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Nissan rolls back diversity policies as activist claims another win

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Bloomberg
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December 18, 2024, 6:45 PM ET
A Nissan logo is seen displayed outside a Nissan Showroom in
Nissan Motor Co. has become the latest major company to rollback key diversity initiatives amid mounting pressure from conservative activists.Photo by Idrees Abbas/SOPA Images/LightRocket via Getty Images

Nissan Motor Co. has become the latest major company to rollback key diversity initiatives amid mounting pressure from conservative activists, including online influencer Robby Starbuck, as they try to eradicate diversity, equity and inclusion policies from corporate America. 

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The automaker’s Americas unit reviewed its diversity programs following questions from employees and “other engagements,” Jeremie Papin, the outgoing chairman of Nissan Americas said in a letter to employees, according to a video by Starbuck on social media platform X. Nissan’s spokesman confirmed the contents of the letter.

The regional unit of the Kanagawa, Japan-based company will stop participating in surveys or activities with outside organizations that are “heavily focused on political activism,” the letter said. It will also align employee training with core business objectives, the letter said. 

Nissan’s letter echoes similar moves by more than a dozen companies, from rival Toyota Motor Corp. to Walmart Inc. and Harley-Davidson Inc. Starbuck says the companies agreed to change their DEI programs after he threatened them with starting consumer boycotts using his influence over his more than 700,000 followers on X and other platforms. Some of the companies have said that they were considering changes anyway. 

Papin said just last year that the car company’s focus on DEI was something he is “particularly proud of.” Nissan had been participating in the Human Rights Campaign’s Corporate Equality Index, a survey that measures support for LGBTQ workers. In Nissan’s latest diversity report covering North and South America, Nissan emphasized its commitment to DEI, including benefits for LGBTQ workers. 

Daring DEI

“Nissan Americas’ DEI efforts bolster our heritage of always daring to do what others do not,” Papin said in Nissan’s 2023 diversity report. In the same report, Chandra Vasser, Nissan’s chief DEI officer, said “While other companies may shy away from DEI, it is front and center at Nissan, starting on an employee’s very first day.”

Starbuck frequently asks companies to drop taking part in the HRC survey. He views policies that support civil justice issues as a means to politicize office workers. 

Nissan’s spokesman, when asked to comment on the changes to its diversity policy, said in a statement that respect and inclusion have been rooted in its values for nearly four decades and has ultimately led to the success of its business.

Companies across America have increasingly been retreating from DEI policies that saw a big jump in popularity after the murder of George Floyd in 2020. Following the Supreme Court’s ban on affirmative action in college admissions, legal challenges to corporate diversity programs that favor minority groups have also made executives review such initiatives. President-elect Donald Trump has also been a vocal critic of DEI and has promised to get rid of these practices from the federal government.    

Also Read: Why Companies Are Backing Away From DEI Programs: QuickTake

Starbuck said he engaged with Nissan prior to the announcement, similar to recent negotiations with Walmart and Caterpillar Inc. 

Papin has been tapped to be chief financial officer at the Japanese parent from Jan. 1 and will be replaced in the US by Christian Meunier. Nissan has become a merger target in Japan, as it explores a combination with Honda Motor Co., according to a person familiar with the matter. 

Starbuck had no comment as to whether Honda will be a target.

The Fortune 500 Innovation Forum will convene Fortune 500 executives, U.S. policy officials, top founders, and thought leaders to help define what’s next for the American economy, Nov. 16-17 in Detroit. Apply here.
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