Jan 30, 2025 Story by: Editor
Members of the Arkansas Legislative Black Caucus voiced their disappointment and confusion on Monday regarding Walmart’s decision to modify its diversity, equity, and inclusion (DEI) initiatives.
The Bentonville-based retail giant faced backlash in late November after announcing a rollback of certain DEI policies, drawing criticism from 13 attorneys general and 30 shareholders representing a combined $266 billion in investments.
During a videoconference with Black legislators at the Capitol, Walmart representatives reassured them that internal policies regarding employee treatment would remain unchanged. Pepe Estrada, Walmart’s senior director of constituent relations, described the move as the company’s “next step” in its DEI journey.
“We want everyone to feel like they belong and they have a great experience at the company, and in the process we will not tolerate any type of bullying, discrimination or harassment of any type to any individual, so that hasn’t changed,” Estrada stated.
Kevin Thompson, senior director of government relations, outlined specific changes, including replacing the term DEI with “belonging,” discontinuing participation in certain external benchmarking surveys deemed unnecessary for business operations, ending the Center for Racial Equity—created in response to George Floyd’s 2020 killing—and ceasing the use of the term Latinx.
Walmart will continue its employee affinity groups but will rename its Latinx group to Latino, following feedback from employees, Estrada added.
Walmart’s Stance on Affirmative Action Legislation
Sen. Reginald Murdock, D-Marianna, questioned whether Walmart would again oppose a bill seeking to eliminate state-sponsored affirmative action. The previous bill, introduced in 2023, failed on the House floor amid bipartisan resistance.
Sen. Dan Sullivan, R-Jonesboro, is reintroducing the measure as Senate Bill 3, which would ban discrimination or preferential treatment in state and public agencies. He told the Arkansas Democrat-Gazette that he plans to present the bill on Tuesday.
In response to Murdock’s inquiry, Michael Lindsey, Walmart’s director of public affairs and governmental relations, said the company has not taken a stance on the new bill, stating that its focus is on legislation directly impacting business operations.
Both Murdock and caucus Vice Chair Sen. Jamie Scott, D-North Little Rock, pushed back on this response, noting Walmart’s prior opposition to similar legislation.
“Don’t roll out policies and stand behind them and say that we’re just going to focus on the business when last year the business decision was to not support this bill because it would impact the money,” Scott argued. “So we’re talking out both sides of our mouths right now.”
When Sen. Fred Love, D-Mablevale, asked how lawmakers should address constituents calling for a boycott due to Walmart’s DEI stance, Lindsey defended the company’s community contributions.
“We are a tremendous job creator, especially at the entry-level and then throughout a career for persons of color or anybody that wants to work for Walmart,” Lindsey said. “I think it’s a great career, provides a lot of economic opportunities for the community.”
Lindsey also noted that Walmart, which generated $648 billion in revenue in fiscal year 2024, employs over 50,000 people in Arkansas.
Despite Walmart’s insistence that employee experiences would remain unchanged, Murdock urged company officials to take lawmakers’ concerns seriously.
“Ultimately your support or lack thereof for anything that attacks these communities that we represent and that we serve, we expect you — who we are putting millions and billions of dollars into Walmart — we expect you to stand up for us and be a part of the fight that we fight against those that are trying to continue to hurt us,” Murdock said. “We need that from you, we expect that from you.”
National Context and the DEI Debate
Walmart’s decision aligns with a growing trend among corporations, including Lowe’s and Tractor Supply, that have scaled back DEI initiatives following the U.S. Supreme Court’s 2023 ruling against affirmative action in college admissions.
The national conversation intensified last week when President Donald Trump ordered an end to all federal DEI programs, resulting in numerous federal employees being placed on paid administrative leave.
In response, Sen. Jamie Scott filed a resolution affirming Arkansas’ commitment to DEI as a fundamental aspect of the American Dream. The resolution argues that eliminating DEI policies harms economic growth and corporate success.
“Anti-DEI activists, politicians, and corporate decision-makers who attempt to prohibit Diversity, Equity, and Inclusion policies and initiatives infringe upon the right of individuals to freely express themselves, diminish the diversity of perspectives that strengthen our society, and conflict with anti-discrimination laws,” the resolution states.
The resolution has yet to be scheduled for legislative review. Source: Arkansas Advocate
