Deloitte asks consultants to US government to remove gender pronouns from emails

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Deloitte US has asked employees working on government contracts to remove gender pronouns from their email signatures and ditched its wider diversity and inclusion programmes, in the latest sign of companies shifting their policies after the election of Donald Trump.

But the Big Four firm’s UK arm signalled on Tuesday it would double down on its diversity policies, splitting from the US firm’s policy direction.

Deloitte’s UK senior partner and chief executive Richard Houston told staff in an internal email seen by the Financial Times that diversity “remains a priority” despite the US firm’s strategy shift, and would stand by its diversity goals and reporting.

The firm’s US network had told consultants who work in its roughly 15,000-strong government and public services practice to remove pronouns indicating their gender from external emails “to align with emerging government client practices and requirements”, according to people familiar with the details.

A separate email sent on Monday and seen by the Financial Times said Deloitte US would also “sunset” its diversity goals, a yearly diversity, equity and inclusion report, and the firm’s DEI “programming”.

Deloitte US is the latest firm to update policies that touch on politically sensitive matters after Accenture scrapped its global diversity goals and demographic-specific career programmes last week, also citing an “evaluation” of the new US political landscape. 

In one of his first acts on returning to the White House last month, Trump directed federal agencies to purge all references to “gender ideology” from their communications. 

The instruction was part of an executive order aimed at “restoring biological truth to the federal government” which stated that it would be US government policy to recognise only two sexes in all official documents and messaging. 

While the order did not direct private companies to take specific action, it mandated that government agencies ensure “federal funds shall not be used to promote gender ideology” and that agencies should take account of “grantee preferences” when entering into contracts. 

The change would require a review of federal contracts to make sure they were “not being given in a manner to promote gender ideology”, an incoming White House official told reporters at the time. 

In last week’s email to its US government consultants, Deloitte provided a new signature template for employees to set up by February 7, according to people who received the message.

In a separate email this week, Deloitte US said it would remove its DEI programmes after “a detailed review of all pertinent government directives to ensure we comply”.

The accounting and consulting firm had previously set out a range of DEI goals it aimed to meet by 2025, including spending $200mn with “Black-led businesses” and increasing the gender balance and ethnic diversity of its US partners, principals and managing directors.

The firm will continue to run some initiatives including heritage month events, internal ethnic networks and “inclusion councils”, the email added, and would keep improving hiring practices to make them “fair and non-discriminatory”.

“Everyone is welcome at Deloitte,” the message said, asking staff to “please take care of each other”.

In the UK, Houston’s memo to staff read: “Events in the external landscape do not change our commitment to building an inclusive culture and helping all our people to reach their full potential.”

He added that the US change “reflects the need to remain fully compliant with federal laws. [US leadership] have also been clear that they remain committed to fostering an inclusive culture and sense of belonging for all.”

Deloitte US confirmed to the FT that the guidance on email signatures had been given to staff in its government and public services practice, but declined to comment on the DEI targets.

“As a US government contractor, we have a long-standing track record of compliance with new governmental requirements,” it added.

Deloitte UK did not immediately respond to a request to comment.

The White House and Office of Management and Budget, which oversees spending by government agencies, did not respond to requests for comment.