In a surprise turn of events at the World Economic Forum in Davos, US President Donald Trump publicly berated the CEO of Bank of America, Brian Moynihan, over the bank’s alleged “debanking” of conservative and religious groups. Trump’s remarks sent a clear message to executives in the room and around the world: the administration will not tolerate what he referred to as “woke” ideology and companies must get on board.
Moynihan was speaking as part of a Q&A session when Trump suddenly shifted the focus to him, criticizing the bank for not allowing conservatives to do business there. Trump’s comment sparked gasps in the audience, according to The New York Times. Moynihan’s bank, along with JPMorgan Chase, have repeatedly denied allegations of “debanking” conservative and religious groups, claiming they serve 70 million clients, including conservatives, and have no political litmus test.
Trump’s comments mark a shift in the Republican Party’s approach to business, which has historically been laissez-faire. The “debanking” claim is part of a broader narrative among some on the right that they are victims of a left-wing agenda that has taken root in Corporate America.
Other companies such as Budweiser, Walmart, and Ford have faced backlash from right-wing activists over their diversity, equity, and inclusion (DEI) programs. Despite some brand attempts to walk back their initiatives, many have lost significant market share. Trump’s ascension to the presidency has elevated the DEI backlash to government policy, with the president signing executive orders and demanding government agencies investigate such efforts at publicly traded companies.
Not all companies are caving to the pressure. Costco shareholders rejected a proposal to quantify the risks of maintaining DEI initiatives, while Apple and JPMorgan Chase have also stood firm against similar pressures. However, the impact of Trump’s rhetoric and the DEI backlash is likely to be far-reaching, with some experts predicting significant job losses and a shift in corporate culture.
