McDonald’s Retires Some Diversity Goals in Latest Corporate Retreat

(Bloomberg) — McDonald’s Corp. is revamping its approach to diversity, equity and inclusion, becoming the latest large company to change its strategy as the once-ubiquitous goals come under pressure from conservative advocates.

The company will no longer set “aspirational representation goals” and will instead continue to “embed inclusion practices” into its day-to-day business, the burger chain said in a post on its website. It will also retire a DEI pledge in its supply chain “in favor of a more integrated discussion with suppliers about inclusion as it relates to business performance.”

Additionally, the company’s diversity team will now be called the Global Inclusion Team, and McDonald’s said its “commitment to inclusion is steadfast.” 

Companies across the US have increasingly retreated from the DEI policies they implemented after the murder of George Floyd in 2020. Following the Supreme Court’s ban on affirmative action in college admissions, legal challenges to corporate diversity programs that favor minority groups have also made executives review such initiatives. President-elect Donald Trump has also been a vocal critic of DEI policies and has promised to root out these practices from the federal government.

The company said that, last year, it completed a civil rights audit and engaged with stakeholders to understand their expectations. McDonald’s also “assessed the shifting legal landscape” on how the Supreme Court ruling “may impact corporations.”

McDonald’s said it will continue to report demographic information regarding its board, employees and suppliers in its annual impact report. The company said it focuses on internal efforts to support building a diverse employee, applicant and supplier pipeline, and a commitment to pay equity.

The brand added it engages with employee and franchisee groups.

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