Three years after the tragic murder of George Floyd, the corporate world made sweeping promises to address systemic inequities. However, the question remains – how much progress has actually been achieved? Amidst a flurry of commitments to diversity, equity, and inclusion (DEI) initiatives, the landscape has seen fluctuations and setbacks, prompting a closer look at who has remained true to their word.
Key Takeaway
Three years after the BLM protests, the corporate world’s commitments to diversity and inclusion initiatives have faced challenges amidst economic downturns and layoffs. While some firms have made progress in hiring Black partners and collaborating with HBCUs, the overall landscape reflects the need for sustained efforts to uphold diversity commitments.
The State of DEI Initiatives
Following the events of 2020, the venture capital and startup realm witnessed a surge in commitments to tackle the lack of diversity within their sectors. Numerous companies launched DEI initiatives, initially showing promise. However, recent developments indicate a decline in the fulfillment of these promises. The market downturn in 2022, coupled with soaring interest rates and widespread layoffs, has cast a shadow over the progress made in promoting diversity and inclusion.
Challenges in 2023
Amidst the economic challenges of 2023, there has been a 44% decrease in DEI job postings compared to the previous year. Major tech giants such as Google and Meta have reportedly laid off employees responsible for recruiting individuals from underrepresented backgrounds. These developments underscore the wavering commitment to DEI initiatives in the current climate.
Evaluating Commitments
Delving into the commitments made by various entities post-BLM, it is crucial to assess the extent to which these promises have been upheld. One notable example is Sequoia, which pledged to foster a more inclusive team and collaborate with historically Black colleges and universities (HBCUs) to diversify its limited partner pipeline. While the firm has hired a Black partner since 2020, specific details regarding its hiring plans remain undisclosed.
Progress and Opportunities
The addition of HBCUs as investors to Sequoia’s funds is a positive step, particularly in light of the economic disparities faced by these institutions. The presence of influential funds like Sequoia working with HBCUs holds the potential to create crucial wealth-building opportunities for these institutions and their students. Notably, several firms have made strides by employing one or two Black partners, contributing to a more diverse investor landscape.
