Disney Shifts Away From DEI To Return To Its Primary Business Mission

Core Viewpoint - The Walt Disney Company is shifting its focus away from Diversity, Equity, and Inclusion (DEI) initiatives to realign with its core entertainment business mission, as stated in an internal memo and the 2024 Annual Report [1][5]. Corporate Culture Changes - Disney's chief human resources officer, Sonia Coleman, communicated to the company's 230,000 employees about changes in corporate culture aimed at aligning initiatives with business goals and company values [2]. - Executive compensation will now be weighted 70% on financial targets and 30% on other performance factors, with "Diversity & Inclusion" being replaced by a "Talent Strategy" [2]. - The rebranding of the "Reimagine Tomorrow" website to "MyDisneyToday" aims to attract top talent to contribute to business success [2]. Values and Focus - While inclusion remains a core value, the memo emphasizes belonging over diversity and replaces equity with a focus on a corporate culture where "everyone can excel" [3]. - The company acknowledges that consumer preferences are influenced by perceptions of its stance on public interest matters, including environmental and social issues [5]. Political Context - Disney's reevaluation of DEI practices aligns with a broader trend among companies responding to the political climate, particularly following the Trump administration's anti-DEI stance [3]. - CEO Bob Iger has expressed a commitment to entertain a diverse audience while being sensitive to not alienate certain consumer groups [3]. Legal and Financial Considerations - Disney-owned ABC settled a defamation lawsuit with Donald Trump for $15 million plus legal expenses, a move seen as an effort to maintain favorable relations with the current administration [4].