Verizon Ends Diversity, Equity, and Inclusion Policies to Secure FCC Approval for Frontier Communications Deal
Verizon recently made a strategic move to discontinue its diversity, equity, and inclusion (DEI) policies in a bid to gain approval from the Federal Communications Commission (FCC) for its $20 billion acquisition of broadband provider Frontier Communications.
The FCC greenlit the deal on Friday, emphasizing that it would enable Verizon to enhance internet access technology across 25 states, including rural areas, and extend fiber-optic access to at least 1 million homes annually.
Changes in Verizon’s Policies
In a letter to the FCC, Verizon outlined the steps it was taking to align with the new regulatory landscape surrounding DEI. The telecommunications giant disclosed its decision to eliminate DEI-related practices, such as removing references to DEI from training materials and websites, discontinuing bonuses linked to workforce diversity, and dissolving its diversity-focused human resources department.
Vandana Venkatesh, Verizon’s chief legal officer, asserted the company’s commitment to fostering a culture that appreciates individuals’ unique strengths and talents, while acknowledging the evolving DEI policies.
Industry-Wide Shift
The move by Verizon comes amid a broader trend in corporate America, where companies are reevaluating their DEI initiatives in response to the Trump administration’s crackdown on such programs. President Trump’s executive orders targeting DEI in federal agencies have spurred private enterprises, including Verizon and T-Mobile, to realign their practices to comply with the changing regulatory environment.
Notably, T-Mobile also informed the FCC of its decision to scale back DEI-related goals and programs, which led to the approval of its deal to acquire fiber operator Lumos.
FCC’s Stance on DEI
Under the leadership of FCC Chairman Brendan Carr, the FCC has intensified scrutiny of DEI practices in companies, initiating investigations into major entities like Comcast and Walt Disney Co. over concerns of discriminatory DEI policies.
While companies across various sectors are revising their DEI strategies, the broader impact of this shift on workforce diversity and inclusion remains a topic of ongoing debate.
