PepsiCo Ends DEI Initiatives, Coca-Cola Recommits to Inclusion
PepsiCo Announcement
In a recent memo to employees, PepsiCo CEO Ramon Laguarta announced the company's decision to discontinue certain diversity, equity, and inclusion (DEI) initiatives. Laguarta explained that PepsiCo will no longer establish targets for minority representation in management and supplier roles. Additionally, the company will prioritize sponsorships that drive business growth.
Despite this move, Laguarta emphasized that inclusion remains a corporate priority. PepsiCo will continue to foster an inclusive culture and create opportunities for diverse individuals. The company's chief diversity officer will assume a broader role focused on employee engagement and leadership development.
Coca-Cola's Contrast
In contrast to PepsiCo's actions, Coca-Cola has reaffirmed its commitment to DEI efforts. In its annual report, the Atlanta-based company acknowledged the potential negative impact of failing to attract a diverse workforce. Coca-Cola aims to achieve 50% female representation in senior leadership positions by 2030 and ensure that race and ethnicity representation aligns with national census data.
Conservative Criticism and Industry Trend
PepsiCo's decision aligns with a growing trend among companies reconsidering DEI programs. Robby Starbuck, a conservative activist, praised PepsiCo's move and urged Coca-Cola to abandon its "woke policies." The rollback of DEI initiatives follows Trump's presidency and a 2023 Supreme Court ruling that curtailed affirmative action in college admissions.