Apple Shareholders Back Diversity Efforts Despite Conservative Backlash

Apple shareholders have voted to uphold the tech giant's diversity, equity, and inclusion (DEI) policies, rejecting a proposal from a conservative group, Reuters reports. This decision comes amidst a growing backlash against such initiatives, particularly following Donald Trump's return to the political stage.

The vote, which took place at Apple's annual meeting on Tuesday, was seen as a key test of shareholder sentiment regarding DEI programs, which many companies expanded upon starting in 2020 following the rise of the Black Lives Matter movement.

A growing number of conservative voices have been pushing major US companies to abandon DEI initiatives, both before and after Trump's return to the political scene. Trump has repeatedly criticized these programs as discriminatory, even suggesting that the US Department of Justice investigate whether they violate the law.

The proposal to scrap Apple's DEI efforts was submitted by the National Center for Public Policy Research, a free-market think tank, which argued that recent legal changes would increase discrimination lawsuits against Apple if its DEI policies continued. However, Apple countered that its active oversight efforts effectively mitigated legal risks and that the proposal inappropriately interfered with management's authority.

While Apple discloses diversity data for its workforce, it does not currently have set targets or quotas. Instead, its DEI efforts are primarily focused on programs such as a racial justice initiative supporting historically Black colleges and universities in the US. Apple also undertakes DEI initiatives internationally, including a program teaching coding skills to indigenous populations in Mexico and a partnership with an Aboriginal-led nonprofit promoting criminal justice reform in Australia.

Apple CEO Tim Cook, speaking at the meeting, emphasized that the company's "strength has always come from hiring the very best people and then providing a culture of collaboration, one where people with diverse backgrounds and perspectives come together to innovate."

However, Cook also acknowledged the evolving legal landscape and the possibility of needing to adjust Apple's approach to comply with new regulations, while reaffirming the company's commitment to dignity and respect for all.

This vote follows a similar trend among other major corporations. In January, Costco Wholesale shareholders overwhelmingly rejected a proposal asking the company to report on the risks associated with its DEI initiatives.

Apple also faced a shareholder proposal concerning the risks associated with its work in artificial intelligence (AI), though this proposal, while receiving a significant number of "for" votes, was ultimately defeated.

All of Apple's management proposals, including a "say on pay" provision, were approved by shareholders. Cook also confirmed that Apple will be the largest customer of a new Taiwan Semiconductor Manufacturing Co factory in Arizona, a project that Trump championed during his first term.