In 2021 the firm advocated diversity in companies. However, the decision responds to recent changes in Trump management.
The company Goldman Sachs announced that it will eliminate its policy of demand that companies that go over have a minimum of diverse members in its Board of Directors. The decision responds to the changes in Donald Trump’s management and was confirmed by a spokesman for the entity to different media.
The decision responds to recent changes in the legal and political environment of the United States, where the scrutiny on the diversity, equity and inclusion policies (DEI).
Goldman Sachs will no longer demand diversity in its board of directors
“As a result of the legal evolution related to the diversity requirements of the councils, we ended our formal diversity policy of the councils,” said Goldman’s spokesman, Tony Fratto. However, they will continue to recommend that companies adopt diverse criteria in their leadership.
Goldman Sachs introduced its diversity policy in 2020, establishing as a requirement to participate in an initial public offer (IPO) that the company had At least one diverse member at his meeting. In 2021, at least demanded two members diverse and that one was a woman.
Goldman’s initiative was the first of its kind among the great Wall Street banks. This reflected the corporate impulse of those years for increasing the representation of historically sub -present groups.
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The elimination of this policy occurs after a federal court with conservative majority annulled in December 2023 the mandatory of the stock market companies to inform annually about diversity in their meetings or justify their lack of representation.
Donald Trump’s measures with Dei programs
In addition, since his arrival at the White House on January 20, the president of the United States, Donald Trump, implemented a series of executive orders that dismantle Diversity programs in the public and private sector. This generated hostilities for this type of initiatives in large corporations.
According to an analysis of the Reuters news agency, Several companies showed marginal advances in the representation of women in leadership positions, Although these policies were in force.
The elimination of the Goldman Sachs requirement marks a turn in the Diversity Strate Strate, in a context of growing political and legal pressure against corporate inclusion initiatives.
Source: Ambito
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