Arkansas Legislative Black Caucus voices disappointment in Walmart's DEI rollback
Arkansas Legislative Black Caucus members on Monday expressed disappointment and confusion over Walmart's decision to alter its diversity, equity and inclusion (DEI) initiatives.
The Bentonville-based retailer received pushback after announcing in late November it was rolling back its DEI policies, including from 13 attorneys general and 30 shareholders representing $266 billion in investments.
Speaking via videoconference with Black lawmakers at the Capitol, Walmart representatives said at Monday's meeting that, internally, nothing will change about the way they treat associates. Pepe Estrada, senior director of constituent relations, said this is the next step in the company's DEI journey.
'We want everyone to feel like they belong and they have a great experience at the company, and in the process we will not tolerate any type of bullying, discrimination or harassment of any type to any individual, so that hasn't changed,' Estrada said.
Kevin Thompson, senior director of government relations, said some tangible things that will change is the use of the word 'belonging' instead of DEI, halting participation in some external benchmarking surveys that 'do not add value to our business,' sunsetting the Center of Racial Equity that was created with a five-year plan shortly after the murder of George Floyd in 2020, and ceasing the use of the term Latinx.
Walmart will maintain its employee affinity groups, but it will rename its Latinx group to Latino, per the recommendation of associates, Estrada said.
Referencing a 2023 bill to end state-sponsored affirmative action that died on the House floor following bipartisan opposition, Sen. Reginald Murdock, D-Marianna, asked if lawmakers could again count on Walmart's support for a similar bill in the 2025 legislative session.
Arkansas lawmaker again proposes legislation to end state minority initiatives
Sponsored once more by Sen. Dan Sullivan, R-Jonesboro, Senate Bill 3 would prohibit discrimination or preferential treatment by state and public agencies. Sullivan told the Arkansas Democrat-Gazette he plans to present the bill to lawmakers Tuesday.
Mike Lindsey, Walmart director of public affairs and governmental relations, told Murdock he doesn't think the company has a position on the new bill and is primarily focused on direct business-impact legislation this session.
Both Murdock and caucus Vice Chair Sen. Jamie Scott, D-North Little Rock, noted Walmart opposed the previous bill and challenged Lindsey's explanation.
'Don't roll out policies and stand behind them and say that we're just going to focus on the business when last year the business decision was to not support this bill because it would impact the money,' Scott said. 'So we're talking out both sides of our mouths right now.'
Asked by Sen. Fred Love, D-Mablevale, how to respond to constituents who might call for a boycott based on Walmart's DEI policies, Lindsey said the company is a good community partner that gives back through donations and sponsorships.
'We are a tremendous job creator, especially entry level and then throughout a career for persons of color or anybody that wants to work for Walmart,' he said. 'I think it's a great career, provides a lot of economic opportunity for the community.'
A global publicly-traded company that generated $648 billion in revenue in fiscal year 2024, Walmart employs more than 50,000 people in Arkansas, Lindsey said.
Though Walmart officials insisted nothing would change in terms of associates' experiences, Murdock pleaded with them to listen to the 'very grave concerns of lawmakers.'
'Ultimately your support or lack thereof for anything that attacks these communities that we represent and that we serve, we expect you — who we are putting millions and billions of dollars into Walmart — we expect you to stand up for us and be a part of the fight that we fight against those that are trying to continue to hurt us,' Murdock said. 'We need that from you, we expect that from you.'
Walmart joins a number of companies like Lowe's and Tractor Supply who pulled back on their DEI initiatives after the U.S. Supreme Court in 2023 struck down affirmative action in college admissions.
The national conversation around the topic ramped up last week after President Donald Trump ordered an end to all federal DEI policies and programs, which resulted in many federal employees being placed on paid administrative leave.
Scott will continue that conversation in Arkansas with a resolution she filed last week to affirm the state's 'commitment to DEI as an essential foundation for achieving the American Dream.' Attacks on DEI are harmful to the bottom line and health of the economy, the resolution states.
'Anti-DEI activists, politicians, and corporate decision makers who attempt to prohibit Diversity, Equity, and Inclusion policies and initiatives infringe upon the right of individuals to freely express themselves, diminish the diversity of perspectives that strengthen our society, and conflict with anti-discrimination laws,' the resolution states.
The resolution has not yet been scheduled to be presented to lawmakers.
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