January 31, 2025
Survey: 1 In 8 Companies Slated To Deplete DEI Commitments And Funding This Year
Resume.org polled more than 1,000 companies that had DEI programs in 2024.
A new survey reveals 1 in 8 companies erasing DEI efforts and “eliminating or slashing the budget” in 2025.
This discovery is from a Resume.org survey released this month of more than 1,000 companies with diversity, equity, and inclusion (DEI) programs in 2024. .
Of companies surveyed with DEI programs last year, 5% report they’ve removed DEI programs, while another 8% are reducing their budget. Simultaneously, 65% report their DEI budget will remain the same, and 22% plan to boost funding.
Forty-nine percent of companies are trimming or eliminating DEI programs due to political climate changes. That political landscape was perhaps elevated this month after President Donald Trump’s signed an executive order halting DEI programs across the federal government.
To boot, economic pressures (37%) and an insufficient return on investment (ROI) or impact (36%) are among the factors. Furthermore, 36% declare DEI efforts were not well-received by employees, and 28% of respondents feel DEI no longer aligns with their business priorities.
The Resume.org survey came as this report showed that work is needed to help improve DEI and make it more progressive in corporate America. Plus, supporters say corporate DEI can be actively used to boost revenues, profits, recruitment efforts, and attract diverse customers.
Among companies that have trimmed or erased DEI efforts, 51% have redirected funds to general operating expenses, and 40% are investing in AI or tech initiatives. Twenty-eight percent have channeled funds to employees’ salaries or benefits, 24% to marketing, and 8% have invested in office space or the like. But not all companies are abandoning DEI. T
“Many companies have faced budget cuts and may view DEI as non-essential, reallocating resources to more immediate profit-driven areas,” Irina Pichura, a career coach for Resume.org, said in a statement.
“Some companies also abandon DEI programs due to difficulties quantifying their impact, leading them to question their value,” she added. “However, eliminating DEI programs can result in less inclusive workplace cultures and reduce psychological safety for underrepresented groups.”
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