According to multiple media reports, corporate executives, including those at Starbucks, are reportedly speaking less about “green and social initiatives” following recent stock market disasters involving Target and Bud Light.
Reports indicate that Starbucks’ transgender and gay staff protested on June 13 after corporate instructed stores to reduce displays related to transgender and gay pride. However, Starbucks Management denies the claim made by Starbucks Workers United, stating that they did not ask employees in at least 21 states to remove Pride decorations in the past two weeks.
The union representing workers highlighted instances where workers in Massachusetts were warned about insufficient labor hours for holiday decorations, using threats made to Target employees over their Pride displays as an example of safety concerns regarding covering windows with flags in Oklahoma.
The executives are now focused on increasing the company’s stock price. While the corporation denies having a policy against participating in “Pride” events, a union presented evidence suggesting otherwise.
Starbucks employees in Wisconsin were initially given permission to display Pride decorations, but their District Manager later ordered their removal for not being welcoming to everyone.
The Wall Street Journal reported that CEOs nationwide are being cautious following the Target and Bud Light scandals. An investigation by the Journal found that executives have significantly decreased public discussions about environmental and employee diversity efforts.
Data from AlphaSense, a financial-research platform, reveals that between April 1 and June 5, executives at U.S.-listed companies mentioned “environmental, social, and governance” (ESG), “diversity, equity, and inclusion” (DEI), or “sustainability” less frequently in earnings calls compared to the same period last year, representing a fifth consecutive quarter of year-over-year declines.
Transgender activist Rose Montoya expressed disappointment, noting that she and others have noticed fewer brands seeking partnerships and reduced budgets for Pride campaigns.
The liberal media observed a significant increase in social media posts advocating for boycotts of Pride collections, from fewer than 400 at this time last year to 15,000 by May 2023, according to RILA Global Consulting.
Regarding the bomb threats, pro-transgender activists targeted Target after the store removed certain pro-transgender products from shelves. However, the media sometimes portrays these threats as originating from everyday citizens.
An ESG supporter interviewed by the Wall Street Journal expressed concern over the increased corporate caution, suggesting that companies prefer to avoid controversial topics and focus on aspects of business aligned with traditional metrics.
Despite ongoing protests, many CEOs believe they will eventually die down or be ignored by the public. Some business leaders and employees are still inclined to promote their political agendas during working hours due to personal fulfillment and prestige.
Consultant Fabrice Houdart predicts further LGBT advertising, stating that “the days of amateur LGBT marketing are over.” However, there is a likelihood that boycotts will continue as people gather online across the United States.