Microsoft Disbands Diversity, Equity, and Inclusion Team amid Changing Business Needs

Microsoft has reportedly made the decision to lay off its diversity, equity, and inclusion (DEI) team, joining a growing list of companies that are scaling back on “woke” policies. The Big Tech giant disbanded the DEI team at the beginning of the month, citing “changing business needs” as the reason for the decision.

This move comes as a surprise to many, especially considering Microsoft had previously pledged to invest $150 million into its DEI push, with goals to double the number of black and Hispanic leaders by 2025. However, the company’s recent decision to disband the DEI team signals a shift in priorities.

Other major companies, including Google, Meta, John Deere, Tractor Supply, Zoom, Snap, Tesla, DoorDash, Lyft, Home Depot, and Wayfair, have also downsized their DEI teams or shifted focus away from diversity-based initiatives. Overall, DEI-related job postings have declined by 44% compared to the same period in 2022.

Despite the layoffs, Microsoft maintains that its commitment to diversity and inclusion remains unchanged. The company’s spokesperson, Jeff Jones, stated that they are “holding firm on our expectations, prioritizing accountability, and continuing to focus on this work.”

The decision to lay off the DEI team has sparked backlash from within the company, with an unnamed DEI team leader expressing disappointment in an email to thousands of employees. The leader lamented that the work associated with DEI programs is no longer seen as “business critical” or “smart” as it was in 2020.

Microsoft’s move to disband its DEI team comes in the wake of the 2020 death of George Floyd and the subsequent Black Lives Matter protests, which prompted many companies to prioritize diversity and inclusion efforts. Microsoft CEO Satya Nadella had pledged to double the number of African-American managers, senior individual contributors, and senior leaders in the US by 2025 in response to the calls for corporate America to diversify its workforce.

While Microsoft has made progress in increasing the representation of women, black, and Hispanic employees in its workforce, the decision to lay off the DEI team raises questions about the company’s commitment to diversity and inclusion moving forward. As the landscape of corporate DEI initiatives continues to evolve, it remains to be seen how companies like Microsoft will navigate these changes.