Dei Retreat of Wall Street: Where are the major banks and asset managers standing

As Wall Street shifts in diversity, equity and inclusion (DEI), some companies quietly retreat while others make enough adjustments to avoid a political rebound. Bank of America (BAC), BlackRock (BLK) and Citigroup (C) (C) have publicly scaled back their DEI commitments, while Capital One (COF) appears to be taking a thin line, cutting efforts without making headlines. JPMorgan Chase (JPM) on the other hand is still committed to broad goals, but is reducing some spending.

Like the big tech companies, the financial sector accepted the DEI in 2020 in a national protest against racial justice and promised to address systemic differences through hiring programs and investment strategies. But banks are reevaluating these commitments as political climate change.

The pressure has been increasing as the Trump administration expressed its intention to remove the cross-industry DEI initiatives from finance to education. Here are the latest documents and statements from major U.S. banks and asset managers that have shown a wider range of industries have been moved from DEI:

BlackRock

In the annual report filed yesterday (February 25), the world’s largest asset manager deleted references to its “three pillars DEI strategy” which includes the diversity of talent and culture, customer and business partnerships, social impact and policy Sexual commitment. Instead, the report includes a statement called Connectivity and Inclusion, a new section that says the company is “committed to creating an environment that supports top talent and fosters a variety of perspectives to avoid Collective thinking.”

Bank of America replaces “diversity” with “opportunity”

Bank of America also filed its annual report yesterday, which deleted all the “diversity and inclusion” mentioned in its 2023 report. In several places, banks replaced the term “diversity” with “opportunity.” For example, the “Diverency and Inclusion Group” under the bank’s human resources department has been renamed “Opportunity and Inclusion Group.”

“We have diversity and inclusion in the company. But, step back: we have always been an opportunity bank.” CEO Brian Moynihan said yesterday at an event in Washington, D.C., when asked at the time and the bank’s DEI policy.

Bank of America stops reporting employee diversity data

In the latest annual reportBank of America’s parent company, Bank of America, quietly deleted it previous years Outline its DEI efforts, including reference to its business resource groups, which support minority employees. It also canceled a promise that banks will include at least one woman or person of color in all roles.

The bank also scrubbed its employee diversity data. Last year, the document specified that 57% of its U.S. employees were women and 39% of people of color. The latest document is not mentioned. Nevertheless, it is worth noting that our Bancorp is about to have the first woman of color. The bank’s president, Gunjan Kedia, is an Indian-American, who will take over as CEO in April.

Citigroup removes diversity targets for hiring

Citigroup announced in a “College Participation Update” released on February 20 that “it will no longer have ideal representative goals except for local legal requirements.” The bank also said it will no longer require a variety of things. candidates and interviewers. Citigroup said the move was a direct result of recent changes in U.S. federal government policies.

Morgan Stanley’s transition from “diversity and inclusion” to “elite management”

Morgan Stanley (MS) latest annual report Excluding the “Diverency and Inclusion” section listed in previous years’ documents. However, the report retains the company’s link Diversity and Inclusion Landing Pagestill alive.

The bank’s only statements related to DEI are nested under a section called “human capital” which contains established values ​​committed to “diversity and inclusion”, but now also mentions “smart right”, which is the right to President Trump’s call for “Performance-based Opportunities”The entire industry.

Capital One removes the DIB section, but highlights the diversity of vendors

Similarly, Capital One’s latest annual report no longer has previous years The “Diverency, Inclusion and Belonging” (DIB) section. While briefly mentioning “salary equity,” the bank’s commitment to pay “100%” of women and white employees’ salaries to women of color and employees is clearly not present.

Capital One’s website still has “Diversity, Inclusion and Belonging” Statement and “Supplier Diversity Program”, Its goal is to “include qualified various businesses in every procurement opportunity for the commodity needs that exist for each supplier.”

JPMorgan Chase and Goldman Sachs alone

JPMorgan Chase is the largest bank in the United States, sticking to its commitment despite political pressure. The bank said in its latest annual report that it has “has been and expected that it will continue to be criticized by activists, politicians and other public as a diversity, equity and inclusion program).

However, JPMorgan CEO Jamie Dimon acknowledged Some DEI plans are wasteful and say the bank will cut spending While maintaining its broader DEI commitment.

Similarly, Goldman Sachs (GS) notes on its website that it remains “committed to progress at all levels of our company, promoting racial equality, increasing gender equality and increasing representation.”