Diversity and inclusion are important and relevant strategies for creating a more level playing field—but, as our book Fixing Fairness makes clear, they have to be done right. When poorly designed or executed, DEI efforts can backfire and create more problems than they solve. Below are five real-world examples of well-intentioned DEI initiatives that went wrong—and why.
1. Starbucks’ “Race Together” Campaign (2015)
What happened: Starbucks encouraged baristas to write “Race Together” on cups and initiate conversations with customers about race relations.
Why it backfired: The campaign was widely perceived as superficial and tone-deaf. Asking front-line workers—without proper training—to engage strangers in deeply sensitive conversations made many people uncomfortable. Social media quickly mocked the effort, and instead of fostering meaningful dialogue, it came off as symbolic and awkward.
Lesson: Avoid performative initiatives, especially when people lack the preparation to carry them out well.
2. Google’s Internal Memo Controversy (2017)
What happened: A Google engineer circulated an internal memo (“Google’s Ideological Echo Chamber”) criticizing the company’s diversity efforts and arguing that biological differences help explain gender gaps. The memo leaked publicly and ignited backlash.
Why it backfired: Rather than prompting constructive dialogue about inclusion, the situation became a politicized flashpoint. Google fired the author, drawing criticism from multiple sides and fueling a broader debate over whether DEI programs suppress dissenting views.
Lesson: Recognize the sensitivity of DEI issues and act judiciously—any strong response will be interpreted in multiple ways.
3. Walmart’s Juneteenth Ice Cream (2022)
What happened: Walmart released a Juneteenth-branded ice cream that was widely mocked as superficial and derivative of a Black-owned brand’s product. While not a formal DEI policy, it was a diversity-themed corporate gesture meant to signal cultural awareness.
Why it backfired: Instead of signaling genuine respect or partnership, the product looked like marketing appropriation—a symbolic stunt with no clear connection to meaningful equity work.
Lesson: Symbolic and tone-deaf gestures untethered from real commitments often generate criticism rather than goodwill.
4. University of Wisconsin DEI Spending Controversy (2023–2024)
What happened: Audits of the University of Wisconsin system revealed millions spent on DEI roles and initiatives without consistent tracking of outcomes or impact.
Why it backfired: The initiatives may have been effective—but without evidence, no one could say. The absence of metrics and accountability allowed critics to question the value of the spending and provided ammunition for political attacks and budget cuts.
Lesson: Always measure outcomes. Good intentions without data invite skepticism.
5. Target’s DEI Goals and Investor Lawsuit (2024–2025)
What happened: Target launched its “Racial Equity Action and Change” (REACH) initiative, committing $2 billion to Black-owned businesses and setting internal hiring and promotion goals tied to diversity. The program was later abruptly rolled back.
Why it backfired: Target appeared to assume investor buy-in—and misjudged it. When backlash mounted, the sudden retreat made the company look inconsistent and strategically confused, damaging employee trust and investor confidence. The reversal also prompted a lawsuit alleging that DEI commitments misled investors about financial risk.
Lesson: Don’t assume alignment across stakeholders—confirm it before going public.
