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Urges EU Action Against US Pressure on Businesses' Diversity Policies, Puts Scrutiny on Danish Government

EU urges collective action in response to US threats to European firms over diversity initiatives, a move backed by President Trump.

Urges EU Action Against US Pressure on Businesses' Diversity Policies, Puts Scrutiny on Danish Government

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US Calls for EU Response Over Diversity Programmes Backlash

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Denmark isn't holding back in its response to the U.S.'s stern warnings to European companies regarding diversity initiatives. industry Minister Morten Bødskov has demanded a united EU response following letters sent by U.S. embassies to companies in France and Denmark, intending to do or already doing business in the States.

"It's high time we discuss this with our EU peers," Bødskov told AFP when quizzed on the matter. He added that Danish and European firms are committed to diversity and have enacted regulations to promote diversity in management and to strengthen companies' societal responsibilities.

"This appears to be another sneaky American trade obstacle," he emphasized.

The responses come after Danish business organizations admitted that several companies have been requested by the U.S. Embassy to verify whether they adhere to pro-diversity policies.

"A handful of our members have sought our advice on dealing with this letter," Søren Friis Larsen, USA country manager with the Danish Chamber of Commerce, informed DR.

The Confederation of Danish Industry (DI), the country's largest business interest group, also confirmed the existence of these letters.

"Never before have we witnessed anything like this, where the U.S. attempts to dictate and intervene in European companies' management rights, let alone meddle with the essence of their national values," DI's director of consultation Kinga Szabo Christensen wrote to Ritzau.

International media has previously exposed that U.S. embassies have contacted European companies with business ties to the U.S. government or State Department. According to reports, these seemingly interfering embassies have warned the companies that the recently signed Executive Order 14173, by which President Donald Trump means to scrap DEI (diversity, equity, and inclusion) policies at workplaces, also applies to companies that provide the administration with goods or services[1][2].

France's foreign trade minister, Laurent Saint-Martin, expressed shock over the letters, which he believes are tantamount to requesting corporations to desert their inclusion policies that align with French or European law, especially in promoting gender equality, countering discrimination, and fostering inclusivity for people with disabilities[4].

French Economy Minister Eric Lombard previously stated that Trump's views on DEI "are not ours." The same sentiments were echoed by Belgium's Foreign Minister Maxime Prevot, who vowed that Belgium will not backtrack on its diversity efforts, even in the face of the US's demands[4].

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Enrichment Insights:
  • Executive Order 14173: Enacted by President Donald Trump, this order aims to ban diversity, equity, and inclusion (DEI) initiatives at workplaces, deeming them illegal preferences and discrimination[1][2].
  • European Response: European countries, such as France, Belgium, and Spain, have criticized and resisted the U.S.'s demands, citing the interference with national values and laws, as well as undermining local laws and values[4].
  • Repercussions: European companies are rethinking their DEI-related hiring targets and representation goals in the U.S. due to the backlash[1].
  1. The United States has issued stern warnings to European companies regarding diversity initiatives, prompting a response from Denmark.
  2. Industry Minister Morten Bødskov has called for a united EU response, stating that Danish and European firms are committed to diversity and have enacted regulations to promote it.
  3. Bødskov emphasized that this appears to be another sneaky American trade obstacle, potentially impacting general-news, business, politics, and finance.
  4. Danish business organizations have admitted that several companies have been requested by the U.S. Embassy to verify whether they adhere to pro-diversity policies, which could affect their tariffs and inclusion in the American economy.
  5. The Confederation of Danish Industry (DI), the country's largest business interest group, has also confirmed the existence of these letters, adding to the growing concern on the matter.
  6. DI's director of consultation Kinga Szabo Christensen stated that it is unprecedented for the U.S. to attempt to dictate and intervene in European companies' management rights, potentially undermining Danish national values.
  7. The international media has reported that U.S. embassies have contacted European companies with business ties to the U.S. government or State Department, warning them that Executive Order 14173, which scraps DEI policies at workplaces, also applies to companies that provide the administration with goods or services.
EU urges collective action following U.S. warnings against diversity initiatives, a move backed by President Trump with intentions to eliminate these programs.

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