US firms that kept DEI policies despite ‘go woke, go broke’ threats thrived
US companies that retained diversity, equity and inclusion (DEI) policies reportedly matched or outperformed rivals that withdrew them after Donald Trump’s 2025 executive orders targeting DEI. The findings challenge the conservative claim that businesses will suffer financially for maintaining such programmes, though consumer sentiment and a company’s particular customer base may affect the risk.
Research by UC Berkeley’s Jacob Grumbach examined S&P 500 firms using “abnormal returns”, comparing expected and actual share-price performance after the orders. Companies including Costco, Apple and Delta Air Lines kept DEI policies, while Google, Goldman Sachs, McDonald’s and Walmart ended or scaled back theirs. The backlash had intensified from 2023, amid boycotts and legal challenges following the Supreme Court ruling against race-conscious university admissions.
- Firms keeping DEI policies performed at least as well as those retreating.
- Some retained-DEI companies briefly outperformed after Trump’s orders.
- Consumer base and political risk still shaped company decisions.