Boeing’s New CEO Shuts Down DEI Department
Boeing Co. has disbanded its global Diversity, Equity, and Inclusion (DEI) team, signaling a shift in corporate strategy under new CEO Kelly Ortberg, according to Bloomberg.
This decision aligns with Ortberg’s broader effort to revamp Boeing’s workforce as the company deals with financial setbacks and pressure from conservative critics.
Strategic Workforce Cuts and Leadership Changes
The dismantling of Boeing’s DEI department comes as Ortberg oversees a large restructuring plan aimed at stabilizing the aerospace giant’s finances.
The company, which plans to cut 10% of its workforce, has been focused on streamlining operations to prioritize core business areas like commercial aircraft production and defense contracts.
Sara Liang Bowen, who led the now-disbanded DEI team, exited Boeing last Thursday, expressing pride in her team’s work in a LinkedIn post that noted their accomplishments and ambitious goals.
Despite the structural changes, Boeing has stated its ongoing dedication to creating an inclusive workplace.
“Boeing remains committed to recruiting and retaining top talent and creating an inclusive work environment where every teammate can perform at their best,” the company said in a statement to Bloomberg.
Boeing also affirmed that it supports a merit-based system free from discriminatory practices.
Facing Pressure From Conservative Activism
Boeing’s move comes amongst mounting pressure from conservative activists who have increasingly targeted DEI initiatives across corporate America.
Robby Starbuck, an anti-DEI advocate, claimed credit for influencing companies like Toyota and Harley-Davidson to scale back similar efforts.
Starbuck stated he had reached out to Ortberg and Boeing’s board, threatening a campaign against their DEI policies.
This pivot follows widespread social media criticism, including comments from public figures like Elon Musk, who have argued that diversity goals contribute to operational inefficiencies.
Boeing had included DEI targets in its 2022 bonus incentives but shifted focus earlier this year to prioritize safety and quality metrics.
Boeing’s DEI Legacy Under Question
The termination of the DEI department places uncertainty on Boeing’s earlier diversity commitments.
Following the national reckoning after George Floyd’s death in 2020, Boeing promised to enhance opportunities for underrepresented groups, aiming for a 20% increase in Black employees by 2025.
By 2023, Black representation had risen by 17%, nearing the goal. However, with a renewed focus on financial recovery and quality control, Boeing’s long-term dedication to these objectives is now under scrutiny.
Feature Image Credit: REUTERS/Benoit Tessie