Walmart U.S. CEO John Furner recently addressed significant shifts in the company’s Diversity, Equity, and Inclusion (DEI) policies, alongside preparations for potential impacts from proposed tariffs by former President Donald Trump. In an exclusive interview, Furner provided insights into Walmart’s strategic adjustments and commitment to customer value.
Walmart’s decision to adjust its DEI programs nationwide has sparked discussions, with Furner clarifying the intent behind these changes. The modifications aim to ensure that “every customer, every associate” feels equally welcomed and included within Walmart stores and its broader ecosystem. This move comes after a period of heightened focus on DEI initiatives across corporate America, particularly following the social justice movements of 2020.
“Like many companies across the United States, we’ve been on a journey, and we continue to evolve,” stated John Furner. He emphasized that the core objective is to cultivate an environment where everyone feels comfortable shopping and working. This adjustment involves phasing out the term DEI and modifying supplier diversity prioritization, changes initially reported by the Wall Street Journal and subsequently confirmed by Walmart. These steps mark a recalibration from a five-year commitment that included a racial equity center established after the killing of George Floyd. Despite these changes, Furner stressed that Walmart remains dedicated to inclusion, seeking to make decisions that foster a welcoming and thriving environment for both customers and associates.
This shift in DEI approach arrives amidst increasing pressure from conservative groups who are challenging corporate DEI policies. Following the Supreme Court’s 2023 ruling against affirmative action in college admissions, similar legal challenges and public scrutiny have been directed towards corporate DEI initiatives. Several major corporations, including Ford, Lowe’s, Tractor Supply, and Harley-Davidson, have also recently scaled back their DEI programs, reflecting a broader trend in the corporate landscape.
When questioned about the importance of supplier diversity, John Furner redirected the focus to supporting small businesses. He highlighted Walmart’s ongoing commitment to providing opportunities for small suppliers to succeed, drawing on Walmart’s own origins as a small store in 1962. Furner also underscored Walmart’s dedication to selling American-made products, noting that approximately two-thirds of their merchandise is sourced domestically. This emphasis on small businesses and American-made goods aligns with a broader strategy to strengthen local economies and supply chains.
Navigating Potential Tariff Impacts
Beyond DEI policies, John Furner addressed Walmart’s preparedness for potential new tariffs proposed by Donald Trump. Trump has suggested implementing significant tariffs on goods from Mexico, Canada, and China, which are key suppliers to the U.S. market. While acknowledging that these tariffs could have some impact on consumer prices, Furner expressed confidence in Walmart’s ability to adapt.
“We’ll adjust to any environment. We’ve been in an environment with tariffs for the last seven years,” Furner remarked. He explained that Walmart has a dedicated team focused on managing trade policy changes and mitigating potential disruptions. The company’s strategy will involve working closely with suppliers and optimizing the supply chain to maintain competitive pricing and value for customers.
John Furner reiterated Walmart’s commitment to offering value and focusing on products that meet customer needs, even in a changing economic landscape. As the retail giant monitors the evolving policies of the incoming administration, the focus remains on delivering savings and value to consumers, a cornerstone of Walmart’s brand promise. Furner’s comments reflect a proactive approach to navigating both social and economic challenges, ensuring Walmart remains responsive to customer and associate needs while adapting to broader policy shifts.
