What is DEI? Trump ends equal employment 'restoring merit-based opportunity'

President Donald Trump's administration ended affirmative action in the federal government, placing all diversity, equity, and inclusion (DEI) staff on paid leave ahead of eventual layoffs.

The move could affect everything from anti-bias training to funding for minority farmers and homeowners and leave more than 2.4 million federal workers without jobs.

Trump calls the programs "discrimination" and insists on restoring strictly "merit-based" hiring instead.

The order does not specify which programs it will target but mandates a government-wide review to ensure that contracts and grants comply with the administration’s anti-DEI stance.

SKIP TO: What is a DEI hire? | List of companies scaling back on DEI | What does Trump's executive order do?

What is DEI?

(Brian Cassella/Chicago Tribune/Tribune News Service via Getty Images)

DEI stands for Diversity, Equity and Inclusion. 

In 1965, President Lyndon B. Johnson issued Executive Order 11246 which required government contractors to "take affirmative action to ensure that applicants are employed, and employees are treated [fairly] during employment, without regard to their race, creed, color, or national origin," according to the Department of Labor (DOL). 

DEI policy explained 

The backstory:

Executive Order 11246 requires federal contractors to promote equal opportunities for women and minorities. The Office of Federal Contract Compliance Programs (OFCCP) monitors compliance, including for UC campuses.

Federal contractors with 50+ employees and contracts over $50,000 must:

  • Enforce a nondiscrimination policy.
  • Create an affirmative action plan with placement goals for women and minorities.
  • Implement programs to achieve these goals.
  • Assign an official to oversee equal employment and affirmative action.

What is DEI for?

  • DEI policies are designed to counteract discriminatory practices.
  • Critics argue that programs in education, government, and business targeting specific groups based on race, gender, or sexual orientation are unfair.
  • They advocate providing the same opportunities for everyone, regardless of such factors.

What is a DEI hire?

What they're saying:

"DEI hire" is widely considered to be a disparaging term. 

A DEI hire refers to individuals from underrepresented groups who benefit from diversity, equity, and inclusion policies designed to support employees from diverse backgrounds Department of Labor (DOL). 

However, the term is often used disparagingly to imply preferential treatment and question their qualifications.

What did government DEI programs do?

Former President Biden mandated that all agencies to develop a diversity plan, issue yearly progress reports, and contribute data for a government-wide dashboard to track demographic trends in hiring and promotions. The administration also set up a Chief Diversity Officers Council to oversee the implementation of the DEI plan.

By the numbers:

The government released its first DEI progress report in 2022 that included demographic data for the federal workforce, which is about 60% white and 55% male overall, and more than 75% white and more than 60% male at the senior executive level.

Trump's DEI executive order

Trump's executive order will toss out equity plans developed by federal agencies and terminate any roles or offices dedicated to promoting diversity. It will include eliminating initiatives such as DEI-related training or diversity goals in performance reviews.

List of companies scaling back diversity initiatives

By the numbers:

  • Target (Janaury 2025): Says it would start scaling back diversity including ending a program it established to help Black employees build meaningful careers, and to promote Black-owned businesses following the police killing of George Floyd in 2020.
  • McDonald’s (November 2024): Ended senior leadership diversity goals and supplier diversity training.
  • Walmart (November 2024): Opted not to renew its racial equity center initiative from 2020.
  • Ford (August 2024):Withdrew from HRC’s Corporate Equality Index.
  • Lowe’s (August 2024): Combined employee resource groups after SCOTUS affirmative action ruling.
  • John Deere (July 2024): Stopped sponsoring social events and audited training materials for compliance.
  • Tractor Supply (June 2024):Ended diversity and climate programs after conservative backlash.

Trump’s executive order will toss out equity plans developed by federal agencies and terminate any roles or offices dedicated to promoting diversity.

While many changes may take months or even years to implement, Trump’s new anti-DEI agenda is more aggressive than his first and comes amid far more amenable terrain in the corporate world.

Equity and InclusionDonald J. Trump