In a November meeting with investors, Nissan’s CEO Makoto Uchida highlighted the necessity for the company to return to a path of growth, which for the struggling automaker means making substantial cuts.

The decision to reduce global production capacity by 20% and cut at least 9,000 jobs worldwide as the company approaches its 2026 merger with Honda was just the beginning.

The most recent move in cost cutting involved the elimination of diversity, equity, and inclusion (DEI) policies.

Robby Starbuck, a conservative influencer based in Nashville, criticized the automaker’s DEI initiatives in late December. His social media campaign is part of a larger trend where he has successfully pressured multiple U.S. corporations to roll back similar policies, with notable examples including McDonald’s, John Deere, and Tractor Supply Co.

In a letter to employees dated December 18, outgoing chairman of Nissan Americas Jeremie Papin confirmed the company’s decision to step back from its DEI policy, according to a report from Bloomberg.

Sources indicate that Nissan has ended collaborations with organizations focused heavily on “political activism” and shifted employee training towards “fundamental business priorities.” Additionally, they’ve established a formal review process for marketing partnerships to ensure alignment with business goals.

Papin assured employees that there are no quotas for hiring, promotions, or selecting suppliers to partner with Nissan.

Starbuck welcomed the update, stating, “We’ve eliminated all woke trainings, partnerships, promotions, and advertisements. No more sponsorships of questionable events. They’re refocusing on being a car company, adopting corporate neutrality on polarizing matters and reminding staff that merit will be the basis for career advancement going forward. Shareholders should be pleased with this outcome.”

A spokesperson for Nissan informed The Tennessean that despite these policy modifications, the company still values inclusion.

“Nissan is committed to being a company for everyone—employees, customers, business partners, and communities alike,” officials said in a written statement. “For almost four decades, our dedication to respect and inclusion has been fundamental to our values and has fostered a workplace where each team member can contribute and help drive business success.”

Factors Influencing Companies Like Nissan to Yield to Anti-DEI Movements

Nissan has faced increasing pressure over the past two years, attributed to emerging competition from China, a changing electric vehicle landscape, dwindling profits, and necessary corporate restructuring. In fact, since 2023, Renault, Nissan’s largest shareholder, has divested from the company on three occasions.

During challenging financial periods, businesses often seek to eliminate non-essential expenses, which can include DEI programs, as noted by Timothy Munyon, a business professor at the University of Tennessee.

Research from the Harvard Kennedy School indicates that U.S. corporations spend an average of about $8 billion per year on DEI initiatives.

“When we consider the principles of diversity, equity, and inclusion, we envision a workplace where everyone feels welcome and treated fairly,” Munyon stated. “I believe everyone acknowledges the importance of these goals.”

However, assessing tangible improvements in the workplace stemming from DEI initiatives poses a challenge.

Munyon noted that companies may count a vague rise in employment rates of underrepresented groups as a “success” of DEI without context on the significance of these figures or the fairness of how they were achieved.

“Often, the implementation becomes problematic,” he pointed out. “Companies frequently overlook the ROI (return on investment) or the financial benefits of their DEI efforts and focus instead on readily observable signs of success.”

Consequently, when public demand prompts a rollback of DEI initiatives, businesses often react hastily, Munyon added.

Similarly, actions taken by other auto manufacturers like Ford and Toyota to modify their DEI strategies may also influence Nissan, as it seeks to align with “industry best practices.”