WPP removes references to DEI in latest annual report

WPP has removed references to "diversity, equity and inclusion" from its latest annual report amid growing opposition to such policies from US president Donald Trump's administration.

The company, which counts the US as its largest market, made the change in its report released on Friday. 

Last year’s report referred to WPP as a “diversity leader” and mentioned DEI 20 times.

This year, the section measuring executives’ non-financial performance—previously called “people and DE&I”—has been renamed “people and culture."

The change was first reported by The Sunday Times. In the report, WPP did not comment on whether it was a direct response to anti-DEI policies from the Trump administration but stated that the way executive bonuses are calculated remains unchanged.

However, WPP has faced market challenges, including a decline in share value, which has had an impact on executive compensation.

In a letter within the report, WPP’s chief executive, Mark Read, acknowledged the shifting political landscape. However, he reaffirmed WPP’s commitment to a workplace that “reflects the world around us." 

He wrote: "With political events much has changed over the last year. Some things, though, have not changed. At WPP our aim has always been to foster a culture of respect for one another in which everyone feels they belong and has the same opportunities to progress in their careers.

"We also believe a workforce that reflects the world around us, and the consumers our clients want to reach, helps us do the best work and is good for business.

"Like all companies with operations in the United States, we are monitoring developments and keeping any implications for our business under ongoing review. We will continue to meet legal requirements in all our markets."

Since taking office, Trump has taken strong action against DEI initiatives. His administration has instructed US government agencies to shut down DEI programmes and put diversity officers on leave. 

He has also signed executive orders overturning past diversity measures, including one from the civil rights era that required federal contractors to adopt equal opportunity policies.

The Financial Times recently reported that more than 200 US companies have removed DEI references from their annual reports since Trump’s election. 

Additionally, reports suggest that the US government has pressured some large European companies to comply with Trump’s executive order banning DEI initiatives if they supply goods or services to the US government.