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U.S. FTC Launches Task Force To Investigate DEI Practices

The FTC’s task force will investigate “DEI collusion” that they believe may harm labor competition by excluding workers based on race, sex, or sexual orientation.

Allwork.Space News TeambyAllwork.Space News Team
February 27, 2025
in News
Reading Time: 1 min read
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U.S. FTC Launches Task Force To Investigate DEI Practices

Federal Trade Commission seal is seen at a news conference to announce that Facebook Inc has agreed to a settlement of allegations it mishandled user privacy at FTC Headquarters in Washington, U.S., July 24, 2019. REUTERS/Yuri Gripas/File Photo

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The U.S. Federal Trade Commission will look into potential corporate collusion on diversity, equity and inclusion targets as part of a new labor market task force, the agency said on Wednesday.

Since taking office in January, President Donald Trump has sought to eliminate DEI efforts from American life. Corporations have faced a conservative backlash over practices aimed at redressing lower hiring, retention, and pay rates for members of racial minorities and other underrepresented groups. The Trump administration claims such practices are illegal.

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Some major U.S. employers have abandoned DEI policies since Trump’s election, including McDonald’s, Target and PepsiCo.

The FTC’s labor task force will look at “collusion or unlawful coordination on DEI metrics, which may have the effect of diminishing labor competition by excluding certain workers from markets, or students from professional training schools, on the basis of race, sex, or sexual orientation,” as part of its mandate, the FTC said.

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The group will also examine a range of other practices that affect workers, including noncompete agreements, no-poach agreements, and fraud on franchisees. 

“Sadly, deceptive, unfair, and anticompetitive labor practices are widespread. They are as varied as they are unscrupulous. They affect workers in all types of industries,” FTC Chairman Andrew Ferguson said in a memo creating the task force.

The effort shows some continuity between Ferguson’s agenda and former Chair Lina Khan’s, though Ferguson disagreed with Khan’s bid to enact a broad noncompete ban.

(Reporting by Jody Godoy; Editing by Stephen Coates)

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Source: Reuters
Tags: DE&ILeadershipNorth America
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Allwork.Space News Team

Allwork.Space News Team

The Allwork.Space News Team is a collective of experienced journalists, editors, and industry analysts dedicated to covering the ever-evolving world of work. We’re committed to delivering trusted, independent reporting on the topics that matter most to professionals navigating today’s changing workplace — including remote work, flexible offices, coworking, workplace wellness, sustainability, commercial real estate, technology, and more.

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