target

The DEI Reckoning: Target’s Retreat and the Fragility of Corporate Allyship

In 2020, Target’s CEO Brian Cornell pledged to confront systemic racism, vowing to invest $2 billion in Black-owned businesses by 2025.

By January 2025, Target dismantled those promises, rolling back diversity, equity, and inclusion (DEI) initiatives—scrapping supplier diversity programs and ending LGBTQ+ advocacy surveys. This retreat raises urgent questions: Is corporate allyship merely performative?

The Unraveling of a Promise

Target’s updated strategy reflects a shift from earlier commitments. The company stated: “We remain focused on driving our business by creating a sense of belonging for our team, guests, and communities through a commitment to inclusion… Throughout 2025, we’ll be accelerating action in key areas and implementing changes with the goal of driving growth and staying in step with the evolving external landscape.”

Despite these reassurances, critics argue the changes dilute accountability. By ending REACH and supplier diversity programs, Target risks erasing years of progress made in supporting Black entrepreneurs and marginalized communities. The company has also decided to stop external diversity-focused surveys, such as the Human Rights Campaign’s Corporate Equality Index.

This mirrors broader trends: Walmart, Meta, and McDonald’s have scaled back DEI programs amid political pressures and lawsuits. Yet Target’s Minneapolis headquarters—forever linked to George Floyd’s murder—once positioned the retailer as a leader in racial equity. Now, it appears to prioritize external optics over internal commitments.

The Political Calculus

Days before Target’s announcement, President Donald Trump signed an executive order targeting federal DEI programs.

Conservative activists like Robby Starbuck framed DEI as “discriminatory,” threatening boycotts. Target, still recovering from 2023’s Pride Month backlash, chose survival over solidarity.

But Costco, JPMorgan, and Apple resisted similar pressures. JPMorgan CEO Jamie Dimon publicly defended DEI, stating, “Bring them on,” and reaffirmed the bank’s commitment to reaching out to diverse communities, including Black, Hispanic, LGBTQ, and veteran populations. Target’s retreat asks: Is DEI a checkbox or a genuine commitment?

The Ripple Effect on Black Businesses

Target’s $2 billion pledge to Black-owned businesses was more than symbolic—it was a lifeline. The REACH initiative helped Black entrepreneurs scale their products for mass retail, while Roundel, Target’s media arm, provided promotional support for diverse brands. Rolling back these efforts risks stalling progress.

Eric Schiffer, a reputation management expert, called the decision “brand suicide” for a retailer with a diverse customer base. Politicians and community leaders echoed similar concerns. Texas Congressman Sylvester Turner tweeted: “Target is making a mistake… its customer base is highly diverse.”

Still, others applauded the move as a shift toward “hiring based on ability,” ignoring systemic barriers that Black entrepreneurs and workers face.

A Test of Corporate Courage

Target’s reversal underscores a painful truth: Corporate allyship is often conditional. DEI flourished in 2020 as companies scrambled to align with a racial justice movement. Today, under political fire, many are folding. Yet Costco’s defiance proves alternatives exist. By framing DEI as a driver of innovation—diverse teams fuel the “treasure hunt” experience shoppers love—Costco ties inclusion to business success

Brian Cornell once called DEI “fuel for Target’s growth.” If true, why abandon it?

The Path Forward

Target’s decision tests corporate accountability. Will businesses prioritize short-term politics or long-term equity? For Black entrepreneurs and allies, the answer demands vigilance—and reevaluating where we spend.

Progress isn’t a three-year goal. It’s a lifelong commitment. Target’s shift from vanguard to vacillator is a cautionary tale: Hold corporations to promises made when the world watches.

Tony O. Lawson

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3 Comments Leave a Reply

  1. Please organize all the vendors whose products are no longer being carried in Target. Help them create their own collective online site to promote and sell their goods. Name it “UnTarget” or “BlackTarget”….launch it asap while this it still top of mind. Seize Target’s rejection as an opportunity to create what may not have been viable before….turn lemons into scrumptious lemonade!

    • I’ve always believed businesses should be used as a space for the employee to gain ‘critical business development skills’ before one transitions into their own business. For African-Americans this is a must. Entrepreneurship should be a cultural norm for all of us. Every parent needs to set that expectation for their child, regardless of color or ethnicity or type.

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