Florida’s Attorney General, James Uthmeier, sued Target, alleging the company misled investors by failing to disclose the financial risks associated with its diversity, equity, and inclusion (DEI) initiatives. The lawsuit, filed in federal court, claims Target’s Pride month merchandise and broader DEI programs provoked a negative consumer backlash, harming sales and ultimately costing shareholders. Uthmeier argues this violates the Securities Exchange Act. The lawsuit follows similar actions against other corporations, highlighting a growing conservative backlash against corporate DEI policies.
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A new lawsuit against Starbucks alleges that its diversity, equity, and inclusion (DEI) initiatives violate federal and state laws by prioritizing race and sex in hiring, leading to claims of discrimination and less-qualified employees. The Missouri Attorney General’s complaint mirrors criticisms that DEI programs unfairly favor certain groups over merit-based hiring. Starbucks denies these allegations, asserting its hiring practices are fair and inclusive. While the lawsuit connects DEI to higher prices and slower service, other factors like inflation and customization options are typically cited as the cause of these consumer complaints. The ongoing debate highlights a national discussion surrounding DEI programs and their potential impact on hiring practices.
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John Q. Hosedrinker