DEI in Big Tech declining 3 years post George Floyd’s death
Big Tech Companies Cutting Back on Diversity Efforts
Big Tech companies are making significant cuts to their diversity, equity, and inclusion (DEI) departments, a stark contrast to their previous commitments following the death of George Floyd nearly three years ago.
According to Layoffs.fyi, technology companies have been struggling and have had to lay off hundreds of thousands of workers in 2023. Over 260,000 workers in the tech sector lost their jobs at more than 1,160 companies, with DEI positions being particularly affected.
“These tech platforms are starving for well-trained engineers due to prioritizing DEI principles over core competencies,” said Dan Schneider, vice president of Free Speech America at the Media Research Center.
Despite public claims by companies like Google and Meta about their investments in increasing diversity internally, their actions suggest otherwise.
In 2020, Google and Meta made commitments to improve diversity in response to George Floyd’s death and the Black Lives Matter movement. Google pledged to increase the number of minorities in leadership by 2025, double the number of black workers by 2025, address representation shortcomings in hiring, and provide additional support for the health of black employees.
Facebook’s parent company also claimed success in increasing the number of minority and female employees in 2022.
However, as companies looked to cut costs, the DEI departments were not spared. Bloomberg reported that tech companies began cutting DEI jobs in early 2023 as part of larger job cuts. This included special projects aimed at promoting the hiring of minorities.
For example, Google decided not to hire a cohort of software engineers for its Early Career Immersion program in 2023 due to uncertain hiring outlooks. Other companies, such as Meta, also made cuts to personnel responsible for hiring minorities, including letting go of members of their Sourcer Development Program.
Despite these cuts, Amazon, Meta, and Google maintain that DEI remains a priority for their companies.
“Our commitment to DEI remains at the center of who we are as a company,” stated a Meta spokesperson. “We continue to intentionally design equitable and fair practices to drive progress across our people, product, policy, and partnerships pillars.”
Lawmakers have taken notice of the reduction in diverse staff. Rep. Barbara Lee and other members of the Congressional Black Caucus sent a letter to acting Labor Secretary Julie Su, expressing concern about the disproportionate firing of black workers.
“Tech companies who previously agreed to address bias and discrimination and create greater opportunities in the workforce are now quietly defunding diversity pledges,” they wrote in the letter.
These DEI cuts appear to be part of a larger cost-cutting effort by Big Tech companies, which grew larger than expected during the COVID-19 pandemic but found that their revenue did not match their size in the following years.
Overall, the reduction in diversity efforts raises questions about the true commitment of these companies to creating inclusive work environments.
How does recent data suggest that big tech companies‘ commitments to diversity and inclusion might be falling short?
Made similar commitments, announcing a $1 billion investment in Black and diverse suppliers and a goal to double the number of black and Hispanic employees by 2023. However, recent data suggests that these efforts might be falling short.
In October 2022, Google laid off 6% of its global marketing workforce, including employees from its DEI team. Similarly, Facebook announced in November of the same year that it would be cutting back on its diversity initiatives, with staff reductions in its DEI team. These announcements are concerning, especially considering the tech industry’s existing diversity challenges.
According to the diversity reports released by these companies, progress has been slow. In 2021, Google reported that just 4.5% of its workforce identified as Black, an increase of only 0.2% from the previous year. Meta’s 2021 diversity report showed slightly better numbers, with 6.2% of its US workforce identifying as Black, but the overall representation of Black employees at these companies remains significantly below the national average.
Furthermore, reports indicate that DEI efforts are often seen as external public relations strategies, rather than genuine commitments to change. Employees have criticized these initiatives as performative, with minimal impact on the existing lack of diversity and inclusion within these organizations.
The COVID-19 pandemic and its subsequent economic downturn have undoubtedly put pressure on businesses, leading to cost-cutting measures. However, reducing diversity efforts during this time sends a troubling message about the importance placed on equity and inclusion within these companies.
Diversity in the tech industry is not just a moral imperative; it is also essential for driving innovation and creativity. Studies have shown that diverse teams are more likely to develop innovative solutions, reach broader markets, and outperform their competitors. By neglecting diversity efforts, tech companies risk hindering their long-term growth and sustainability.
It is crucial for big tech companies to reevaluate their priorities and commit to sustaining and expanding their diversity efforts. This includes investing in pipeline programs that support underrepresented communities and ensuring equitable hiring and promotion practices. Companies must act transparently, setting concrete goals, measuring progress, and being accountable for the results.
The tech industry has a unique opportunity to lead by example and set new standards for diversity and inclusion. By forging a more equitable and inclusive industry, tech companies can strive towards greater societal impact and create a culture that truly values and embraces diversity in all its forms.
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