Target backtracked on DEI—and was hit by boycotts. Now the CEO is meeting with Al Sharpton

In the three months since Target overhauled its policies on diversity, equity, and inclusion, the retailer has faced an onslaught of public criticism and a boycott that has carried on for weeks. There has been a clear impact on its business: Foot traffic has reportedly dropped for the last 10 weeks, and Target disclosed that sales had dipped in February. The company’s stock price is the lowest it has been in four years.

Now CEO Brian Cornell is meeting with Al Sharpton (at Target’s request) to discuss the company’s DEI stance and commitment to the Black community, according to a CNBC report. As the head of civil rights organization National Action Network, Sharpton has started taking companies to task for pulling back on DEI efforts: Just this week, he met with PepsiCo after threatening to mount a boycott against the company. Sharpton has said he would consider pushing for a boycott of Target as well, depending on the outcome of his discussion with Cornell.

“You can’t have an election come and all of a sudden, change your old positions,” Sharpton said in an interview with CNBC. “If an election determines your commitment to fairness then fine, you have a right to withdraw from us, but then we have a right to withdraw from you.”

Target was not immediately available for comment.

Sharpton’s attempts to hold companies like Target accountable for their change of heart on DEI is also a counterweight to the social media campaign waged by conservative activist Robby Starbuck, who has pressured a number of companies to drop DEI policies over the last year.

The changes to Target’s DEI policies—which the company announced in late January—wound down its diversity goals and also ended its participation in the Human Rights Campaign’s Corporate Equality Index, a popular benchmarking survey that measures workplace inclusion for LGBTQ+ employees. Plenty of other companies have taken a similar position in recent months, especially as the The President administration has ramped up its attack on corporate diversity programs, increasing the risk of litigation for major employers.

But the vocal response to Target’s reversal on DEI is not exactly unexpected, given the company had made a concerted effort to engage Black entrepreneurs and consumers, particularly in the aftermath of George Floyd’s murder. Target also took aim at programs that helped attract more Black and minority suppliers, which had benefited many underrepresented business owners over the years.

It’s not clear whether Sharpton will proceed to call for a boycott after speaking with Cornell. (Some Black entrepreneurs have also been split on the issue, arguing it could hurt their business.) But Sharpton has claimed he is looking for some kind of pledge that indicates Target will continue supporting the Black community. “You made commitments based on the George Floyd movement … what changed?” Sharpton told CNBC. “Are you trying to say … everything’s fine now, because the election changed? That’s insulting to us.”

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