DEI developments

31 March 2026 2 min read

By Cassie Boyle

At a glance

  • The Trump Administration continues to advance its priorities, including DEI-related discrimination and anti-religious bias.

DEI discrimination

On March 26, 2026, President Trump signed an Executive Order titled 'Addressing DEI Discrimination by Federal Contractors,' requiring federal agencies to include a clause in all contracts prohibiting contractors and subcontractors from engaging in 'racially discriminatory DEI activities.'

The Executive Order (EO) moves beyond prior policy directives by specifying a contract clause that agencies must add to contracts within 30 days and by ordering similar changes to the Federal Acquisition Regulation (FAR) through regulatory changes and class deviations. Importantly, the clause makes compliance subject to False Claims Act liability.

The EO defines 'racially discriminatory DEI activities' as 'disparate treatment based on race or ethnicity in the recruitment, employment (eg hiring, promotions), contracting (eg vendor agreements), program participation, or allocation or deployment of an entity's resources.' The EO further defines 'program participation' to include 'membership or participation in, or access or admission to: training, mentoring, or leadership development programs; educational opportunities; clubs; associations; or similar opportunities that are sponsored or established by the contractor or subcontractor.'

EEOC Enforcement

On February 26, 2026, EEOC Chair Andrea Lucas issued a letter to the 500 largest companies in the United States warning them of potential liability under Title VII for race and sex-based discrimination that may result from DEI policies or practices.

Anti-religious bias

The Department of Labor (DOL) launched a new website, Center for Faith, that includes resources about how the federal government is combating anti-religious bias in the workplace. According to the DOL, the website 'contains resources for Americans who may have faced religious discrimination in the workplace, as well as information for faith organizations on potential grant opportunities and retirement plans.'