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White House Study Says DEI Policies Cost US Economy by Promoting Unqualified Managers
The report says heavily DEI-focused industries were 2.7% less productive in 2023 and estimates a $94 billion GDP hit.
- On Monday, the White House Council of Economic Advisers released a report estimating DEI policies reduced 2023 U.S. GDP by $94 billion, or 0.34%, costing households about $1,160 annually.
- Corporate adoption of diversity-related hiring accelerated approximately 10 years ago, then expanded further when President Joe Biden directed federal agencies to establish chief diversity officer positions; President Trump rescinded those orders in January 2025.
- Minority representation in management roles jumped nearly four times between 2015 and 2023 compared to minimal growth from 2005 to 2015, while industries adopting DEI protocols were 2.7% less productive than those that avoided them.
- DEI-Focused hiring led to inefficient management and lower wages, the report stated, while potentially harming qualified minority managers by creating stigma if viewed as 'DEI hires'—a dynamic studied in a 1993 report.
- Corporate references to DEI have declined sharply in regulatory filings and earnings calls, with Inspire Investing, a Christian investor group representing $4 billion-plus, launching campaigns in 2026 to eliminate what they term 'WOKE' agendas.
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White House study says DEI policies cost US economy by promoting unqualified managers
The White House released a study that found diversity, equity and inclusion (DEI) policies hinder productivity by leading to inefficient management that undercuts economic growth.
·San Francisco, United States
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White House economic report concludes DEI policies reduce productivity, cost $94B annually
A newly released report outlines the economic consequences of protocols related to diversity, equity, and inclusion initiatives. Diversity, equity, and inclusion practices negatively impacted the U.S. economy, according to the 2026 White House Economic Report released April 13. Researchers calculated that DEI policies reduced output and lowered the country's gross domestic product by about $94 billion each year, amounting to approximately $1,160…
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Leaning Left0Leaning Right4Center6Last UpdatedBias Distribution60% Center
Bias Distribution
- 60% of the sources are Center
60% Center
C 60%
R 40%
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