Anti-DEI proposals exceed pro-DEI in 2025 proxy season

In the 2025 proxy season, anti-diversity, equity, and inclusion (DEI) proposals have outnumbered pro-DEI proposals. Early data suggests that the total number of pro-DEI proposals is on track to be lower than in 2024. Meanwhile, anti-DEI proposals have already surpassed their total from last year. Despite the increase in anti-DEI proposals, shareholder approval for pro-DEI proposals has been higher overall. The attention on DEI initiatives has intensified, especially after recent executive orders from President Donald Trump, affecting the dynamics between pro- and anti-DEI movements this year. New pro-DEI proposals have emerged in 2025. One asks companies to report on the analysis their boards conducted before cutting DEI policies. Others request reports on the effectiveness of DEI efforts, focusing on hiring and retention metrics based on gender, race, and ethnicity. There have been 13 such proposals so far this season, fewer than the 27 submitted in 2024. On the anti-DEI side, there are proposals calling for the abolition of DEI programs and reporting on their risks. So far, 13 such proposals have been submitted, which is more than last year's total. The interest in reporting on discrimination risks related to social viewpoints is also noteworthy, with 39 proposals submitted this year. Early voting results show mixed approval rates. Higher support figures for pro-DEI proposals indicate some ongoing shareholder interest in these initiatives. However, many anti-DEI proposals have received very low approval ratings, which is consistent with previous years. Overall, the shift in numbers indicates a significant debate about DEI in corporate governance. Engagement with companies on these issues may become more strategic as public and political pressures mount against DEI initiatives. The long-term impact of these trends remains uncertain as the year progresses.