Maryland’s state attorney general joined a dozen others in calling out Walmart for joining other companies in rolling back its commitments to diversity, equity and inclusion (DEI).

A letter sent this month from 13 attorneys general to Walmart CEO Doug McMillon urges the retail giant to reconsider ending its staff racial equity training programs and supplier diversity efforts — commitments made only four years ago after the death of George Floyd led to increased racial justice initiatives by corporations. Walmart joins several companies shifting positions on DEI, which the attorneys general attribute to “a reaction to concerted efforts by a few to bully corporations into adopting their own cynical worldviews.”

“​​But we are concerned that Walmart failed to consider the other side — the customers and employees that will be alienated by this departure, the historically-disadvantaged minority- and women-owned small businesses that will have a harder time becoming suppliers to Walmart, and the economic benefits of diversity that Walmart will lose by abandoning its commitment to a diverse workforce,” the attorneys general wrote.

Illinois Attorney General Kwame Raoul led the coalition of attorneys general from California, Connecticut, Hawaii, Illinois, Maine, Massachusetts, Maryland, Minnesota, Nevada, New Jersey, New York, Rhode Island and Vermont.

Maryland Attorney General Anthony G. Brown joined, concerned about the impact the shift by Walmart, the largest retailer in the world, could have on smaller businesses' decisions.

“Diversity, equity, and inclusion policies are critical tools for preventing discrimination and addressing historic injustices against minorities and other marginalized groups. When major companies roll back their commitments to these efforts, they signal to smaller businesses that it is acceptable to do the same, creating a ripple effect that inflicts lasting harm across our State and nation,” Brown said in a statement. “These initiatives are an essential part of our country’s promise of equality, and they should not be subject to the whims of politics.”

A spokesperson for Walmart confirmed they received the letter from the attorneys general.

“We continue to operate with a focus on living our values of respect, integrity, service and excellence. We remain committed to creating a culture where everyone can be successful, and ensuring we are a Walmart for everyone,” the spokesperson for Walmart said in a statement shared with The Banner.

John Michel, an associate professor of management at Loyola University Maryland, said such a politically charged switch isn’t a good look for the company as policies signal their identity.

“It sends mixed signals about who we are as a company, what we care about, what our strategy is,” Michel said of Walmart. “Once you’ve adopted it, you clearly did it for a specific reason. Why? And then why, only a couple of politically charged years later, did you roll back on it?”

Investors expressed disappointing sentiments about Walmart’s shift in policy in a letter released earlier this week.

“Seeing the company retreat from its stated values and the business opportunities associated with a diverse and inclusive workforce is very disheartening. Additionally, Walmart has not offered a financial or business case for this change in policy,” Walmart shareholders who represent $266 billion assets wrote. “Walmart has sent a clear signal to all underrepresented and marginalized groups that Walmart will not fight to protect their rights. In a time when there are threats to the rights of the LGBTQ+ community, threats of mass deportation of migrants, in addition to potential policies that may disproportionately harm people and workers of color, who make up over half of Walmart’s workforce, and low-income communities, it is imperative for Walmart to remain committed to its stated values of fostering a sense of belonging for everyone.”

In its 2024 annual Belonging, Diversity, Equity and Inclusion Report, Walmart notes that people of color represented half of their workforce. They also noted that the Center for Racial Equity, which was established in 2020 and would disband under the new policies, had invested $80 million to date “to help nonprofit organizations create equitable outcomes for Black and African American communities and beyond in the areas of finance, health, education, criminal justice, and racial solidarity.”

Colleen Stuart, an associate professor and the co-director of the Gender & Work Initiative at the Johns Hopkins Carey Business School, sees the letter from the attorneys general as a warning for businesses looking to follow the lead of Walmart and others. She also warns about the impact this could have on Walmart’s workforce.

“I very much view this letter as trying to get ahead or reminding other firms who may be considering these types of rollbacks, reminding them of their legal obligation to provide a workplace free of discrimination,” Stuart said. “Inclusion and belongingness is really important to retention. … What also might happen is that we might see some of Walmart’s workforce start looking for other jobs outside of Walmart.”