Target is ending its diversity, equity and inclusion program this year, the retailer said on Friday, the latest U.S. corporation to step away from such policies in the face of severe scrutiny from conservative groups.
Reuters
Over the last year, several major companies, including Walmart, Amazon and Meta have rolled back their DEI policies, and earlier this week, President Donald Trump directing federal agencies to terminate DEI programs and urged private companies to end “illegal DEI discrimination and preferences.”
But the Minneapolis-based retailer’s decision met with notable criticism, with some noting the company’s reputation for inclusiveness has helped it attract a younger, more diverse consumer base.
“For Target, with an inclusive audience, this is their version of brand suicide,” said Eric Schiffer of Los Angeles-based Reputation Management Consultants, which advises U.S. corporates and Hollywood celebrities.
Target also said it was ending its Racial Equity Action and Change (REACH) initiatives this year, under which it had pledged to invest over $2 billion with Black-owned businesses by the end of 2025. The initiative included plans to add more than 500 Black-owned brands and a funding program from its in-house media company, Roundel, to increase exposure of diverse-owned brands through paid media.
The retailer added that it was changing its “Supplier Diversity” team to “Supplier Engagement” in a bid to better reflect “its inclusive global procurement process.”
“Target is making a mistake by ending its DEI goals with its customer base being highly diverse,” said Sylvester Turner, Congressman for Texas’ 18th Congressional District, on X.
DEI programs, designed to promote opportunities for women, ethnic minorities, LGBTQ+ people and other traditionally underrepresented groups, gained traction after nationwide protests in 2020 over police shootings of unarmed Black people. However, they have been criticized by Trump and conservative groups as being discriminatory against other Americans and for undermining merit in hiring and promotion.
“Many years of data, insights, listening and learning have been shaping this next chapter in our strategy,” Target’s chief community impact and equity officer Kiera Fernandez said in a memo, adding that it was important to stay in step with the “evolving” external landscape. The company did not comment outside of its statement.
According to Target’s 2023 workforce diversity report, the retailer’s workforce comprised 56% female employees and 43% male employees. The racial and ethnic distribution was similarly balanced, with 56% of employees being people of color and 43% being white.
Target’s stores host LGBTQ-related goods during Pride month, attracting a more diverse customer base than bigger rival Walmart, opens new tab, which announced cuts to some of its DEI initiatives late last year. However, in 2023, Target pulled some LGBTQ-themed merchandise from stores, citing increased confrontations between shoppers and employees and incidents of products being thrown on the floor.
In 2016, Target said that transgender employees and customers could use bathrooms corresponding to their gender identity, at a time when a heated national debate had sprung up on the issue. It was the first big retailer to address the matter. At a retail conference in New York this month, Target’s CEO Brian Cornell said the company’s growth over the past years came down to investing in people and creating a culture of care and growth.
On Thursday, Costco Wholesale shareholders voted overwhelmingly against a proposal requesting a report on the risks of maintaining its diversity and inclusion initiatives.
Many big names in UK retail had a good Christmas season — despite the sector being generally sluggish — but it seems John Lewis Partnership (JLP) may not have been one of them.
The retailer — which operates its eponymous department stores and webstore, plus Waitrose supermarkets — has missed its profit target after a disappointing festive season.
It hasn’t shared any info officially but internal documents seen by The Telegraph suggest bad news to come when it does release its results.
Those internal documents have only been shared with staff so far with the company saying that sales have fallen short of expectations and it’s unlikely to achieve its hoped-for £131 million full-year profit.
The company is said to have blamed “lower consumer confidence and weaker than expected market confidence” for the sales miss in the month to 21 December, although also the fact that key trading days fell outside the period.
Sales targets were missed at both of the firm’s chains, although the newspaper said it still claimed it outperformed rivals and staff should be “proud of our performance”.
It will be interesting therefore to see exactly what its figures were as a number of rivals have actually reported a good Christmas. If its stores have beaten other supermarkets and chains like M&S, perhaps its targets were too ambitious in the first place.
We won’t know for a while, but we do know that with M&S resurgent, JLP’s supermarkets and department stores have lost some of their lustre as the destination of choice for Britain’s middle classes.
So what were the firm’s benchmarks? Back in September it had said it was seeing strong demand and expected a significant rise in profits for the year to January. The prior year’s pre-tax profit had been £56 million and the year before that it made a loss.
It had also talked about its turnaround efforts paying off and that it was seeing a “considerable improvement” in performance, with the John Lewis chain in particular expected to benefit from a buoyant second half.
It’s been rumoured for some time that he would exit the label but it’s not yet known what his next step will be.
Jones has been widely praised for his work at Dior with his latest men’s collection shown this month being hailed as a success.
He’s been a key creative at LVMH having also designed its Fendi women’s collections. And he helmed Louis Vuitton’s menswear before he joined Dior.
The company said it “wishes to express its deepest gratitude” to the designer “who has accelerated the development of Men’s collections internationally and has greatly contributed to the worldwide influence of the House by creating an inspiring wardrobe that is both classic and contemporary, and connected to some artists of our time”.
And Delphine Arnault, who’s chairman and CEO of Christian Dior Couture,added: “I am extremely grateful for the remarkable work done by Kim Jones, his studio, and the ateliers. With all his talent and creativity, he has constantly reinterpreted the House’s heritage with genuine freedom of tone and surprising, highly desirable artistic collaborations.”
Jones meanwhile called it a “true honour to have been able to create my collections within the House of Dior, a symbol of absolute excellence. I express my deep gratitude to my studio and the ateliers who have accompanied me on this wonderful journey. They have brought my creations to life. I would also like to take this opportunity to thank the artists and friends I have met through my collaborations. Lastly, I feel sincere gratitude towards Bernard and Delphine Arnault, who have given me their full support.”
Zalando has announced Iamisigo, a Nigerian-founded brand, as winner of its Visionary Award 2025 “for its boundary-pushing exploration of artisanal craftsmanship and pioneering textile innovation”.
As well as the €50,000 prize, the label will present its collection on the runway at Copenhagen Fashion Week SS26 in August “with Zalando’s continued support through financial assistance for the show production, facilitating mentorship opportunities and tailored industry connections”.
The company said the award reflects its “commitment to supporting emerging designers who challenge conventions and inspire progress in the fashion industry”.
The brand blends heritage textiles with traditional craft techniques drawn from across Africa. It was founded by Bubu Ogisi and offers “contemporary designs with a bold, fresh perspective”.
At an exhibition at Copenhagen Fashion Week AW25 this week, the award finalists introduced their brands, presented their visions and ethos through a showcase of their hero pieces and a panel talk, hosted by Zalando.
We’re told the jury chose Iamisigo “for its dedication to blending ethical sourcing with a commitment to empowering local communities. The brand’s distinct voice, visionary and magical aesthetic challenge conventions, offering a new perspective on what it means to drive positive change in fashion; transcending gender norms, designing for spirits and energies”.
The jury also said that Bubu Ogisi “embodies the essence of a visionary in many ways, and that she is a rare creative talent working in this space today, with a brand whose output is both beautiful and miraculous”.
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