The company that owns Jack Daniel’s has abandoned its DEI program under threat of a boycott:
Spirits giant Brown-Forman Corp. – with a market capitalization of $21.37 billion – is the latest company to scrap its diversity, equity and inclusion program, following Harley-Davidson, Tractor Supply and John Deere.
Major firms who rely heavily on a red state clientele have been caving to boycott pressure from corporate activist Robby Starbuck, who said Jack Daniel’s was next on the list, but that the company reversed its policies before he got the chance to lead a boycott.
Brown-Forman had put money behind its pro-discrimination policies:
Brown-Forman will stop linking bonuses and pay to DEI progress, end its participation in an annual ranking of companies with an LGBTQ-friendly environment and throw out its plans to push for a more diverse group of suppliers, according to a copy of an internal memo posted on X.
The company previously tied 10% of executives’ short-term compensation to progress on DEI goals, according to a 2023 annual report.
The company’s explanation is revealing, I think:
“Since [2019], the world has evolved, our business has changed, and the legal and external landscape has shifted dramatically, particularly within the United States,” company executives told employees in a letter on Wednesday.
“With these new dynamics at play, we must adjust our work to ensure it continues to drive business results while appropriately recognizing the current environment in which we find ourselves.”
The legal landscape has indeed shifted, as a result of the Supreme Court’s decision in the Harvard and North Carolina cases. While those cases dealt with college admissions, race discrimination is also illegal in employment, and it didn’t take lawyers long to see the handwriting on the wall. Rarely has the Supreme Court ever dealt such an effective blow from freedom and justice.
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