Salesforce (CRM) has revised its diversity, equity and inclusion (DEI) policies, removing specific hiring goals and the term “diversity” from its latest 10K annual report. This shift comes amid a growing backlash against DEI initiatives, particularly after President Trump signed executive orders to end these programs within the federal government and among its contractors. Thus, CRM being a major vendor to the U.S. government, has adjusted its policies to comply with these regulations.
Among the key changes, the company has removed specific hiring targets for underrepresented groups in its workforce. This includes previous goals to increase the representation of women and minority groups.
Also, Salesforce’s annual report previously included a section dedicated to “Equality, Diversity and Inclusion,” and executive compensation was tied to achieving these goals. However, in the latest 10K, the section is titled “Equality,” and focuses on compliance with equal-pay and anti-discrimination laws.
DEI Rollback Started Before Trump-Era
Conservative activists such as Edward Blum and influencer Robby Starbuck drew attention to DEI policies in the months before Trump returned to office. Importantly, social media campaigns by Starbuck criticizing “woke” corporations pushed companies like Deere (DE), Harley-Davidson (HOG), and Lowe’s (LOW) to modify or drop DEI efforts.
Further, Trump’s executive orders accelerated the trend, with Walmart (WMT) halting race and gender-based supplier contracts. Meanwhile, tech giants like Meta (META) and Amazon (AMZN) followed suit, scaling back their DEI policies.
According to a Bloomberg report, over 30 companies have scaled back these programs since mid-2024.
Is CRM a Buy, Hold, or Sell?
Turning to Wall Street, CRM stock has a Moderate Buy consensus rating based on 32 Buys, seven Holds, and two Sells assigned in the last three months. At $380, the average Salesforce stock price target implies 30.15% upside potential.
