Under pressure, public homebuilders rebrand or mute DEI stance

Companies across all industries, including homebuilding, have walked back their DEI rhetoric or reduced their public disclosures of diversity, equity, and inclusion programs over the last year. The retreat stands as a signal that activist investors and federal pressure are having an impact on such initiatives.      

Homebuilders navigating this issue tread a delicate path. They have little choice—as businesses built on their reputations with consumer households, diverse workforces, and countless other crucial stakeholders—but to balance workforce and consumer expectations for inclusion and diversity efforts with heightened public polarization and the risk of costly scrutiny from the current administration.

Experts argue that, for most public companies across sectors, shifting their language and reducing disclosure amounts to a rhetorical strategy to continue diversity and inclusion work with less scrutiny. Terms such as “belonging”, “inclusive leadership”, and “people-first culture” have emerged in corporate “stakeholder capitalism” vernaculars as less politically charged alternatives, replacing now-stigmatized terms diversity, equity, and inclusion.      

“Most of the companies that have pivoted…they want to continue the work, and they know the only way to continue the work is to do it under a different name,” Megan Fuciarelli, CEO of US2Consulting, tells The Builder’s Daily. 

A similar rhetorical shift away from DEI has begun to permeate the homebuilding industry. Still, its major players continue to hold a wide range of perspectives and practices regarding the issue, reflecting a highly delicate balance that prioritizes both merit-based operational excellence in their ranks — both internal and external — and an ecosystem of homebuyers, channel partners, investors, land sellers, municipal officials, and talented team members that virtually mirrors the diverse U.S. population writ large.

Being a “builder-of-choice” or a “preferred builder” among this vast array of people who impact business success and net earnings in countless ways is a core strategic and operational principle, most homebuilding business strategists would say.

HousingWire analyzed public disclosures, reports, and releases from all 19 public homebuilders. The analysis found that at least eight public homebuilding companies that highlighted DEI programs or rhetoric during the Biden administration have either rebranded their efforts with different language or reduced mentions and disclosures of DEI since the beginning of President Trump’s second term. 

Almost all public homebuilding corporations continue to mention diversity and an inclusive workplace. However, these mentions now range from vague, broad commitments to diversity and inclusion to explicit references to identity-based employee resource groups and efforts to recruit more women and a racially diverse workforce.

Additionally, at least a few public homebuilding companies also appear to have stopped releasing Environmental, Social, and Governance (ESG) reports over the past year. 

The shifting DEI landscape

Research from The Conference Board found that, among S&P 500 companies, mentions of DEI declined by 68% from 2024 to 2025 in major filings. Mentions of the word “racial” fell by 58%, and “gender”, “equity”, and “diversity” each declined by about one third. There is also less transparency and disclosures around gender and racial pay equity, workforce demographics, board diversity, and broader DEI goals. 

The Trump Administration’s policies and executive orders are a principal catalyst for the shift in DEI disclosures and language, experts say. However, pressure from institutional investors, such as Robby Starbuck and James Fishback, who refuse to invest in companies that support DEI programs, has also contributed to changes in corporate business culture messaging. 

On his first day in office in January, President Trump signed an executive order that instructed federal agencies to investigate cases of what the administration saw as illegal D.E.I. in the private sector. The administration switched the leadership of the Equal Employment Opportunity Commission, which enforces anti-discrimination laws, to aid this goal. 

The president’s latest action against DEI came in the form of a new executive order that he signed on December 11. The order increases oversight of Proxy advisory firms, such as Glass Lewis and ISS, that the administration believes are prioritizing DEI and ESG. Under the order, SEC staff must examine whether investors’ work with proxy advisors on DEI and ESG is consistent with their fiduciary duties to shareholders. 

Many corporations now worry that their DEI work could invite federal scrutiny, or worse, allegations of reverse discrimination. 

“The government has an outsized influence when it comes to language and control, and it now controls the narrative,” said Gregg Ward, Executive Director of The Center for Respectful Leadership, in an interview. “Corporations are not stupid. They’re not naive. They see the way the wind blows, so they made those rhetorical changes.”

A change of rhetoric and rebranding of DEI in homebuilding

Several homebuilding companies appear to have muted their messaging and branding around DEI, even though those that have shifted still do emphasize diversity, equity, and inclusion to varying degrees. 

Hovnanian Enterprises, for example, described DEI as a “major priority in a Form 10-K filing in December 2023, and framed “diversity and inclusion across the organization” as part of its overall strategy. 

The company’s language may have softened a bit. A 2025 proxy statement released in April specified efforts to include diversity as one of several criteria in the selection process, but also stated that “the company has no formal policy regarding diversity.” 

LGI Homes consistently affirmed in filings from previous years that its “commitments to diversity and inclusion, training, safety, and sustainability form the foundation of our people‑focused culture.” 

However, a 2025 proxy statement doesn’t appear to use the phrase diversity and inclusion or have specific mentions of promoting ethnic, racial, or gender diversity in its hiring practices. It instead frames diversity more broadly, saying that members of the board of directors should have “diversity of views and perspectives.”

A sustainability page on the LGI Homes website similarly highlights a commitment to diversity of backgrounds, viewpoints, skills, and experience, without explicit mentions of race or gender. 

NVR, Inc., in its 2022 proxy statement, included a diversity & inclusion section, which specified a commitment to hiring and developing an inclusive workplace with a strong diversity of backgrounds and perspectives. 

Its 2025 proxy statement did not include a specified diversity and inclusion section, but it does have a people section, with a small subsection called “Inclusive Culture”. That subsection states that NVR is “committed to continually developing an inclusive culture that attracts a diverse workforce.”

The change in language, while subtle, represents a rebranding away from “diversity and inclusion” to “inclusive culture”. 

Meritage Homes similarly shifted its language from “diversity, equity, and inclusion” to “inclusion, culture, and belonging” on its website and in its latest Sustainability and Corporate Responsibility report released in August. The latest proxy statement also has a section on “inclusion and belonging.” 

The company still appears to have explicit DEI programs, however. This includes employee resource groups (ERGs) for women, families, and a third group titled “multicultural awareness grows inclusive culture” (MAGIC). Therefore, the shift in language appears to be more of a rebranding effort instead of a policy shift. 

Additionally, Toll Brothers hired a Chief Diversity & Inclusion Officer in 2020. However, the employee’s title now appears to have changed to “Chief Engagement Officer,” either reflecting a retitle or a shift in responsibilities. 

A few homebuilding companies have reduced or omitted references to DEI

A few public homebuilders continue to refer to diversity and inclusion in some instances, while omitting certain past references. 

Green Brick Partners had a “Diversity and Inclusion” subsection under “Corporate Responsibility” in its 2023 and 2024 proxy statements, but did not have a diversity and inclusion subsection in 2025. 

In 2023 and 2024, the diversity and inclusion section specified the gender and racial diversity of the company’s board of directors. In 2025, the corporate responsibility section omitted references to the diversity of the company’s board of directors.

M/I Homes continues to highlight diversity efforts, but, as of 2025, has replaced its ESG report with a sustainability report. The company’s ESG reports released in 2023 and 2024 each had a section titled “Diversity, Equity, and Inclusion” that described the company’s efforts to “cultivate a diverse, thriving workforce through an inclusive culture emphasizing mutual respect.

The 2024 sustainability report, released this May, didn’t have that section. 

Taylor Morrison continues to emphasize its commitment to gender diversity, and recently highlighted that nearly half (47%) of its workforce is women. It’s the only public homebuilder with a majority female board of directors.

However, the company’s latest sustainability and belonging report, released in 2025, only has a quick one-paragraph subsection on “building belonging” that emphasizes the company’s commitment to inclusion. 

In comparison, the sustainability and belonging report released in 2024 had a more detailed, full-page “building belonging” section. The page had three subsections highlighting Taylor Morrison’s promotion of diversity and equity-related issues and open discussion of equity and diversity topics.

It also highlighted employee-run diversity, equity, inclusion, and belonging subcommittees in each of their divisions, something that didn’t appear in the 2025 report.

Lennar still emphasizes DEI through its “Everyone’s Included Advisory Council”, which was established in 2021, as well as certain other initiatives. Its 2025 proxy statement reaffirmed a commitment to diversity and inclusion training programs and attracting diverse associates.

However, the company’s board of directors this year recommended against adopting a shareholder proposal for an LGBTQIA + Equity and Inclusion Disclosure. The board reasoned that Lennar already has existing diversity and inclusion practices and that the proposal “would not result in an efficient use of resources.”

Emphasis on DEI varies greatly depending on the homebuilder

There is no uniform DEI policy or rhetorical stance among the public homebuilders — in fact, it can vary greatly. Some of the public builders still remain committed to DEI to varying degrees. 

AMH has an employee resource group (ERG) program initially created in 2022 with six groups for LGBTQ+, military and veterans, women, and certain racial or ethnic minorities. The company’s 2024 sustainability report, released in July, reaffirmed these groups and announced the addition of another group for those with disabilities. 

The report also continued to highlight “inclusion and belonging” and “valuing differences” training that are required for all new employees. It also has a formal diversity, equity, and inclusion statement, although it doesn’t explicitly mention considering race or gender in the hiring process. 

Beazer Homes highlights a third-party pay-parity audit to check for pay disparities by gender and race. The builder’s latest proxy statement said that it hasn’t found any outliers, but would take corrective actions if warranted. 

D.R. Horton’s 2025 proxy statement stated that the company is “committed to using Board refresh opportunities to consider new gender and ethnically diverse director candidates to the Board of Directors”. 

Many public builders seem to only frame diversity and inclusivity in a broader sense, or contextualize race and gender as just one way of looking at diversity. 

Century Communities referred to its “commitment to diversity and inclusion” in its latest proxy statement, and affirmed that it “is committed to a policy of inclusiveness, and seeks members with diverse backgrounds.”

PulteGroup has a diversity & inclusion page on its website, but there are no mentions of DEI programs and gender-based or race-based recruitment. Instead, the company has highlighted its broader commitment to an inclusive work environment. 

Champion Homes’ latest proxy statement said it valued ethnicity and gender diversity in the recruitment process, but only as one of many factors, and that its board’s approach “is to seek diversity broadly”. 

Dream Finders Homes has no formal mentions of DEI, but affirmed its commitment to gender and race equality and anti-discrimination practices. 

Smith Douglas Homes’ public disclosures don’t provide many mentions of diversity, but the company did post a recent survey finding that 98% of employees feel they are treated fairly in the workplace, regardless of race, gender, and background.

How public homebuilders perform on diversity metrics

A review of the public homebuilders finds that, on average, just over 30% of the board of directors are women, and about 17% are racial minorities. 

Executive management is about 18% women and roughly 14% racial minorities, although this calculation depends on how executive management is defined. The CEO, CFO, and COO are typically included in executive management, but some companies also include other positions like CMO, CIO, and General Counsel. 

Are companies truly pulling back on DEI?

Among public homebuilders, it’s difficult to determine how much of the shift in DEI rhetoric is performative or indicative of substantive policy or implementation changes. This is because most companies aren’t being as explicitly vocal about these programs as they once were. 

However, Fuciarelli, who helps corporations and nonprofits across industries navigate DEI-related issues, said that in most cases the shift is largely rhetorical. 

In her experience, companies that had diversity and equity initiatives embedded in their organizations before 2020 are usually not pulling back on those programs now. Most companies that Fuciarelli has exposure to are only changing their corporate lexicon and disclosures to invite less scrutiny, rather than implementing internal policy shifts. 

On the other hand, corporations that abandoned DEI altogether in 2025 often emphasized it only when it was popular to do so, at the height of the Black Lives Matter movement. Now that the political tides have shifted, those companies that weren’t as committed to DEI programs before 2020 are no longer backing them, Fuciarelli claims. 

Ariane Marchis-Mouren, Senior Governance Researcher at The Conference Board, tells The Builder’s Daily that shifting verbiage and fewer disclosures don’t necessarily mean that companies are abandoning DEI measures. Often, organizations are simply embedding DEI into broader talent and culture efforts instead of highlighting its own. 

“In practice, many firms continue tracking the same internal data, maintaining governance oversight, and integrating DEI into leadership and human-capital strategies, just with less public visibility,” she said. 

“The real danger is that reduced disclosure can unintentionally send a signal, internally and externally, that diversity is no longer a strategic priority, even when companies intend otherwise.”

The companies most impacted by the administration’s opposition to DEI are federal contractors, as the Trump administration has refused to contract with companies that implement diversity, equity, and inclusion measures. This forced one federal contractor that Gregg Ward consults with to pull back on these measures completely. 

“Once the Trump administration came in, they completely shut down all of their diversity initiatives. They wanted to go way beyond performative. They wanted to make it absolutely clear to the Trump administration that, ‘yep, no more DEI here,” he said. 

Despite these pressures to pull back on DEI, Ward said that companies that retreat on these initiatives too much could alienate much of their workforce and customers. 

He cited Target as a cautionary tale. The retailer invited a large public boycott from customers after it abandoned its DEI initiatives earlier this year, including its pledge to invest in black-owned businesses and participation in the Human Rights Campaign’s Corporate Equality Index.

Going forward, large corporations that instituted aggressive DEI measures in the wake of George Floyd’s killing will have to carefully balance the competing pressures to either continue or abandon such initiatives, or come to some sort of middle ground.

“They’re trying to continue the efforts to support their employees, and without saying the words DEI, they’re trying to be more inclusive and create a sense of belonging,” Ward said. “So here they are. They’re basically between a rock and a hard place.”

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