On January 21, 2025, President Trump's first full day in office, he issued an Executive Order targeting diversity, equity, and inclusion (DEI) and diversity, equity, inclusion, and accessibility (DEIA) programs.1
Titled "Ending Illegal Discrimination and Restoring Merit-Based Opportunity," the Order sets out a policy to "protect individual initiative, excellence, and hard work..." by terminating "all discriminatory and illegal preferences, mandates, policies, programs, activities, guidance, regulations, enforcement actions, consent orders, and requirements" within the federal government. The Order also directs the government "to combat illegal private-sector DEI preferences, mandates, policies, programs, and activities."
Key provisions of the Order are summarized below:
- Section 3 ("Terminating Illegal Discrimination in Federal
Government"). Section 3 rescinds EO 11246, along with other
Executive Orders that promote diversity within the federal
government and protect federal employees from discrimination. EO
11246, signed by President Lyndon Johnson in 1965, required federal
government contractors to develop and maintain affirmative action
programs. In addition, among other things, Sec. 3 prohibits the
federal Office of Federal Contract Compliance Programs (OFCCP) from
promoting diversity. Section 3 also requires all federal government
contractors and grant recipients to certify that it does not
operate any programs promoting DEI that violate any applicable
Federal anti-discrimination laws. Finally, the Order directs the
Office of Management and Budget to excise references to DEI
principles from all federal acquisition, contracting, grants, and
financial assistance procedures, and to terminate all terminate all
diversity and equity programs and activities.
- Section 4 ("Encouraging the Private Sector to End Illegal
DEI Discrimination and Preferences"). This Section orders the
head of every federal agency to identify the "most egregious
and discriminatory DEI practitioners" by identifying "up
to nine potential civil compliance investigations of publicly
traded corporations, large non-profit corporations or associations,
foundations with assets of 500 million dollars or more, State and
local bar and medical associations, and institutions of higher
education with endowments over 1 billion dollars."
- Section 5 ("Other Actions"). Section 5 directs the Attorney General and the Secretary of Education to issue guidance to all institutions of higher education that receive federal grants or participate in federal student loan programs regarding measures and practices they must follow to comply with the Supreme Court's decision striking down affirmative action programs in college and university admissions.
This Executive Order is one of many consequential changes impacting employers that the Trump-Vance administration has announced and will seek to implement over the course of their administration. Our team will continue to track and analyze this and other significant directives and policy changes as they are announced. Expect further alerts and guidance regarding these important topics.
Footnote
1. For purposes of this Alert, both DEI and DEIA programs will be referred to as DEI programs.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
