Salesforce (CRM) Softens DEI Stance amid Trump-led Pushback
Salesforce (CRM) has revised its diversity, equity, and inclusion (DEI) policies, removing specific hiring goals and the term "diversity" from its latest 10K report. This change follows backlash against DEI initiatives, particularly after President Trump's executive orders. The company, a major vendor to the U.S. government, has adjusted its policies to comply with these regulations. The latest report focuses on compliance with equal-pay and anti-discrimination laws, reflecting a broader trend among companies scaling back DEI efforts. Wall Street rates CRM stock as a Moderate Buy with a potential upside of 30.15%.
Salesforce (CRM) has revised its diversity, equity and inclusion (DEI) policies, removing specific hiring goals and the term “diversity” from its latest 10K annual report. This shift comes amid a growing backlash against DEI initiatives, particularly after President Trump signed executive orders to end these programs within the federal government and among its contractors. Thus, CRM being a major vendor to the U.S. government, has adjusted its policies to comply with these regulations.
Among the key changes, the company has removed specific hiring targets for underrepresented groups in its workforce. This includes previous goals to increase the representation of women and minority groups.
Also, Salesforceâs annual report previously included a section dedicated to âEquality, Diversity and Inclusion,â and executive compensation was tied to achieving these goals. However, in the latest 10K, the section is now titled “Equality,” and focuses on compliance with equal-pay and anti-discrimination laws.
DEI Rollback Started Before Trump-Era
Conservative activists such as Edward Blum and influencer Robby Starbuck drew attention to DEI policies in the months before Trump returned to office. Importantly, social media campaigns by Starbuck criticizing “woke” corporations pushed companies like Deere (DE), Harley-Davidson (HOG), and Lowe’s (LOW) to modify or drop DEI efforts.
Further, Trumpâs executive orders accelerated the trend, with Walmart (WMT) halting race- and gender-based supplier contracts and tech giants like Meta (META) and Amazon (AMZN) scaling back DEI policies.
According to a Bloomberg report, over 30 companies have scaled back these programs since mid-2024.
Is CRM a Buy, Hold, or Sell?
Turning to Wall Street, CRM stock has a Moderate Buy consensus rating based on 32 Buys, seven Holds, and two Sells assigned in the last three months. At $380, the average Salesforce stock price target implies 30.15% upside potential.
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