Wall Street regulators silently remove diversity, equity, and inclusion pages following Trump’s directive
In recent developments, various federal banking and securities regulators have been quietly removing references to their internal diversity and inclusion offices from their official websites after receiving executive orders from President Donald Trump. Agencies such as the Federal Reserve, Federal Deposit Insurance Corp., Office of the Comptroller of the Currency, and Commodity Futures Trading Commission have already taken down webpages relating to their DEI programs and offices focused on minority and women inclusion. While these removals are in progress, it does not necessarily indicate the complete shutdown of the offices handling these vital issues.
Despite the removal of these pages, it is essential to note that the actions are part of a broader initiative by the Trump administration to eradicate diversity programs within the federal government. The President’s executive orders expressed concerns that such initiatives undermine national unity and promote an identity-based system that runs counter to values like hard work, excellence, and individual achievement. The Office of Personnel Management issued a directive instructing federal agencies to place all DEI staff on leave, remove DEI webpages, and halt diversity training programs.
The decision to eliminate these diversity initiatives raises concerns among industry experts and advocates. President of SEC3 Compliance, Janaya Moscony, expressed apprehension over the potential consequences of returning to a male-dominated workspace by dismantling diversity programs. Recognizing the importance of diversity and inclusion, she highlighted that during her tenure at the SEC, efforts were made to foster a diverse workforce that included individuals from various backgrounds.
Furthermore, the removal of these webpages has sparked controversy due to legal implications. Congress established prudential banking regulators as autonomous entities with political independence, and mandated the creation of minority and women inclusion offices under the Dodd-Frank Act. The deletion of these webpages in response to Executive Orders could potentially conflict with existing laws and pose legal challenges for these agencies.
Although some agencies complied with Trump’s directives, not all have completely shut down their diversity and inclusion offices. The Consumer Financial Protection Bureau, under the leadership of Rohit Chopra, continued to maintain its OMWI page and related content without significant changes. Still, the Federal Reserve, FDIC, and OCC have refrained from commenting on the situation. Additionally, most of the regional Federal Reserve banks have taken down their diversity and inclusion websites, signaling a broader trend of compliance with the administration’s orders.
The situation at the FDIC is particularly noteworthy, given its recent workplace harassment scandal under former Chairman Martin Gruenberg. Despite ongoing efforts to improve workplace culture, the elimination of diversity and inclusion activities could potentially deter underrepresented groups from feeling valued and prioritized within the agency. As advocates like Jesse Van Tol have expressed, signaling a lack of emphasis on inclusion may alienate historically excluded groups within these agencies.
In conclusion, the removal of DEI webpages by federal regulators in response to President Trump’s executive orders has raised concerns about the impact on diversity, inclusion, and workplace culture within these agencies. The compliance with these directives, while intended to align with the administration’s mandate, has sparked legal and ethical debates surrounding the importance of diversity initiatives in the government. As these developments unfold, it remains essential to monitor how federal agencies navigate these changes and uphold their legal obligations to promote diversity and inclusion.
