GM, Pepsi, Disney, Others Scrub Some DEI References From Investor Reports

Some big companies have been announcing the end of their diversity programs – but many others are quiet quitting.

At least a dozen of the largest U.S. companies have deleted some, or all, references to “diversity, equity, and inclusion” and “DEI” from their most recent annual reports to investors, an NPR analysis of regulatory filings has found.

A year ago, all of these companies made references to diversity and inclusion in their disclosures — but in their new reports, all of these companies have rewritten at least some of this language. In some cases, they no longer mention “diversity” at all.

Most of these companies have filed these annual reports in the past two weeks. That’s usually when their reports – which are meant to provide a comprehensive financial review of the past year and update investors on the current business environment – are filed. But these updates are also coming at a time when President Trump has ordered an end to DEI in the federal government — and for its contractors, which includes many private companies.

Companies are also under pressure from conservative critics who say DEI programs are themselves discriminatory against non-minorities.

The companies that have recently deleted or softened their DEI language include Disney, Google, GM, GE, Pepsi, Intel, PayPal, Chipotle, Comcast, 3M, Regeneron, and Philip Morris, according to the NPR analysis. Most companies have not disclosed the reasons for the changes, although some told NPR that they are re-evaluating some of their DEI programs as well as examining Trump’s executive orders.

Silently deleting DEI references

These changes come after Walmart, Target, Amazon, Meta, Ford, and other big companies have made headlines for ending or changing some diversity programs. Now NPR’s analysis finds that many more companies are quietly changing how they talk about DEI to investors.

For most companies, “it makes very little sense to issue a press release saying, ‘I’m going to stop’ — because that’s like waving a red flag to a bull,” says Shiva Rajgopal, a professor of accounting and auditing at Columbia University. “Whenever practices change, the folks who drop them silently are usually in the majority.”

Many companies are indeed being silent about these changes. Last year, for example, automaker General Motors devoted three paragraphs to a section that began: “At GM, we are committed to fostering a culture of diversity, equity and inclusion.”

But in its new 2024 report, filed last week, GM doesn’t mention “diversity” once. (The carmaker does, however, tout its “diverse EV lineup.”) GM, which is a federal contractor, did not respond to requests for comment.

Disney, meanwhile, shortened its “diversity, equity and inclusion” section in its most recent annual report, filed in November. Among other changes, it removed the previous year’s references to a website “for amplifying underrepresented voices” and highlighting “some of Disney’s DE&I commitments and actions.” A Disney spokesperson declined to comment.

And Pepsi eliminated almost all references to diversity, a year after telling investors that “our culture of diversity, equity and inclusion is a competitive advantage.” In its new report this week, Pepsi only mentions diversity in reference to a board committee focused on “sustainability, diversity, and public policy.” {snip}

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Publicly-traded companies are required to file annual reports and other investor disclosures with the Securities and Exchange Commission. Many companies end their financial years in late December or soon after, and file these reports starting in late January (although some companies are on different financial calendars).

These annual reports can run more than 100 pages long, and are typically written in dense, lawyered corporate-speak. So it’s relatively common for companies to use these filings to quietly disclose lawsuits or government investigations they are facing — or to slip in other information that they are required to tell investors but don’t wish to announce separately.

In this case, companies are eliminating information and rhetoric that has become politically toxic. There’s no regulatory requirement for companies to disclose their DEI goals or philosophy. Many companies voluntarily did so in the past, especially to please investors, employees, and customers — but now the political environment has changed.

“We have seen companies start to decide that the reward is not necessarily outweighed by the risk anymore,” says Becky Baker, an employment lawyer with Vinson & Elkins.

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