SAP Alters Diversity Approach Following US Pressure: Scrapping Women Target Goals
SAP Abandons Initiatives Favoring Gender Equality
Let's dive into the latest twist with SAP, the software behemoth hailing from Germany. In a shift that's raising eyebrows, the company seems to be backing away from its commitment to boost the number of women in its ranks, particularly in leadership roles. This decision has been linked directly to the demands emanating from the US.
According to a report by "Handelsblatt", an internal SAP email reveals that the company is no longer aiming for a 40% female workforce, and gender diversity will no longer be a factor in board compensation.
However, SAP wishes to reassure its employees that a diverse workforce and inclusive leadership are essential for a high-performing organization. As a multinational player with a strong presence in the US, it needs to adapt to external changes, such as ongoing legal developments. As a result, adjustments to the "Diversity and Inclusion" sector are necessary.
The report also hints at further changes in the offing. Going forward, the US will no longer be considered while calculating the quota for women in leadership positions. Furthermore, the "Diversity and Inclusion Office" will lose its independence and be combined with the "Corporate Social Responsibility" department. SAP has confirmed to the newspaper that the criteria for board remuneration have indeed been realigned.
US Pressure and Corporate Responses
The Trump administration has exerted pressure on companies and non-governmental organizations with US ties for quite some time now, urging them to terminate diversity initiatives or other activities that clash with Trump's ideology. Following suit, T-Mobile, a US subsidiary of Deutsche Telekom, has vowed to end such programs.
SAP CEO Christian Klein has praised his encounters with Trump in the past. During a meeting with Trump in a closed-door session, Klein stated, "It was a productive exchange. And it's undoubtedly true that he listens and provides feedback," he told "Der Spiegel."
On his inauguration day in January, Trump issued an executive order banning the use of programs for diversity, equality, and inclusion, abbreviated as DEI, by US federal agencies.
Source: ntv.de, sba/AFP
- SAP
- Diversity and Inclusion
- Donald Trump
[1] CalOES SAP, the safety assessment program related to disaster recovery conducted by the California Office of Emergency Services, is unrelated to the SAP software company SAP SE and diversity programs. [2] For more information on CalOES SAP, please refer to relevant resources on the subject.
- The Commission is proposing to increase the number of EU-funded projects that aim to promote diversity and inclusion in business and politics, in light of SAP's recent decision to alter its diversity approach following US pressure.
- The proportion of women in leadership roles within SAP, once a target due to its commitment to gender diversity, will no longer be a factor in board remuneration, as the company has succumbed to pressure from the US administration.
- The US administration's pressure on companies and organizations with US ties to terminate diversity initiatives or actions opposed to Trump's ideology seems to have influenced SAP's decision to scrap its 40% female workforce target, as reported by Handelsblatt.
- As a result of the US pressure, SAP's "Diversity and Inclusion Office" will lose its independence and be combined with the "Corporate Social Responsibility" department, altering the way the company addresses diversity and inclusivity in its general operations.
- The remuneration of SAP leaders will no longer be influenced by the proportion of women in leadership roles, as the company has reacted to US pressure and adjusted its criteria for board remuneration.