According to a Resume.org survey of organizations that had a DEI program in 2024, one in eight companies are eliminating or reducing their DEI programs in 2025. Of the surveyed companies, 5% said they have eliminated their DEI programs and 8% are reducing their budget. However, 65% said their DEI budget will remain the same and 22% said they plan to increase funding.
In January 2025, President Trump signed an executive order to immediately end government DEI programs and ordered federal agencies to lay off any staff hired under DEI programs. In addition to negative public discourse among Trump and his supporters, these orders may have contributed to many organizations rethinking their own DEI initiatives. In fact, 49% of companies surveyed cited political climate changes as the top reason for scaling back their DEI program and 21% said they no longer felt the need to appeal to DEI proponents.
Other major reasons respondents cited included: economic pressures or budget constraints (37%), limited ROI or measurable impact (36%), the program was not well received by employees (36%), and the program no longer aligns with business priorities (28%).