Wells Fargo & Company is one of the largest companies in the United States and does business with thousands of vendors, suppliers, and other strategic partners. Wells Fargo & Company should respect the diverse views of these partners. But Wells Fargo & Company may be requiring them to participate in Diversity, Equity, and Inclusion (DEI) and other divisive practices as a condition of receiving contracts or doing business. The 2025 Viewpoint Diversity Score Business Index1 found that 51% of the largest tech and finance companies, including Wells Fargo, have public policies requiring their vendors and other business partners to implement divisive practices. These include requiring vendors to implement DEI training or workforce management policies or practices, meet diversity benchmarks for boards or workforces, disclose DEI metrics, promote DEI through other programs and initiatives, or even impose similar requirements for their own supply chain. These policies raise serious legal risk. The Eleventh Circuit recently held that a company that offered grants only to minority entrepreneurs violated the Civil Rights Act’s prohibition against race-based contracts in American Alliance for Equal Rights v. Fearless Fund. Requiring vendors and other business partners to implement DEI metrics could similarly constitute discrimination based on race. This is on top of the growing legal challenges for DEI initiatives broadly after the Supreme Court decisions in Students for Fair Admission v. Harvard, City of St. Louis v. Muldrow, and Ames v. Ohio Department of Youth Services. Regulatory pressure is also mounting. In early 2025, (1) the Small Business Administration removed existing requirements for federal contractors to submit DEI-based goals and subcontracting results and plans2 and (2) President Trump issued an executive order prohibiting all federal contractors and grantees from engaging in unlawful DEI practices.3 These factors have made DEI increasingly unpopular. The Wall Street Journal recently reported that “Diversity Goals Are Disappearing from Companies’ Annual Reports.”4 Many companies are even revoking their DEI commitments.5 Wells Fargo & Company should avoid needless political controversies and illegal discrimination and support fundamental freedoms that benefit every American. One step is to increase transparency around its vendor practices to ensure it is respecting the diverse views of its partners. 1. 2. 3. 4. 5. https://www.viewpointdiversityscore.org/ https://federalnewsnetwork.com/commentary/2025/06/new-sba-goals-down-but-not-out/ https://www.whitehouse.gov/presidential-actions/2025/01/ending-illegal-discrimination-and-restoring-merit-based-opportunity/ https://www.wsj.com/business/diversity-goals-are-disappearing-from-companies-annual-reports-459d1ef3 https://www.forbes.com/sites/conormurray/2025/04/11/ibm-reportedly-walks-back-diversity-policies-citing-inherent-tensions-here-are-all-the companies-rolling-back-dei-programs