In 2020, Hollywood made grand promises to prioritize diversity, equity, and inclusion (DEI) in response to mounting calls for racial justice. Major studios and entertainment companies vowed to donate millions, establish talent development programs for underrepresented creatives, and implement new hiring practices to foster inclusivity. However, recent developments have revealed a troubling shift in this commitment.
The Walt Disney Co. has begun altering its internal DEI policies, such as revising the “diversity and inclusion” performance standard used to determine executive compensation. Warner Bros. Discovery announced that its DEI program will now be known simply as “Inclusion,” while Paramount Global eliminated staffing goals related to gender, race, ethnicity, and sex. These changes coincide with the issuance of an executive order by the Trump administration targeting DEI initiatives in the private sector, prompting scrutiny of publicly traded companies and large nonprofits.
Although industry leaders frequently extol the benefits of diversity in driving business success, progress toward inclusivity in Hollywood has been inconsistent. A recent study by UCLA revealed persistent underrepresentation of people of color across various sectors of the entertainment industry, including lead roles in theatrical films, directors, writers, and actors. While there was a gradual increase in racial and ethnic diversity among top film casts over the past 14 years, a regression occurred in 2024, underscoring the ongoing challenges of achieving true equity.
Many industry insiders acknowledge that DEI programs, while important, are not a singular solution to Hollywood’s systemic issues. Nevertheless, the recent backtracking on diversity commitments has raised concerns about the sustainability of progress in the industry. Audiences continue to demand authentic and diverse storytelling, indicating a clear market preference for inclusive narratives that resonate with diverse communities.
Jeremiah Abraham, CEO of Tremendous, a multicultural marketing firm, emphasized the power of audience support in driving industry change. He noted that viewers have demonstrated their preferences through ticket sales and engagement with films that authentically represent their identities. However, without sustained DEI efforts, the industry risks facing greater obstacles in delivering diverse stories to audiences.
The recent retreat from diversity initiatives predated the Trump administration and was partly fueled by economic challenges within the industry. The financial impact of the pandemic, labor strikes, and competitive pressures from the streaming landscape compelled companies to reassess their priorities and trim costs. Ana-Christina Ramón of UCLA’s Entertainment and Media Research Initiative pointed out that during times of industry upheaval, diversity initiatives are often deprioritized as non-essential components of business operations.
Karen Horne, a former DEI executive at Warner Bros., highlighted the cyclical nature of diversity programs in Hollywood, noting that while some companies continue to advance inclusivity efforts quietly, others have reduced their public-facing commitments. The influence of conservative groups critical of “woke” content has also exerted pressure on media companies, leading to controversies and content alterations in response to political sensitivities.
Amidst these shifts, the entertainment industry has experienced significant job losses, with a parallel decline in DEI-focused roles within major studios. Revelio Labs’ analysis revealed a reduction in U.S.-based positions explicitly linked to DEI concepts, indicating a broader trend of diminishing diversity-focused employment opportunities across the sector. The departure of prominent diversity chiefs further underscored uncertainties about the industry’s dedication to meaningful change and the efficacy of existing diversity leadership roles.
Shaun Harper, a leading expert on race and equity at the USC Race and Equity Center, observed a decline in industry interest in DEI following the social justice movements of 2020. While disappointed by Hollywood’s regression on diversity, Harper noted that these developments were reflective of broader societal trends, where institutions across various sectors were scaling back diversity initiatives.
The retraction of DEI programs in Hollywood mirrors similar trends in other industries, including retail and technology, where companies have announced cutbacks or eliminations of diversity initiatives. Concerns persist that reduced opportunities for people of color in the entertainment industry, coupled with production challenges in Los Angeles, could lead to talent drain and a shift towards alternative distribution platforms.
Maris Lidaka, founder of the Blended Future Project, emphasized the need for resilience and community-driven action to sustain progress in diversity and inclusion within the entertainment industry. While DEI programs and roles have been critical catalysts for change, they represent only a starting point in addressing the deep-rooted issues of inequity and representation in Hollywood. The collective effort to nurture diverse talent and amplify marginalized voices remains an ongoing imperative for the industry’s future.
As Hollywood grapples with the complexities of balancing artistic freedom, market demands, and societal expectations, the imperative to uphold inclusive practices and diverse representation remains a central challenge. The industry’s capacity to evolve and adapt to changing dynamics will ultimately shape its ability to authentically reflect the diverse tapestry of human experiences and perspectives.
