Apple rejects anti-DEI proposal

Apple shareholders have rejected a proposal to scrap its Diversity, Equity, and Inclusion (DEI) program, a proposal put forward by the conservative think tank National Center for Public Policy Research as part of the anti-DEI movement led by President Donald Trump.

Pressure on Apple, shareholder response
The proposal would require Apple to scale back its diversity programs and align with Trump's anti-DEI policies. A 97% vote of shareholders on Tuesday rejected the proposal. Apple management opposed the proposal, citing its commitment to DEI programs.

The Trump-Apple relationship
Apple CEO Tim Cook has maintained a cordial relationship with Trump in the past. The relationship helped Apple reduce tariffs on iPhones made in China while Trump was in office. After the Cook-Trump meeting last week, Apple announced it would invest $500 billion in the US.It said it would create 20,000 jobs in the next 5 years. Before Apple, a similar anti-DEI proposal was presented at Costco's annual meeting. However, Costco also rejected the proposal. Companies see diversity policies as essential to business success.
The arguments of DEI opponents
Stephen Padfield, a spokesman for the National Center for Public Policy Research, said, "Forced diversity is not good for business." Apple should change its DEI policies in line with court rulings. He warned that DEI programs could lead to legal problems in the future.

Legal challenges to DEI
Florida Attorney General James Uthmer recently filed a federal lawsuit against Target,
alleging that Target has made poor decisions and alienated customers by following DEI policies. Analysts believe Apple will also have to consider legal changes. Apple CEO Tim Cook said, “We want to maintain our company culture.” But he acknowledged that some adjustments to DEI programs will be necessary in light of the legal changes.

According to the last DEI report released in 2022,
three-quarters of Apple employees are white and Asian. Nearly two-thirds are male. The same trend is seen at other tech companies. Some companies are trying to increase diversity in the tech industry. But there are signs that some organizations are likely to reduce DEI programs.