U.S. executives dramatically cut back on public discussions about workplace diversity last quarter, in the first earnings season since the Supreme Court’s ruling against affirmative action sent a chill through corporate boardrooms.
Mentions of diversity, equality and inclusion on earnings calls and at conferences among Russell 3,000 Index companies fell 54% in the third quarter from a year ago, to the lowest since 2018, according to data compiled by Bloomberg. Since the court ruling, Republican lawmakers and conservative groups have publicly warned U.S. companies that their diversity efforts could come under scrutiny, though some legal experts have said workplace programs should be left unaffected.
“If I were advising a client right now in this climate, I might say, ‘Maybe say less rather than more,’” Esther Lander, an employment lawyer and partner at Akin Grump Strauss Hauer & Feld, said in an interview. “Control what you say carefully so you don’t become a target.”
The impact so far appears to be limited to rhetoric, as companies have yet to back off on diversity initiatives. Instead, they are likely toning down or limiting public proclamations while reevaluating the programs and documentation surrounding them. Many companies responded similarly to anti-LGBTQ protests earlier this year.
“Why make yourself a target if you don’t have to be one?” Lander said.