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US Federal Trade Commission warns law firms about DEI hiring

The FTC cautioned that DEI hiring agreements among 42 top law firms may distort labor competition, affecting pay and promotions, amid broader DEI program rollbacks.

  • On Friday, the U.S. Federal Trade Commission wrote to 42 law firms warning that diversity, equity and inclusion hiring may be unfair and anticompetitive, targeting the country's largest and most profitable firms.
  • Certification rules from Diversity Lab underpin the FTC's focus, as the group offers a certification requiring at least 30% candidates for leadership roles are underrepresented lawyers and defends its legality citing a federal judge.
  • FTC Chairman Andrew Ferguson warned that agreements to meet DEI metrics can distort labor competition, noting Paul Weiss, WilmerHale, and Perkins Coie were targeted last year, while Paul Weiss, Skadden Arps, and Latham & Watkins made White House deals on Friday.
  • The U.S. Equal Employment Opportunity Commission last March demanded detailed hiring data from 20 major firms, while the White House deferred comment and representatives for five firms did not respond.
  • Industry reporting shows firms removing DEI references from websites as President Donald Trump's administration eliminated DEI programs and 46 of the 50 highest-grossing U.S. law firms rolled back initiatives, with some filing successful lawsuits last year.
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Law.com broke the news in on Friday, January 30, 2026.
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