A Global Tug-of-War
on Corporate Responsibility

As the United States gears up for a new administration under Donald Trump, a troubling trend is emerging: numerous major companies, including Meta, Amazon, Walmart, and Ford, are dismantling their Diversity, Equity, and Inclusion (DEI) programmes.

These initiatives, many of which were introduced in response to social justice movements like MeToo and Black Lives Matter, are now being labelled as “woke” and targeted for elimination. At the same time, the European Union is moving in the opposite direction, doubling down on sustainability regulations, including requirements for more transparent corporate social responsibility (CSR) practices.

Why DEI and sustainability matter for children

DEI programmes have far-reaching impacts, extending beyond internal hiring practices to address systemic inequities across entire value chains.

For children, these initiatives have tangible benefits. They create opportunities for marginalised or underrepresented groups, enabling more children in these communities to grow up with caregivers who are gainfully employed or to envision similar futures for themselves. DEI efforts also promote fair hiring practices and family-friendly policies, such as parental leave, which directly support caregivers’ ability to balance work and family responsibilities.

Furthermore, many DEI programmes address broader social issues like the elimination of child labour, inclusive policies that ensure access to education, and safe environments for children to thrive.

The dismantling of these programmes risks deprioritising children’s rights, eroding commitments to equal opportunities, and jeopardising the progress made toward creating a fairer, more sustainable future for all generations.

Meanwhile, the EU’s tightening of sustainability regulations within the legislative package requires companies to disclose their impacts on human rights, including children’s rights. This means businesses must address critical risks such as child labour in supply chains, digital safety, and access to essential services like education and healthcare.

By providing a comprehensive framework for transparency, the CSRD creates an opportunity for businesses to embed children’s rights into their strategies and operations.

While the directive sets important standards, it falls short of fully integrating children’s rights into its scope. Nevertheless, its emphasis on DEI-related reporting—such as workforce diversity, anti-discrimination measures, and inclusive practices—lays a foundation that businesses can build upon to strengthen their commitment to safeguarding and advancing the rights of children in a rapidly evolving global landscape.

The dismantling of DEI programmes in the U.S. signals a broader cultural shift, where social justice initiatives are being dismissed as unnecessary or divisive. However, avoiding so-called “woke” policies risks sidelining discussions on equity, sustainability, and accountability—issues that are essential for safeguarding the well-being of children.

A global perspective: EU’s leadership and business implications

This topic was recently discussed on a Swedish Radio news programme, Radio Ekot, where Ekin Ergun Björstedt, Secretary General of Global Child Forum, highlighted the critical role of the EU’s reporting legislation, including the CSRD, and its potential to shape corporate behaviour beyond Europe. She emphasised the global implications for businesses with international supply chains.

“While the EU is taking a strong stance on sustainability and human rights, these regulations will have wide-sweeping ramifications for all companies with global supply chains,” said Björstedt.

“This isn’t just a European issue—it’s a global reckoning. Companies everywhere, from the U.S. to Asia, must confront their impacts on human rights and sustainability. The message is clear: no matter where you operate, ignoring the most vulnerable stakeholders, including children, is no longer an option.”

 A call-to-action for businesses

As Björstedt noted, the EU legislation provides a blueprint for companies worldwide to embrace transparency and accountability in their operations.

Businesses must recognise that children are not just stakeholders but the foundation of a sustainable future. By integrating children’s rights into their strategies and decision-making, companies can align with global requirements while fostering equity and long-term resilience.

Ultimately, labelling children’s rights as a “woke” issue is reductive and misguided – children’s rights are a universal issue. Businesses that ignore this risk falling behind, not just in regulatory compliance but in building a sustainable and equitable future for all.

In a recent opinion piece, climate platform We Don’t Have Time commented that “the best response is to keep going—to focus on the transformative change already underway and accelerate it.” At Global Child Forum we are continuing to press forward and keep our goal in sight: lasting positive change for the world’s children.

As the EU sets the standard with its sustainability regulations, it becomes evident that safeguarding children’s rights transcends borders—it is not merely a European priority but a universal imperative.

This pivotal moment demands more than reflection; it calls for decisive action. How can businesses rise above polarised debates to become true champions of children’s rights?

It is time to professionalise the impact companies have on children, moving beyond vague visions and mere legal compliance to establish clear targets, actionable strategies, and measurable outcomes.

By embedding these rights at the core of their strategies and ensuring follow-up with real-world effects, companies can drive meaningful change and build a future where every child has the opportunity to thrive, regardless of the challenges of today’s divided world.

*Translation by Global Child Forum