI values.
Economic Impact of Black Consumers
A study by McKinsey estimated that Black Americans’ spending power could reach $1.7 trillion. His is by 2030. This significant economic influence shows the importance of supporting companies that align with their values. The NAACP encourages all consumers to use the Black Consumer Advisory to make informed choices.
Keisha Bross is an economist strategist at the NAACP. She emphasized that the organization is not calling for boycotts. Instead, they encourage consumers to “buy in”. They encourage this to companies that share their values.
Ongoing Legal Challenges
The backlash against DEI initiatives has led to various legal challenges. A group, including the mayor of Baltimore and university professors, sued the Trump administration. This is over their recent executive orders. Also, they argued that these directives violate civil rights law.
Additionally, the Federal Communications Commission recently sued Comcast. This was over their DEI policies. The state of Missouri filed a lawsuit against Starbucks. This was over their DEI initiatives as well. There are other major companies too. These include Apple and Coca-Cola. They face shareholder resolutions challenging their DEI practices.
The Future of DEI Initiatives
The NAACP will continue to monitor companies’ commitments to DEI. The organization plans to update its spending guide. This is as companies either reaffirm or roll back their DEI initiatives. Also, this ongoing effort aims to provide Black communities with the information they need. This is to make informed spending decisions.
Johnson also stated, “If corporations want our dollars, they better do the right thing.” Moreover, the NAACP seeks to empower Black consumers to direct their buying power. This is toward companies that support diversity and inclusion. This is the main issue that is discussed under the DEI initiatives.
Organizations that embed DEI practices into their core values are likely to experience stronger financial performance. They will also experience a positive social impact. Also, the success and sustainability of DEI initiatives will depend on collective action. This is from consumers, businesses, and policymakers. This emphasizes the importance of unity in the pursuit of equality.
Conclusion
Organizations will need to foster environments where all employees feel valued and included. This will not only improve employee morale but also drive innovation and success. Also, educational programs and community engagement initiatives can further support DEI goals. This is by creating pathways for underrepresented individuals. They can enter and thrive in various industries. Currently, the workforce is becoming more diverse and inclusive. It is integral that all sections of society be included in the economic activity of the country.
