A majority of Fortune 500 companies have maintained their commitment to diversity, equity and inclusion (DEI) despite growing political and legislative attacks on such practices, according to a new report from the Congressional Black Caucus (CBC) released Monday.
The report, “What Good Looks Like: A Corporate Accountability Report on Diversity, Equity and Inclusion," is the first-of-its-kind report to grade such companies on DEI commitments and racial equity investments since the 2020 murder of George Floyd.
Following Floyd’s killing, a host of U.S. companies pledged to invest in efforts to reduce racial inequities across the nation and to strengthen their DEI efforts.
“It is no longer acceptable to deliver promises without action,” the report states. “The murder of George Floyd, like many other police-related killings preceding and following, shook our community and lit a fire of activism in parts of the nation that may have otherwise never stepped forward. Most of these corporations took advantage of that season of activism and publicly vowed to fight alongside us. It is now time to hold these corporations accountable.”
The report follows months of the CBC leaders meeting with CEOs and other C-suite executives in Fortune 500 companies. It also includes a ranking report card of each sector.
The Financials sector had the highest response rate to the CBC’s report and came in fourth on the report card with 34 out of 93 companies receiving a top score for their efforts.
Communications services had the highest ranking with 9 out of 19 companies receiving a top score for their efforts.
Monday’s report follows a December open letter from the Caucus urging corporations to “reaffirm their commitments to DEI” and to work with CBC members to fulfil such promises.
Following the Supreme Court’s 2023 ruling overturning affirmative action, more than a dozen Republican attorneys general have sent letters to Fortune 500 corporations threatening legal action over such policies. Multiple companies including Harley Davidson and Lowe’s home improvement store have announced plans to eradicate their DEI programs, including participation in LGBTQ Pride festivals.
“We cannot allow a handful of right-wing agitators to bully corporations, and this report offers corporate America a guide to strengthening their diversity practices. This report is the initial step in a strategic effort to ensure the tools of economic opportunity are protected as we work to advance our Black wealth and economic prosperity agenda in the next Congress to close the Black-white wealth gap in America,” said CBC chair Rep. Steven Horsford (D-Nev.).
Though CBC members indicated the report is overwhelmingly positive, the report details twelve ways corporations can expand DEI efforts to help close the racial wealth gap, including retention rates, pay equity and procurement policies.
“America pledged $50 billion to advance racial #equity and #diversity in the workplace, and despite extremist attacks, companies remain committed to these ideals,” Rep. Troy Carter (D-La.) posted to social media on Monday. “We will continue to hold them accountable.”
