January 16, 2024 - Washington, D.C. — Last week, Senator Tom Cotton (R-Arkansas) sent a letter to ten corporate recruiting firms, expressing concern about reports that some firms are conspiring with companies to exclude “non-diverse” candidates from hiring pools. Senator Cotton warned the firms that complying with DEI mandates may violate federal law and encouraged them to refuse requests to racially discriminate going forward.

In part, Senator Cotton wrote:

“Investment firms like BlackRock are putting heavy pressure on corporations to racially discriminate in the name of ‘diversity’ when hiring. Workforce diversity metrics can affect companies’ access to capital, as investment firms are punishing companies with low ‘Diversity, Equity, & Inclusion’ (‘DEI’) scores. But after the Supreme Court’s recent ruling on affirmative action, DEI initiatives are coming under new scrutiny, so employers are increasingly outsourcing the dirty work of diversity discrimination to recruiting firms like yours.”

Full text of the letter may be found here and below.

January 11, 2024

Dear ________,

I write regarding your firm’s recruitment practices. My office has received troubling reports that recruiting firms are conspiring with companies to exclude “non-diverse” candidates from the hiring pool.

Investment firms like BlackRock are putting heavy pressure on corporations to racially discriminate in the name of “diversity” when hiring. Workforce diversity metrics can affect companies’ access to capital, as investment firms are punishing companies with low “Diversity, Equity, & Inclusion” (“DEI”) scores. But after the Supreme Court’s recent ruling on affirmative action, DEI initiatives are coming under new scrutiny, so employers are increasingly outsourcing the dirty work of diversity discrimination to recruiting firms like yours.

Compliance with DEI mandates may violate federal law. Title VII of the Civil Rights Act, for example, prohibits private employers from basing hiring decisions on race. A member of the U.S. Equal Employment Opportunity Commission (“EEOC”) has warned that “diversity programs pose both legal and practical risks for companies.” Race-based hiring policies are being challenged in court, and you can be assured that corporate DEI initiatives that discriminate based on race will soon suffer the same fate as affirmative action in academia.

Recruitment firms like yours should be mindful that you are also subject to anti-discrimination laws. The EEOC warns that “an employment agency is prohibited from discriminating against its own employees, as well as in its referral practices.” I encourage you, both for your own sake and for the sake of your clients, to refuse any request to racially discriminate in recruiting practices.

Sincerely,
Source: Senator Tom Cotton