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Microsoft Cancels Its Own DEI Team, Citing ‘Changing Business Needs’

Microsoft has announced a notable change within its corporate structure, dismantling [1] its Diversity, Equity, and Inclusion (DEI) team. A team leader deemed the initiatives “no longer needed,” leading to layoffs within the group.

The company did not disclose the exact number of affected employees, nor the identity of the team leader who sent the email.

In an email obtained by Business Insider [4] and sent to thousands of employees, it was revealed that the DEI team was eliminated due to “changing business needs” as of July 1.

The email suggested that the significance of DEI programs has evolved since 2020.

The email hinted at an alleged broader conservative policy plan, Project 2025, and questioned the long-term relevance of the DEI commitments made by companies post-2020.

It also suggested that companies may be reconsidering their inclusion initiatives in light of potential risks related to U.S. federal contracts.

While the email commended the DEI teams at Microsoft for their efforts, it also raised allegations against the executive leadership, accusing them of discrimination, harassment, and toxicity within the company.

In response, Microsoft spokesperson Jeff Jones reportedly stated to Business Wire [9] that their D&I commitments remain unchanged, emphasizing the company’s continued focus on diversity and inclusion.

Microsoft’s approach to DEI had been shaped by the events following George Floyd’s death.

The company had previously announced initiatives aimed at addressing racial injustice and promoting diversity within its workforce, including pledges to increase the number of Black and African American leaders by 2025 and an additional $150 million investment in diversity efforts.