At Extreme Investor Network, we strive to provide our readers with unique and valuable information on all things finance. In a recent lawsuit that caught our attention, former Trump adviser Stephen Miller’s legal group, America First Legal, sued IBM Corp. subsidiary Red Hat Inc., alleging that the company’s diversity goals led to the discriminatory treatment and termination of a former white male employee.
The lawsuit, filed in the US District Court for the District of Idaho, claims that Allan Kingsley Wood, a former senior director at Red Hat, faced race and gender discrimination due to Red Hat’s diversity, equity, and inclusion program, which included setting hiring goals for women and minorities. This lawsuit is just one of several lawsuits filed by AFL over corporate DEI-related issues.
Conservative groups have been increasingly challenging corporate DEI initiatives, especially following a US Supreme Court decision in June 2023 that limited affirmative action in college admissions. These groups argue that hiring and recruitment decisions at large companies are biased against white workers, but have faced limited success in federal courts.
In 2021, Red Hat began implementing new diversity requirements, including hiring a chief executive officer of DEI to lead these efforts. AFL claims that the company’s DEI initiatives have impacted hiring decisions, resulting in quotas aiming to achieve a specific workforce demographic by 2028.
Wood, the former employee, reportedly opposed Red Hat’s DEI policies based on his religious, personal, and political beliefs, advocating for hiring based on merit and skill rather than immutable characteristics. As a result, he claims he was retaliated against and eventually terminated from his position.
America First Legal is seeking compensation for Wood and an injunction against Red Hat’s DEI program. Red Hat has not yet responded to requests for comment on the lawsuit.
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