In a post on the social media platform X (formerly known as Twitter) on September 26, notorious conservative influencer and anti-DEI activist Robby Starbuck — the architect behind the latest wave of anti-DEI backlash, declared that "It is time to expose Toyota."
In a 13-minute and 40-second video attached to the post, Starbuck used divisive, homophobic rhetoric to outline the reasons for his attack against an automaker that had "gone totally woke" and pleaded with Toyota (TM) executives to be "politically neutral."
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"We don't want to worry about if a company is going to use the money we spend with them to turn around and give it to an organization that either explicitly hates us or will use it to fund things that are diametrically opposed to our deeply held values," Starbuck emotionally pleaded.
"You have forced us into a position where we now need to go and check to see if the company is going to be supporting the craziest, woke things of the day."
Although a Toyota spokesperson at the time told Bloomberg that Starbuck's post hasn’t prompted a review of policies for these employee groups, their latest move proves otherwise.
Toyota joins the DEI rollback bandwagon
According to a Bloomberg report, Toyota is the latest company to join a long line of others, including Ford (F) , Tractor Supply Co. (TSCO) , Microsoft (MSFT) , Lowe's (LOW) , John Deere (DE) , and Harley Davidson (HOG) , in rolling back its DEI initiatives in fear of a larger boycott of their respective companies' products and services.
In the message to employees and dealerships seen by Bloomberg, Toyota said that it would refocus on its DEI programs and cease sponsoring events associated with the LGBTQIA+ community, citing Starbuck's campaign as “a highly politicized discussion” about such topics.
Additionally, the automaker said that it is narrowing its community outreach efforts to STEM-based programs and workplace readiness initiatives, and that it will no longer participate in the Human Rights Campaign's Corporate Equality Index or other workplace surveys.
The HRC's Corporate Equality Index was a massive talking point for Starbuck, as Toyota has held a perfect score for 15 consecutive years.
"The Corporate Equality Index is one that scores corporations, basically on how woke they are," Starbuck said in his Sept. 26 video. "So the 100 score that Toyota has for 15 consecutive years means that Toyota is actually funding transitions for not just their employees, but also for the children of employees in states where it is legal."
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The automaker's memo to employees also noted that it will continue to "encourage an inclusive environment where diversity of thought can flourish." However, in lieu of its former employee-led programming, Toyota said that it will focus on activities that will help improve the quality of its business.
"We will work to ensure that the activities and events are focused on professional development, networking, mentoring, and volunteering — team member engagement that drives our business. Furthermore, we will work to ensure all company activities are aligned with our values and create an inclusive environment for our team members," the memo read.
In a post on X, Robby Starbuck took a victory lap.
"I have to give the executives credit for taking this unifying action. It’s not easy to do, but they’re preparing their business for future success by adopting corporate neutrality. The companies who adopt neutrality will win the future because they don’t violate the core beliefs of the consumers they rely on," Starbuck said.
What's next for the so-called "woke" auto industry?
In a statement to TheStreet, automotive industry analyst Sam Fiorani of AutoForecast Solutions noted that Toyota's decision, like Ford's, was a move to protect their bottom line and highlighted the true power of the dollar in today's hyper-politicized consumer world.
"[The anti-woke movement] has gained power in the economy across industries in forcing different companies to publicly distance themselves from DEI policies. The potential that their stock price could be affected by it outweighs a lot of benefits that could be seen by the DEI moves," Fiorani told TheStreet.
"In the current political environment, it is very difficult to stand up against any public move, right or left. It's very difficult to take a stand and not see the product sales or stock price affected. These groups have gained some power through the use of social media."
Automakers, including other Detroit giants like General Motors (GM) and Stellantis (STLA) , still have DEI initiatives that could land them in Starbuck's crosshairs.
General Motors, for instance, reported on page four of its 2023 Sustainability Report that it "provided $64M in grants to nearly 400 U.S.-based nonprofits to help create inclusive solutions to social issues" and "spent approximately $5.6B with North American diverse Tier I suppliers." Additionally, on the next page, it emphasized that, like Toyota before its latest move, it received a top score on the Human Rights Campaign Foundation’s Corporate Equality Index.
"We aspire to be the most inclusive company in the world by enabling employees, customers, and partners of all backgrounds, identities, and abilities to fully participate in GM’s all-electric future," it reads on one of two pages dedicated to outlining GM's DEI policy in its 2023 Sustainability Report.
TheStreet contacted General Motors for comment but did not receive a response.
Stellantis, on the other hand, outlines its DEI strategy on 13 pages of its 2023 Corporate Social Responsibility Report. In it, it touts that it was "the presenting sponsors of Pride festivals and parades in Detroit, Toledo, and Chicago" and highlights its "National Black Supplier Development Program," among other initiatives.
"Powered by our diversity we lead the way the world moves, this is our purpose. Diversity and inclusion are therefore intrinsic parts of our Company’s commitment to equality of opportunity," Stellantis states as its company public position on its Corporate Social Responsibility Report.
"We work to offer our employees an inclusive work environment where everyone can feel respected and valued. Stellantis publicly calls for the prevention of discrimination and the promotion of equal opportunities,"
Stellantis has declined to provide comment to TheStreet.
"If any of these companies have learned their lesson, the result will end up being fewer announced drives towards DEI incentives. The companies may still have them, but they won't show them publicly. They may not announce them at all anywhere," Fiorani said.
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