Trump Executive Order targets private-sector DEI policies and practices

In addition, within 120 days, the Order directs the Attorney General to prepare a report, in consultation with agency heads and the Director of the OMB, containing “recommendations for enforcing Federal civil-rights laws and taking other appropriate measures to encourage the private sector to end illegal discrimination and preferences, including DEI.” The Attorney General’s report is to contain a “proposed strategic enforcement plan,” which identifies:

• “Key sectors of concern within each agency’s jurisdiction;”
• “The most egregious and discriminatory DEI practitioners in each sector of concern;”
• “A plan of specific steps or measures to deter DEI programs or principles (whether specifically denominated ‘DEI’ or otherwise);”
• “Other strategies to encourage the private sector to end illegal DEI discrimination and preferences and comply with all Federal civil-rights laws;”
• “Litigation that would be potentially appropriate for Federal lawsuits, intervention, or statements of interest;” and
• “Potential regulatory action and sub-regulatory guidance.”

Private-sector employment programs supporting U.S. military veterans are exempted from the directives of the Order. 

Hogan Lovells can help you prepare

This Order is an early salvo in what will no doubt be a protracted effort by the second Trump Administration against private-sector DEI efforts. Nonetheless, legal actions targeting DEI and “reverse discrimination” in corporate America are nothing new. State Attorneys General and activist organizations have been waging similar efforts for years. As recently as January 2025, more than a dozen state attorneys general have asked at least one company to explain “how [it] intend[s] to ensure compliance with non-discrimination requirements moving forward.” This type of request is likely to recur. 

Hogan Lovells has deep experience advising private enterprises on these issues and defending them when lawsuits or investigations arise. We regularly advise clients on how to pursue their goals lawfully, while keeping litigation and investigation risk to a minimum. We also combine market-leading litigation capabilities with a keen understanding of the business and reputational stakes large companies face. Our counselors and litigators have deep experience guiding clients on these issues in multiple contexts: 

• Advising clients on the lawful pursuit of DEI goals;
• Training clients and their employees on best practices for compliance and minimizing DEI-related risks;
• Reviewing DEI-related public statements and disclosures to mitigate risks;
• Advising clients on investor inquiries and demands concerning DEI matters;
• Defending litigation and investigations, including:
  • Federal government investigations (including by the EEOC, SEC, DOJ, and FTC);
  • Investigations by state attorneys general;
  • Congressional investigations;
  • Lawsuits alleging reverse discrimination in grantmaking;
  • Employment lawsuits alleging reverse discrimination; and
  • Appellate and Supreme Court litigation addressing affirmative action.

Together, we have offered these services to clients in almost every sector. Our global reach means we can help clients ensure the best approach to global policies which operate in a world of increasingly conflicting laws.

If your organization has not done so, now is the time to implement best practices, mitigate DEI risks, and prepare for potential disputes. For assistance, please reach out to the team identified below or to any Hogan Lovells lawyer with whom you work.

Authored by Jo-Ann Sagar, Neal Katyal, Karl Racine, David Foster, Stephanie Yonekura, Michael DeLarco, Jason Downs, and Reedy Swanson.