Wednesday’s contribution marked the largest donation in the African American Cultural Heritage Action Fund’s history — and was twice the size of a gift Scott gave the same group in 2021.

Just days earlier, the 55-year-old philanthropist – who is worth $32.5 billion, according to Forbes – made a $42 million gift to 10,000 Degrees, which awards scholarships to low-income, mostly non-white students.

MacKenzie Scott donated $40 million to a nonprofit dedicated to the preservation of African American history. Evan Agostini/Invision/AP

Scott’s recent contributions come as the Trump administration has sought to crack down on DEI programs throughout the country.

Since President Trump took office, several major companies – from Wall Street giants like JPMorgan Chase to retailers such as Walmart and Bezos’ Amazon – have backtracked on such initiatives.

Scott, who has vowed to give away most of her fortune, has donated about $110 million specifically to DEI causes in the past year alone, according to Fortune magazine.

“The scale and impact of MacKenzie Scott’s continued investment in historic preservation is leaving an enduring mark on our nation’s history, and we are grateful for her philanthropic leadership,” Brent Leggs, executive director of the the African American Cultural Heritage Action Fund, said in a Wednesday statement.

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The organization, which is part of the National Trust for Historic Preservation, launched in 2017. It’s the largest nonprofit dedicated to the preservation of sites associated with black history in the US.

To date, it has raised nearly $200 million and supported more than 378 preservation projects, including churches, museums and homes.

In recent years, the fund has invested millions in historic black churches like the New Bethel Baptist Church in Detroit, Mich., which was commissioned in 1961 by Aretha Franklin’s father, Rev. CL Franklin.

Scott has donated more than $19 billion since her 2019 divorce from Amazon founder Jeff Bezos. REUTERS

The fund also supported the restoration of the first black cemetery in Houston, which dates back to 1875. 

Scott has donated more than $19 billion since her 2019 divorce from the Amazon founder, which left her with about 4% of the company.

She has gained a reputation for giving billions to small nonprofits with no conditions and minimal reporting requirements, a big contrast to her mega-rich peers who often make high-profile donations to larger charities.

Last year, Scott donated $2 billion to 199 organizations, her Yield Giving website stated.

In the past year, she has reportedly slashed her stake in Amazon by about 42%, or $12.6 billion, according to a regulatory filing viewed by Bloomberg.

Despite trimming her stake over the years, Scott has grown richer since the divorce as the stock has soared about 150%.

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“Under CEO Margaret Franklin, the CFA Institute has tax-exempt dollars building what is now the largest DEI coalition in the world by assets under management,” said one CFA member who asked not to be named. “Now it appears they are rewriting the rules, but the damage has already been done.”

Obtaining a CFA charter is among the more prestigious private label designations for wealth managers. The institute bills itself as the “gold standard in ethics and transparency in finance.”

Jack Forbes / NY Post Design

It boasts 200,000 professionals working at some of the world’s largest financial companies, managing trillions of dollars of global wealth, so its reach into the financial system is deep.

Critics of Franklin say while she focused on issues like DEI, she has neglected more glaring problems at the institute. They point to criticism by some members that she has centralized control over policymaking, giving members less input (a CFA rep denies the centralization charge).

They also point to the recent indictment of the institute’s former chief marketing officer who was charged with embezzlement of the outfit’s funds — around $5 million to pay for club memberships, travel expenses and an engagement ring, according to Manhattan DA Alvin Bragg.

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The nonprofit – whose grueling test has for decades been a rite of passage for Wall Street’s “chartered financial analysts” – has quietly removed a link on its website to the signatories to its DEI code of conduct, sources said.

The apparent reversal comes after CFA Institute CEO Margaret Franklin pushed through sweeping DEI initiatives in 2023, according to CFA members who spoke to On the Money.

The former executive has denied the charges.

Courts have recently issued rulings casting significant doubt on DEI’s legality. The Trump administration has taken steps to prevent companies from employing so-called intersectional metrics in hiring decisions.

In response, many large companies such as Paramount, Walmart, Lowe’s, Harley-Davidson, John Deere, McDonald’s, Amazon, Target, and financial institutions like Goldman Sachs, JPMorgan Chase, and Citigroup have begun to rewrite or totally unwind their DEI policies under threat of legal action.

Target is among the the companies that have begun to rewrite or totally unwind their DEI policies under threat of legal action. Christopher Sadowski

“Given recent court decisions and executive orders, CFA Institute is reviewing its content and policies to ensure it meets the new requirements. That is why some of the content is not on our website,” CFA Institute spokesperson Matthew Hickerson told On The Money.

Hickerson said the Institute was not under pressure from the signatories to remove their names amid the legal dispute over DEI, but the organization informed of the move.

The CFA’s strict DEI code appears to have been launched just months before the Supreme Court outlawed using race as a factor in college admissions, casting legal doubt on equity hiring decisions. By signing on to the code of conduct, companies ensured that they would use DEI in job-related decisions including the promotion of wealth managers who manage money for small investors based on their race or sex.

The Supreme Court has outlawed using race as a factor in college admissions, casting legal doubt on equity hiring decisions. REUTERS

“The DEI Code also requires signatories to amplify the impact of their commitment by making the economic, business, and moral case for diversity, equity, and inclusion,” the institute stated in a June 2023 press release announcing the effort.

The institute also provided its interpretation of “equity,” the key metric in DEI that critics say allow for discrimination.

“Equity is distinct from equality… Note that essentially the same support for everyone regardless of the starting point is equality, but that may not provide an equitable solution. Equity offers those who need it targeted support to reach their full potential,” the DEI code states.

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Even though the code was voluntary, the CFA institute asked the that the companies that signed on have the organization review their compliance, a massive undertaking given the numbers and sizes of the companies involved.  

CFA touted in its June 2023 release that more than 100 finance industry organizations across the United States and Canada have signed up for what it called “the industry’s first voluntary Diversity, Equity, and Inclusion Code for the Investment Profession in the United States and Canada.” 

They included the likes of CalPERS, the massive California public employee pension fund, Morgan Stanley Asset Management, Oaktree Capital, Nuveen and MFS Investment management.

“Signatory organizations together represent around $11.2 trillion in assets under management — approximately 10 percent of the investment industry’s assets under management globally* — as well as some $9.5 trillion assets under advisement.” the CFA said.

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Katherine Merrill Dunham, a longtime anchor for CBS affiliate WBZ-TV known on air as Kate Merrill, filed suit against the station’s corporate parents CBS and Paramount Global this month alleging that she was run out of the newsroom to satisfy corporate diversity quotas.

The 51-year-old Emmy Award-winning broadcaster, who is married to ex-Rangers goalie Mike Dunham, stunned viewers last year when she quit the station without explanation.

Katherine Merrill Dunham (center), known on-air as Kate Merrill, a longtime Boston news anchor for CBS affiliate WBZ-TV. Chris Tanaka is seen left. Levan Reid is seen right. Facebook / Kate Merrill WBZ

In her Aug. 5 suit filed in Boston federal court, Merrill alleged she was targeted by managers who said the morning show was “too white” and by co-workers who filed “malicious” race-based complaints against her.

The lawsuit cites exclusive reporting by The Post of then-CBS News president Ingrid Ciprian-Matthews, who was accused of using her clout to promote minorities while unfairly sidelining white journalists during her tenure.

Her downfall began, she claims, after Paramount and CBS rolled out sweeping diversity mandates in response to past allegations of racism.

Executives allegedly described WBZ as “the whitest of all their stations” and vowed to allow only minority hires.

Dominican-born Ciprian Mathew was named as president of CBS News in August 2023 despite being the subject of an internal probe by the company in 2021 over her alleged hiring practices, The Post reported.

Merrill is married to Mike Dunham, a former backup goaltender for the New York Rangers. X / Mike Dunham

“WBZ-TV exploited such policies and took career-ending action against Ms. Merrill to advance a DEI agenda,” according to the complaint.

Ciprian-Matthews stepped down in July of last year.

Paramount scrapped its controversial DEI programs earlier this year ahead of its deal with Skydance after President Trump-nominated FCC Chair Brendan Carr reportedly vowed to block any mergers involving companies that held firm to “woke” policies.

According to the complaint, the trouble started when Jason Mikell, a black co-worker and meteorologist at WBZ, allegedly “made an inappropriate sexual innuendo about” Merrill “on air” in February of last year when he “implied that Ms. Merrill and her co-anchor had sexual relations at a gazebo.”

The lawsuit cites exclusive reporting by The Post of then-CBS News president Ingrid Ciprian-Matthew, who was accused of using her clout to promote minorities while unfairly sidelining white journalists during her tenure. Getty Images

The lawsuit alleges that despite complaints to supervisors by Merrill’s executive producer, Mikell “was not disciplined for his sexually charged remark about Ms. Merrill.”

A few weeks later in April of last year, after she privately texted him to correct a mispronunciation of “Concord,” Mikell allegedly “loudly yelled at her on the studio floor,” according to the suit.

Merrill claims she immediately complained to human resources — but a week later, Paramount’s HR chief informed her that Mikell and Courtney Cole, a black anchor hired by WBZ in 2022, had accused her of racial bias.

After 20 years at the station, the Emmy-winning broadcaster charges that she was branded a racist, demoted in public and forced into a “constructive discharge resignation”.

WBZ-TV meteorologist Jason Mikell at his desk. Mikell allegedly accused Merill of making racist comments. Facebook/Jason Mikell

On May 17, 2024, Michael Roderick, vice president of employee relations at Paramount, issued a report finding Merrill had engaged in “microaggressions or unconscious bias.”

WBZ President and GM Justin Draper handed her a written warning requiring unconscious bias training and threatening termination if she slipped again, according to the complaint.

The next day, Draper allegedly blindsided her with news she was being demoted from morning anchor to weekends — a move he announced in two staff meetings, the lawsuit alleged.

“Demoting Ms. Merrill in the context of the investigation sent the false message to her professional colleagues that she had engaged in serious wrongdoing,” the lawsuit said.

Merrill was at WBZ-TV for more than 20 years before she left the station without explanation last year. Instagram / Kate Merrill

Union leaders told Merrill that the demotion constituted “career sabotage” and she would “never recover.” Facing what she called a career-ending blow, Merrill resigned May 24, 2024.

The suit alleged male and minority colleagues were spared similar punishment for misconduct. It cites Mikell’s innuendo and an incident in which a black reporter allegedly “physically threw” a co-worker against a wall. None were demoted, according to the filing.

According to Merrill’s lawsuit, Mikell lodged a complaint against her in which he falsely accused her of making racially charged comments, including one in which she allegedly told him that after his hiring he would “find his people” in Boston.

The lawsuit alleged that Mikell complained after she failed to ask him “about his weekend, an omission he apparently attributed to his race…”

Dunham is a retired goaltender who played in the NHL for teams including the New York Rangers, Nashville Predators and New Jersey Devils. He is seen above with the Rangers in 2002. New York Post

The complaint also mentions another incident in which she suggested he could be a garbage collector while a co-anchor joked he could pick strawberries during an on-air bit.

Merrill denied “any of her actions, inactions, or comments were as described or motivated by overt racism or unconscious bias.”

Merrill, a Carlisle, Mass. native and Concord resident, launched her career in 1996 and joined WBZ in 2004. She became co-anchor of “WBZ This Morning” and “WBZ News at Noon” in 2017.

The filing touts her spotless record, “extraordinary reputation” and a résumé that included coverage of the Boston Marathon bombing, Democratic National Convention, Red Sox World Series win and Patriots Super Bowls.

Merrill said her black colleagues at WBZ-TV fabricated allegations against her accusing her of racial hostility. Facebook / Kate Merrill WBZ

“For more than 20 years, Ms. Merrill worked closely, virtually daily, with colleagues regardless of race,” the filing states, attaching photos of her with black colleagues.

“She is anti-racist.”

In 2022, WBZ hired Cole and Japanese American anchor Chris Tanaka, demoting white colleagues in the process.

In 2023, black meteorologist Mikell joined the station, replacing Zack Green, a white forecaster, according to the complaint.

Merrill alleged she was targeted by managers who said the morning show was “too white” and by co-workers who filed “malicious” race-based complaints against her. Facebook / Kate Merrill WBZ

Her WBZ contract — which runs until June 2025 — contains a non-compete clause, blocking her from working elsewhere in TV until it expires.

She says she has suffered “significant financial losses” and reputational damage, and that WBZ still has not paid her for 20 unused vacation days.

The Post has sought comment from Merrill’s attorneys, Patricia Washienko and Allison Williard; WBZ-TV; CBS; Paramount Global; Draper; Mikell; Cole and Roderick.

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The complaint, filed with the Equal Employment Opportunity Commission by America First Legal (AFL), accused Texas Roadhouse of using race and gender as factors in determining who should be appointed to its Board of Directors, tracking employees’ race, gender and ethnicity, as well as running “reputational risk” to its business due to its DEI policies. AFL is alleging that Texas Roadhouse is in violation of the Civil Rights Act of 1964.

“The evidence demonstrates that the Company’s hiring, promotion, and recruitment practices violate state and federal law. The evidence also demonstrates that the Company has prioritized unlawful diversity, equity, and inclusion programs and policies over shareholder value,” the complaint alleged.

Texas Roadhouse wrote that it is committed to “attracting, retaining, engaging, recognizing, and developing a workforce that mirrors the diversity of our guests” and provided a chart breaking down the percentages of their employees and managers who were either women or people of color in its 2024 10-K annual report.

A Texas Roadhouse restaurant in Teterboro, NJ on Nov. 17, 2024. Christopher Sadowski

The AFL filing also said that, because of increased pressure from the government and investors to disclose its Environmental, Social, and Governance (ESG) targets, including targets related to diversity and inclusion efforts, the restaurant chain is exposing itself to reputational risk as well as the threat of potential litigation.

The complaint accuses Texas Roadhouse of acting with an “inappropriate disregard of your fiduciary duties to Texas Roadhouse and its shareholders.”

According to the Texas Roadhouse 2024 sustainability report, the company takes DEI factors such as gender and race into consideration when determining nominees to its Board of Directors, along with other factors such as Board experience and financial acumen.

Texas Roadhouse wrote that it is committed to “attracting, retaining, engaging, recognizing, and developing a workforce that mirrors the diversity of our guests.” Christopher Sadowski

The report also touts professional development programs geared towards identity, including a Women’s Leadership Summit and African American Leadership Summit.

“Texas Roadhouse’s policies are a relic of an era where DEI contaminated American culture with the false belief that good intentions make discrimination okay,” America First Legal Counsel Will Scolinos told Fox News Digital in a statement. 

Diversity, Equity and Inclusion initiatives have been in retreat in corporate America since President Donald Trump returned to office.

Trump signed a flurry of executive orders targeting “illegal DEI” starting on his first day back in the Oval Office, which banned federal agencies from contracting with companies that engage in DEI policies.

According to the Texas Roadhouse 2024 sustainability report, the company takes DEI factors such as gender and race into consideration. Christopher Sadowski

Companies like Disney, Paramount and Facebook have all rolled back or eliminated their DEI programs.

Other companies, such as Costco and Apple, have resisted activist shareholder pressure to reform or eliminate their DEI initiatives. 

Cracker Barrel, another restaurant chain, is also facing an AFL civil rights complaint over its DEI policies.

The complaint alleged that Cracker Barrel’s “Business Resource Groups” discriminate on the basis of race and sex by only offering employment benefits to workers who fit certain demographic criteria. 

Texas Roadhouse did not respond to Fox News Digital’s request for comment. 

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The New York-based powerhouse founded by billionaire David E. Shaw — whose algorithm-driven trades made it the most profitable hedge fund in 2024, raking in $11.1 billion for investors, according to Institutional Investor magazine — has grown remarkably quiet of late when it comes to diversity, equality, and inclusion, sources said.

D.E. Shaw did not respond to The Post’s emailed request for comment for this article.

Billionaire David E. Shaw, who has a long history of donating to Democrats, founded the money-spinning firm in 1988. YouTube/WebsEdge Science

The company, which gave a young Jeff Bezos his big break in finance before he set up Amazon in 1994, has promoted DEI policies for years.

A June 2019 memo obtained by The Post that was written by managing director Eddie Fishman encouraged staffers “to display their pronouns” that “align with their gender identity” in their emails so managers could “foster an inclusive culture.”

The June 2019 memo. Obtained by the NY Post

But a review by The Post of archived pages from D.E. Shaw’s website shows that its DEI language has since been scrubbed, including references to how the firm “actively promotes LGBTQ+ inclusion.” Now, its site merely says it’s seeking “talented people with diverse perspectives and backgrounds.”

One insider said top brass at the Wall Street firm — whose 74-year-old namesake helped bankroll the presidential campaigns of Kamala Harris, Joe Biden, Barack Obama and Hillary Clinton — made “a strategic move” to steer away from full-throated wokeness over fear of catching the attention of the White House.

“There was some concern that aggressive policies would make the firm a target for reprisals by the current administration,” the source said. “And we were about as aggressive as you could get.”

“They were going 100 miles an hour on DEI in public, only then to drop to zero and fall off a cliff,’ said another staffer.

“The communications have certainly been ratcheted back,” claimed a third employee. “It’s not as in-your-face as it once was.”

Amazon founder Jeff Bezos met his ex-wife Mackenzie Scott while working at D.E. Shaw. The then-couple quit in 1994 when Bezos set up the online retail giant. REUTERS

Top DOJ lawyer Harmeet K. Dhillon issued a stern warning to corporate America in a Senate hearing on July 23: “The goal is clear: either DEI will end on its own, or we will kill it.” CQ-Roll Call, Inc via Getty Images

D.E. Shaw’s retreat follows a Supreme Court ruling last month and a White House-led crackdown on corporate DEI policies, which critics say lower performance standards and foster so-called reverse discrimination.

Top Department of Justice lawyer Harmeet K. Dhillon, the assistant attorney general for civil rights, issued the starkest of warnings to corporate America during a testimony to the Senate Judiciary Committee on July 23.

“The goal is clear: either DEI will end on its own, or we will kill it,” the top Trump administration official said.

Nevertheless, five sources with direct knowledge of the matter told The Post that executives at the company — founded by computer scientist Shaw in 1988 after he did stints at Stanford, Columbia and Morgan Stanley — are still paying lip service to wokeness to the rank and file.

“They have said internally that our commitment and programs regarding DEI are not changing,” said another senior D.E. Shaw source, who spoke on condition of anonymity.

“They have themselves in a bit of a bind. They went hardcore DEI to appear progressive and cater to liberal recruits,” a veteran of the firm added. “Internally, they are putting a brave face on it. But they are now very worried that the administration will start looking into them.”

President Trump has ordered the DOJ to crack down on the DEI policies that flourished under the Biden-Harris administration. Bloomberg via Getty Images

The woke job placements mysteriously disappeared from the DE Shaw website after The Post approached the firm for comment about its DEI policies. deshaw.com

Fearing Trump’s ire, the hedge fund appears to have axed its “inclusive” Bridge internship. The program was set up in 2016 for “historically underrepresented” groups in finance.

The ‘woke’ job placement schemes still featured prominently on D.E. Shaw’s website last week. But they have now been deleted after The Post approached the firm for comment on their DEI policies on Friday.

According to an archived version of D.E. Shaw’s Campus website — an online recruitment portal — the firm created three programs aimed at diverse recruitment. Its “Discovery” program was “designed for students who self-identify as women”, while “Momentum” was aimed at those “who self-identify as part of the LGBTQIA+ community

D.E. Shaw also had a program called “Latitude,” which was “for students who self-identify as Native American or Alaska Native, Black or African American, Hispanic or Latino, or Native Hawaiian or Other Pacific Islander.”

One scheme called Momentum was open to students who self-identify as part of the “LGBTQIA+ community.” deshaw.com

Other Wall Street giants including Goldman Sachs, BlackRock, Bank of America and Jamie Dimon’s JPMorgan Chase have scaled back their public commitments to DEI. The Post reported exclusively how Goldman decided to give woke the boot — on its website at least — when its partners met with CEO David Solomon in Miami in February.

The Post attempted to speak to additional employees at D.E. Shaw, but they declined, citing fears of retribution from D.E. Shaw’s management, which has even been known to weigh in on whether employees can attend social gatherings with people who have left the company.

“It is definitely something that people are talking about at the firm,” a separate person briefed on the matter told The Post.

“The irony is that the whole firm is still very white and very male,” said another source.

Former Treasury Secretary Larry Summers is one of the biggest names among the DE Shaw alumni. He served both the second Clinton and first Obama administrations. Getty Images

The hedge fund’s leadership team counts two females, Alexis Halaby and managing director Anne Dinning, amongst its ranks.

The firm last made major headlines in 2022 when it was forced to pay a $52 million defamation settlement to one of its former rising stars, Dan Michalow, after an arbitration panel found that it had falsely accused him of sexual misconduct.

Michalow, who always denied any wrongdoing, left the company not long after the start of the #MeToo movement, where hundreds of rich and powerful men were accused of sexual misdeeds.

Aside from Amazon’s Bezos and his ex-wife, Mackenzie Scott, D.E. Shaw’s most famous alum is arguably Lawrence Summers.

He served as treasury secretary under Bill Clinton and as director of Barack Obama’s National Economic Council.

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In a letter to FCC Chair Brendan Carr, which was made public Wednesday, T-Mobile said it will no longer have specific roles or teams focused on DEI.

Instead, those employees will be redirected within Human Resources to focus on employee culture and engagement. 

It also said it is removing any references to DEI on its websites and will ensure that company websites and future communications do not have any references to DEI. 

“We recognize that the legal and policy landscape surrounding DEI under federal law has changed and we remain fully committed to ensuring that T-Mobile does not have any policies or practices that enable invidious discrimination, whether in fulfillment of DEI or any other purpose,” the company said in the letter.

“We have made the below adjustments to ensure our policies and practices maintain close alignment with the direction you’ve provided and are consistent with nondiscrimination and equal employment opportunity laws.”

Carr said in his post the company’s efforts mark “another good step forward for equal opportunity, nondiscrimination, and the public interest.” 

The company said the changes stem from a comprehensive review of its policies, programs, and activities.

T-Mobile informed FCC Chair Brendan Carr that they will shut down their diversity, equity and inclusion (DEI) programs. iQoncept – stock.adobe.com

The move comes as the company is still seeking approval for two major deals.

For instance, the company is still awaiting FCC approval to acquire the wireless operations of United States Cellular, which includes customers, stores and 30% of its spectrum assets.

The deal is valued at $4.4 billion.

The wireless company stated in a letter sent to Carr that they will no longer have specific roles focused on DEI and that those employees will now be apart of Human Resources. Robert Miller

T-Mobile is also waiting for approval to establish a joint venture with leading global investment firm KKR, that will acquire Metronet, including its broadband infrastructure, rapidly growing residential fiber business operations and existing customers. 

T-Mobile is the latest company to halt such initiatives under growing pressure from the Trump administration. 

The move was made following the company’s review of their current policies they had in place. Robert Miller

A number of companies, including Amazon, Lowe’s, Meta, McDonald’s, American Airlines and Boeing, have pulled back on their DEI programs.

In November, Walmart, the nation’s largest private employer, announced plans to roll back its DEI policies, including how it monitors products within its marketplace and reviews grant funding.

Rival Target announced similar plans to do so in January.

By contrast, some companies have resisted activist pressure, publicly reaffirming their commitment to maintaining DEI policies.

Microsoft CEO Satya Nadella said in the tech firm’s annual report in October that it continues to ensure that its “workforce represents the planet we serve and the products we build always meet our customers’ needs” and that it continues to “hire, develop, and grow a global workforce that best supports each other and our customers.”

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The Minneapolis-based retailer now expects net sales to fall by a low single-digit percentage, abandoning earlier hopes for a modest increase, the company said in in its earnings report Wednesday.

Comparable sales dropped 3.8% in the quarter ended May 3, exceeding Wall Street’s expectations for a decline and stoking doubts about CEO Brian Cornell’s ability to regain momentum after two turbulent years.

Target lowered its full-year sales forecast after a tough first quarter marked by weak discretionary spending, tariff pressures and fallout from consumer boycotts. REUTERS

“We faced several additional headwinds this quarter, including five consecutive months of declining consumer confidence, uncertainty regarding the impact of potential tariffs, and the reaction to the updates we shared on [DEI] in January,” Target CEO Brian Cornell told analysts on an earnings calls.

“I want to be clear that we’re not satisfied with these results,” Cornell added. “We’ve got to drive traffic back into our stores and visits to our site.”

Cornell declined to provide details on potential price increases due to tariffs. Most tariff-related increases could be offset, he said, but acknowledged that raising prices could be a “last resort

Shares of Target fell 3% in early trading Wednesday and are down 27% this year, compared to a modest 1% gain in the broader S&P 500.

Cornell blamed the downturn on an array of challenges, including fragile consumer confidence, reduced discretionary purchases, tariff-driven pricing pressures and public backlash over the company’s decision to scale back diversity initiatives.

“We’ve got to move with a greater sense of urgency,” he said, while pointing to e-commerce as a rare bright spot.

The Minneapolis-based retailer now expects net sales to fall by a low single-digit percentage, abandoning earlier hopes for a modest increase. REUTERS

The weak performance underscores Target’s vulnerability compared to competitors such as Walmart, which have larger grocery operations that shield them from dips in discretionary spending.

Nearly two-thirds of Target’s sales come from categories like clothing, home décor and other non-essentials — sectors that remain under pressure as inflation-weary consumers tighten budgets.

Analysts say the company has struggled to regain its footing following the post-pandemic demand shifts and persistent inventory mismanagement.

“We think it will be more difficult for Target in this environment given tariffs and Walmart’s substantial market share gains,” Jefferies analyst Corey Tarlowe told Bloomberg News.

The sales outlook is stoking doubts about CEO Brian Cornell’s ability to regain momentum after two turbulent years. Andrew Schwartz / SplashNews.com

Signs of internal strain are growing. Target announced a leadership shakeup that includes the departure of longtime executive Christina Hennington, once considered a potential successor to Cornell.

Chief Operating Officer Michael Fiddelke will head a new “multiyear acceleration office” tasked with reigniting growth.

Target’s woes are not just economic. The brand, once celebrated for its progressive image, has faced boycotts from both ends of the political spectrum after pulling back on diversity-focused initiatives.

In May 2023, Target sparked widespread backlash after featuring LGBTQ-themed clothing — including items for children — in its Pride Month collection, prompting calls for boycotts from conservative groups.

The controversy intensified when the company removed some items and relocated displays, angering both critics of the products and LGBTQ advocates who accused Target of caving to pressure.

Shares of Target fell 3% in early trading Wednesday and are down 27% this year, compared to a modest 1% gain in the broader S&P 500. Getty Images

In January, Target announced a rollback of several DEI initiatives, including ending its Racial Equity Action and Change (REACH) program and ceasing participation in external diversity assessments.

This move sparked widespread criticism from civil rights activists and led to a 40-day consumer boycott beginning in March. The backlash also resulted in a class-action lawsuit alleging that Target misled investors about the financial risks associated with its DEI policies.

Tariffs are compounding the retailer’s problems. Executives noted that higher import duties are influencing pricing, even as they avoided directly blaming levies as they did earlier this year.

“We’re negotiating with suppliers and adjusting sourcing strategies,” one executive told Bloomberg News, as the company reevaluates inventory and product mix.

Target is one of many retailers that are dealing with the fallout of President Trump’s tariff rollout. REUTERS

Despite the setbacks, Target is betting that value-driven seasonal events and high-profile partnerships can help rekindle consumer interest.

Chief Commercial Officer Rick Gomez touted the success of a recent collaboration with Kate Spade and strong holiday sales during Valentine’s Day and Easter.

Still, the company lost share in 20 of 35 merchandise categories last quarter, with only swimwear, flowers, essentials and produce showing gains.

Looking ahead, Target plans to introduce over 10,000 new items this summer, with prices starting as low as $1.

“We recognize we have to win the everyday moment,” Cornell said, “not just the holiday.”

With Post wires

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Federal Communications Commission chair Brendan Carr in February criticized Verizon for its promotion of DEI programs and said it could be a factor in the Frontier deal.

Verizon said in a letter to Carr seen by Reuters the company was removing its “Diversity and Inclusion” website and removing references to DEI from employee training and making other changes to hiring, career development, supplier diversity and corporate sponsorship practices.

Verizon said it was removing references to DEI from employee training and making other changes to hiring, career development, supplier diversity and corporate sponsorship practices. Christopher Sadowski

The company will no longer maintain any workforce diversity goals and will drop a component of its management compensation plan that historically included a goal to increase the representation of women and minorities in the company’s US workforce.

“Verizon recognizes that some DEI policies and practices could be associated with discrimination,” said Verizon chief legal officer Vandana Venkatesh in the letter saying the change were effective immediately.

Carr, a Republican designated by President Trump in January, told NBC News parent Comcast in February he was opening a similar probe into the company’s promotion of DEI programs.

Carr said in a statement he was pleased Verizon is ending its DEI policies outlined in the letter. “This is a good and important step forward — one that promotes equal opportunity, nondiscrimination, and the public interest,” Carr said.

FCC Chair Brendan Carr told NBC News parent Comcast in February he was opening a similar probe into the company’s promotion of DEI programs. AFP via Getty Images

Verizon is nearing FCC approval for its $9.6 billion purchase of Frontier.

Trump in January issued sweeping executive orders to dismantle diversity, equity and inclusion programs in the US and pressured the private sector to join the initiative.

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The meeting, which was initiated by Target, follows recent decisions by the retailer to scale back DEI initiatives — a move that prompted backlash from civil rights organizations.

Though Sharpton himself has not yet called for an official boycott, he openly supports the consumer movements urging shoppers to avoid Target.

Target CEO Brian Cornell (pictured) is set to meet civil rights leader Rev. Al Sharpton this week in New York. Andrew Schwartz / SplashNews.com

“You can’t have an election come and all of a sudden, change your old positions,” Sharpton told CNBC.

“If an election determines your commitment to fairness then fine, you have a right to withdraw from us, but then we have a right to withdraw from you.”

Sharpton stated he is open to initiating a formal boycott if Target does not reaffirm its support and investment in the black community and black-owned businesses.

“I said, ‘If [Cornell] wants to have a candid meeting, we’ll meet,’” Sharpton said. “I want to first hear what he has to say.”

Target confirmed the planned meeting between Cornell and Sharpton but declined further comment.

Sharpton is supporting boycotts of Target — though he himself has not explicitly endorsed a boycott. Matthew McDermott

The controversy arose when Target announced in January it would terminate its three-year DEI targets and cease providing company reports to external groups such as the Human Rights Campaign’s Corporate Equity Index.

The company also ended certain measures aimed at increasing shelf space for products from Black and minority-owned businesses.

Following these announcements, Target experienced declining store visits for 10 consecutive weeks starting in late January, as recorded by data firm Placer.ai.

Before this period, store traffic had shown consistent year-over-year increases. Analysts have warned, however, that the drop in the number of shoppers could also be related to larger macroeconomic trends such as high inflation.

While this metric does not directly reflect overall sales, the decline coincided with public outcry over the company’s decision.

Rev. Jamal Bryant, an Atlanta-based pastor, has been another vocal critic of Target’s DEI policy shift.

Bryant initiated a “fast” from shopping at Target during Lent as a demonstration of black consumer influence, signaling plans to announce further actions related to the boycott soon.

Target’s policy changes mirror broader corporate caution around DEI programs, as companies including Walmart, McDonald’s and Tractor Supply have similarly scaled back their initiatives — partly due to pressures from conservative activists and politicians.

The meeting, which was initiated by Target, follows recent decisions by the retailer to scale back DEI initiatives. Christopher Sadowski

In contrast, Costco notably maintained its DEI initiatives, successfully resisting conservative shareholder proposals aimed at weakening these policies.

Sharpton’s National Action Network (NAN) recently engaged with other corporations facing similar scrutiny.

He met PepsiCo executives after the beverage giant ended its DEI targets.

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Though details of commitments from PepsiCo remain unclear, Sharpton acknowledged the significance of CEO Ramon Laguarta personally attending the discussions.

Sharpton’s meetings represent a significant counter-effort against conservative activists, like Robby Starbuck, who have aggressively targeted corporate DEI policies.

Starbuck’s campaigns have notably succeeded in pressuring several major corporations into reconsidering or eliminating diversity initiatives.

Sharpton’s National Action Network (NAN) recently met with PepsiCo executives over the company’s withdrawal of its DEI initiatives. REUTERS

During their upcoming meeting, Sharpton plans to question Cornell on Target’s reversal from commitments made following George Floyd’s murder in Minneapolis, Target’s hometown.

Cornell previously expressed deep personal and corporate commitment in the wake of Floyd’s killing, saying it profoundly impacted him.

“That could have been one of my Target team members,” he remarked in 2021.

Sharpton stressed the necessity of accountability from companies that pledged support during critical moments of civil unrest.

“You made commitments based on the George Floyd movement… what changed?” he asked.

“Are you trying to say everything’s fine now because the election changed? That’s insulting to us.”

The post Target CEO Brian Cornell to meet Rev. Al Sharpton following black boycott threat over DEI rollback appeared first on Our Story Insight.