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Disney’s DEI Policies Land Them in Court: ‘The Hit Factory Is Now the Flop Factory’

February 19, 2024

According to Bob Iger, Disney CEO, what happened on January 6 “was fundamentally wrong and … rooted in hatred … and intolerance.” In his view, that was the day Iger felt Disney needed to take “a stand” on political matters, which has been mostly rooted in the company’s diversity, equity, and inclusion (DEI) initiatives. However, experts have highlighted the fact that these efforts have mostly backfired.

In prioritizing DEI, Disney has produced content largely centered on LGBT ideology. This agenda has caused their revenue to tank as they faced nationwide boycotts, decreased sales, and certain states pulling their investments from the Magic Kingdom. Nonetheless, Disney has insisted on prioritizing politics over profit. “The hit factory is now the flop factory,” wrote Breitbart’s John Nolte. “The trusted brand is now seen (accurately) as a threat to children’s innocence.”

Iger said he’s “very proud of the work” Disney has “done in terms of diversity and inclusion on screen.” However, Nolte pointed out that in the brand’s DEI efforts, they’ve failed to succeed in “telling a great story with appealing and relatable characters.” And not all of the pushback is based on gender politics.

America First Legal (AFL) filed a civil rights complaint against Disney on Wednesday “for violating Title VII of the Civil Rights Act of 1964 by engaging in illegal race, sex, and national origin discrimination.” According to Disney’s “Reimagine Tomorrow” website, AFL argued that there is a strong suggestion “that race, color, religion, sex, or national origin are often the only motivating factor in Disney’s hiring, training, and promotion decisions.” As such, they noted “the company is intentionally discriminating against white American men, Christians, and Jews simply because of their race, sex, religion, and citizenship.”

AFL President Stephen Miller said, “It is sad and tragic that a company whose name was once synonymous with wholesome and charming childhood fantasies is now dedicated to spreading divisive bigotry. We urge Disney to cease and desist its unlawful and destructive conduct at once.”

Referring to Disney’s goal of hiring 50% of its directors from “underrepresented groups,” the complaint stated, “It is patently unlawful to consider racial, ethnic, and sex-based characteristics in hiring, training, compensation, and promotion.” It continued, “Decades of case law have held that policies that impose racial balancing or quotas in employment, training, or recruitment, such as those presented on Disney’s websites, are prohibited.”

As Nolte pointed out, “Disney went from one of the most universally beloved and trusted brands — a company that produced one-billion-dollar blockbuster after another — into a failing propaganda outlet no decent parent would allow their children near.”

Stephen Soukup, author of “The Dictatorship of Woke Capital,” commented to The Washington Stand, “Disney and its leadership — its executives and board — have gone out of their way to ensure that politics takes priority over conventional business interests.”

Concerning the decisions Disney has made in recent years and whether they will alter their path, Soukup said, “Despite acknowledging their disconnect between their ideology and their customer base in SEC documents, they still seem unable or unwilling to change course. The evidence shows that CEO Bob Iger has been driving much of this, while the company’s board of directors has rewarded him with a lavish pay increase, even in the face of his failures.”

Ultimately, Soukup pointed out, “any change in the company’s positions will have to come from shareholders.” Which, he concluded, “short of a shareholder rebellion — approval on non-management approved board candidates, for example — it’s difficult to see Disney’s leaders doing what needs to be done to get back to something approximating neutral, to putting business ahead of politics.”

Sarah Holliday is a reporter at The Washington Stand.