US Justice Department Launches Investigation Into DEI Commitments At Google, Verizon, And More Using 1863 Fraud Law – AfroTech
The Justice Department is looking closely into the diversity, equity, and inclusion (DEI) initiatives of major U.S. companies, Reuters reports.
Google and Verizon are among the companies being investigated for their diversity initiatives in hiring and promotions. As AFROTECH™ previously told you, Verizon publicly announced that it planned to remove references to DEI from its website and training materials. Additionally, it claimed it would be removing its internal human resources team focused on diversity policies and would no longer offer bonuses or set goals to increase the representation of women and minority employees.
“We are committed to creating a culture that leverages and values each person’s unique strengths and talents,” Verizon Chief Legal Officer Vandana Venkatesh said in a letter to Federal Communications Commission (FCC) Chairman Brendan Carr on May 15. “However, we recognize that the regulatory and policy landscape surrounding diversity, equity, and inclusion (‘DEI’) has changed.”
Verizon’s letter also coincided with a $20 billion deal to purchase broadband provider Frontier Communications, which was approved by the FCC a day later.
In February, Google also retracted its DEI commitments, removing references to DEI from its report and hiring objectives, per NBC News. The aim was to establish “a workplace where all our employees can succeed and have equal opportunities,” a Google spokesperson said.
Now Google and Verizon are being targeted by the U.S. Justice Department. Requests have reportedly been issued to retrieve documents and information that will shed light on their workplace programs, per Reuters. The investigations are being conducted using the False Claims Act.
Under the federal statute first enacted in 1863, a person who “knowingly submits, or causes to submit, false claims to the government is liable for three times the government’s damages plus a penalty that is linked to inflation,” according to the U.S. Justice Department. At the time of its origin, the False Claims Act was used “in response to defense contractor fraud during the American Civil War.”
Per Reuters, the Justice Department is also targeting automotive, pharmaceutical, defense, and utility sectors.
