Booz Allen Scraps DEI Programs in Reaction to Trump Orders

Booz Allen Hamilton Holding Corp., a US government defense contractor, is ending its diversity, equity and inclusion programs, citing President Donald Trump’s executive order pressuring federal suppliers to cancel diversity practices.

Booz Allen will close down its DEI department, remove diversity goals from employee and executive priorities, and eliminate all references to “DEI” in internal and external communications and training, according to a recording of a virtual company town hall reviewed by Bloomberg News.

Employees also will no longer be allowed to use pronouns or bathrooms that differ from their sex assigned at birth if that’s the rule of the government agency where the employee is assigned, according to the briefing by Booz Allen Chief People Officer Aimee George Leary.

“While our existing people programs comply with law, it is clear from these executive orders and other public statements, that the definition of what’s allowed is changing, so we must make changes,” Leary said in the recording. “If we don’t, we could be ineligible for contracts with the federal government. This would put our ability to operate and our company at risk.”

Booz Allen’s company spokesperson confirmed the statements and information given during the town hall. “All of our talent decisions are merit-based, and we have clarified and updated our programs as appropriate to ensure compliance with recently issued Presidential Executive Orders,” the company said in a statement.

Current employees working remotely will be required to return to the office if that’s a requirement of the agency where they are assigned, Leary said. She also sought to assure employees that Booz remains a “people first company,” and said that programs and requirements may change again as government requirements become more clear.

The day after he was sworn into office, Trump signed a series of sweeping executive orders aiming to dismantle DEI initiatives within the government, federal contractors and beyond. One of those orders instructed the heads of all government agencies to come up with ways to end “illegal DEI discrimination and preferences” within the private sector and ordered each agency to identify as many as nine private institutions for potential investigations.

Accenture Plc, the professional services firm with nearly 800,000 employees around the world, also is abandoning its diversity targets in reaction to the Trump orders, according to a memo to staff.

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