Ford will no longer use quotas for minority dealerships or suppliers and will leave the LGBTQ+ Index in pursuit of ‘political neutrality’
August 30, 2024 at 09:44
- Ford says it does not utilize hiring quotas or link pay to the achievement of diversity goals.
- CEO Jim Farley noted that Ford’s “employees and customers hold a wide range of beliefs.”
- The death of George Floyd prompted many companies to ramp up DEI commitments.
Ford has scaled back some of its diversity, equity and inclusion initiatives (DEI) in the United States. Moving forward, the company will no longer enforce quotas for minority-owned dealerships and suppliers and has decided to opt out of the annual Human Rights Campaign survey, an LGBTQ advocacy group initiative.
According to an internal memo sent to Ford employees worldwide before it was leaked on X, The automaker says its DEI policies are evolving in response to the “ever-changing external and legal environment related to political and social issues”.
Ford joins other major American companies that have scrapped DEI targets, including Tractor Supply, Harley-Davidson, and Lowe’s.
Read: Flip-Flopping Ford Delays Electric Truck And Axes 3-Row EV Plans, Will Build Hybrids Instead
“Ford does not utilize hiring quotas or tie compensation to the achievement of specified diversity goals,” the brand said in the memo sent to employees. “Likewise, while we continue to develop a dealer body that reflects the communities they serve, we will not use quotas for minority dealerships and suppliers.”
Despite these changes, Ford emphasized that its commitment to fostering an inclusive workplace remains strong. “Ford remains deeply committed to fostering a safe and inclusive workplace and building a team that leverages diverse perspectives, backgrounds and thinking styles to craft the best products, services, and experiences for our customers,” the letter continued. “ We have more work to do to realize this vision.”
In the letter from Ford chief executive Jim Farley, the brand added “the diverse experiences, perspectives and talents” of its team has allowed it to produce many iconic vehicles, and noted that its “employees and customers hold a wide range of beliefs.”
The Human Rights Campaign’s annual survey evaluates over 1,300 companies on their equality measures for LGBTQ+ people. CNBC reports that Ford has received a perfect score on the index in recent years. Unsurprisingly, the group is not pleased with the Blue Oval’s recent decision.
“Ford Motor Company’s shortsighted decisions will have long-term consequences,” Human Rights Campaign President Kelley Robinson said. “Hastily abandoning efforts that ensure fair, safe, and inclusive work environments is bad for business and leaves Ford’s employees and millions of LGBTQ+-allied consumers behind.”
Many large corporations, including Ford, ramped up their DEI commitments after the murder of George Floyd in 2020. However, CNBC’s Liz Hoffman notes that Ford’s decision to scale back on some of these efforts reflects a broader move by companies toward becoming “more politically neutral.”
