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Tag: equity and inclusion

  • Sean ‘Diddy’ Combs says in lawsuit that spirits giant Diageo neglected his vodka and tequila brands

    Sean ‘Diddy’ Combs says in lawsuit that spirits giant Diageo neglected his vodka and tequila brands

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    Rapper and entrepreneur Sean “Diddy” Combs is suing Diageo, saying the company didn’t make promised investments in his vodka and tequila brands and treated them as inferior “urban” products

    ByDEE-ANN DURBIN AP Business Writer

    FILE – Music mogul and entrepreneur Sean “Diddy” Combs arrives at the Billboard Music Awards in Las Vegas on May 15, 2022. Combs is suing Diageo, saying the spirits company didn’t make promised investments in his vodka and tequila brands and treated them as inferior “urban” brands. (Photo by Jordan Strauss/Invision/AP, File)

    The Associated Press

    Rapper, producer and entrepreneur Sean “Diddy” Combs sued Diageo Wednesday, saying the spirits company didn’t make promised investments in his vodka and tequila brands and treated them as inferior “urban” products.

    The lawsuit, filed with the New York Supreme Court in Manhattan, says Diageo North America starved Combs’ Ciroc vodka and DeLeon tequila brands of resources even as it showered attention on other celebrity brands. Diageo bought actor George Clooney’s Casamigos tequila brand for $1 billion in 2017, for example.

    Combs, who is Black, said Diageo leadership told him his race was one of the reasons it limited distribution to urban neighborhoods. He was also told that some Diageo leaders resented him for making too much money, according to the lawsuit.

    “Cloaking itself in the language of diversity and equality is good for Diageo’s business, but it is a lie,” the lawsuit said. “While Diageo may conspicuously include images of its Black partners in advertising materials and press releases, its words only provide the illusion of inclusion.”

    Combs’ relationship with Diageo dates to 2007, when the London-based company — which owns more than 200 brands, including Guinness beer and Tanqueray gin — approached Combs about Ciroc.

    In a statement, Diageo denied allegations of racism.

    “This is a business dispute, and we are saddened that Mr. Combs has chosen to recast this matter as anything other than that,” the company said in a statement. “While we respect Mr. Combs as an artist and entrepreneur, his allegations lack merit, and we are confident the facts will show that he has been treated fairly.”

    In the lawsuit, Combs said he intends to seek billions of dollars in damages in other legal proceedings against Diageo.

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  • Yeezy shoes are back on sale — months after Adidas cut ties with Kanye West

    Yeezy shoes are back on sale — months after Adidas cut ties with Kanye West

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    WASHINGTON — Some of Adidas’ remaining Yeezy shoes are back on sale — months after the German sportswear company cut ties with Ye, the rapper formerly known as Kanye West.

    Adidas ended its yearslong partnership with Ye in late October, in light of his antisemitic remarks and other harmful behavior. In the months that followed, the fate of 1.2 billion euros ($1.3 billion) worth of unsold Yeezys remained unknown — until earlier this month, when Adidas CEO Bjørn Gulden announced the company would be selling a portion of the remaining inventory and donating some of the proceeds to social justice organizations.

    The first batch of Adidas’ remaining Yeezys went on sale Wednesday. At this time, the sneakers appear to be available through Adidas’ app “Confirmed,” according to the retailer’s website. Part of the profits will be donated to organizations including the Anti-Defamation League and the Philonise & Keeta Floyd Institute for Social Change, Adidas says.

    Wednesday’s release marks the first time that Adidas has sold Yeezys since the partnership termination in October. The Yeezy products up for sale will include already-existing designs as well as those that were initiated in 2022 and set to be released in 2023, Adidas previously noted.

    “We believe (selling and donating these Yeezys) is the best solution as it respects the created designs and produced shoes, it works for our people, resolves an inventory problem, and will have a positive impact in our communities,” Gulden said in an May 19 statement.

    At a May 11 annual shareholder meeting, Gulden explained the company made the decision to sell and donate Yeezys after speaking with nongovernmental organizations and groups that were harmed by Ye’s comments and actions.

    Some details of Adidas’ plans are still unclear — including how many Yeezys will eventually go on sale and what portion of sales will be donated. The Associated Press reached out to Adidas for further information on Wednesday.

    Cutting ties with Ye cost Adidas hundreds of millions of dollars — contributing to a loss of 600 million euros ($655 million) in sales for the last three months of 2022, which helped drive the company to a quarterly net loss of 513 million euros.

    Adidas reported 400 million euros ($441 million) in lost sales at the start of 2023, the company announced earlier this month.

    Net sales declined 1% in the first quarter, to 5.27 billion euros, the company said. It reported a net loss of 24 million euros, a plunge from a profit of 310 million euros in the same period a year ago.

    Operating profit, which excludes some items like taxes, was down to 60 million euros from 437 million euros a year earlier.

    Meanwhile, investors also filed a class-action lawsuit against Adidas in late April, alleging the company knew about offensive remarks and harmful behavior from Ye years before terminating its pact with him. Adidas has pushed back on the allegations.

    _________

    AP Business Writer David McHugh in Frankfurt, Germany, and AP Retail Writer Anne D’Innocenzio in New York contributed to this report.

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  • Adidas to start selling stockpile of Yeezy sneakers later this month

    Adidas to start selling stockpile of Yeezy sneakers later this month

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    Adidas says it will begin selling its more than $1 billion worth of unsold Yeezy sneakers later this month

    ByANNE D’INNOCENZIO AP Retail Writer

    FILE – A sign advertises Yeezy shoes made by Adidas at Kickclusive, a sneaker resale store, in Paramus, N.J., on Oct. 25, 2022. Adidas said Friday, May 19, 2023, that it will begin selling its more than $1 billion worth of leftover Yeezy sneakers later this month, with the proceeds to be donated to various anti-racism groups. (AP Photo/Seth Wenig, File)

    The Associated Press

    NEW YORK — Adidas said Friday that it will begin selling its more than $1 billion worth of leftover Yeezy sneakers later this month, with the proceeds to be donated to various anti-racism groups.

    The German sportswear brand said recipients will include the Anti-Defamation League, which fights antisemitism and other forms of discrimination, and the Philonise & Keeta Floyd Institute for Social Change, run by social justice advocate Philonise Floyd, the brother of George Floyd.

    “After careful consideration, we have decided to begin releasing some of the remaining Adidas Yeezy products,” said Adidas CEO Bjorn Gulden in a statement. “Selling and donating was the preferred option among all organizations and stakeholders we spoke to. There is no place in sport or society for hate of any kind and we remain committed to fighting against it.”

    Yeezy products have been unavailable to shoppers since Adidas terminated its partnership with Ye, formerly known as Kanye West, in October 2022 following his antisemitic comments on social media and in interviews.

    The items to be sold include existing designs as well as designs that were in the works in 2022 for sale this year, Adidas said.

    At Adidas’ annual shareholders meeting earlier this month, Gulden said the company had spent months trying to find solutions before deciding against destroying the items and to rather sell them to benefit various charities that were harmed by what Ye said.

    The company said Friday that the move has no immediate impact on the company’s current financial guidance for 2023.

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  • Adidas to start selling stockpile of Yeezy sneakers later this month

    Adidas to start selling stockpile of Yeezy sneakers later this month

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    Adidas will begin selling its more than $1 billion in unsold Yeezy sneakers later this month

    ByANNE D’INNOCENZIO AP Retail Writer

    NEW YORK — Adidas said Friday that it will begin selling its more than $1 billion worth of leftover Yeezy sneakers later this month, with the proceeds to be donated to various anti-racism groups.

    The German sportswear brand said recipients will include the Anti-Defamation League, which fights antisemitism and other forms of discrimination, and the Philonise & Keeta Floyd Institute for Social Change, run by Philonise Floyd, the brother of George Floyd who became a social justice advocate.

    “After careful consideration, we have decided to begin releasing some of the remaining Adidas Yeezy products, “ said Adidas CEO Bjørn Gulden in a statement. ”Selling and donating was the preferred option among all organizations and stakeholders we spoke to. There is no place in sport or society for hate of any kind and we remain committed to fighting against it. “

    Yeezy products have been unavailable to shoppers since Adidas terminated its partnership with Ye, formerly known as Kanye West, in October 2022 following his antisemitic comments on social media and in interviews.

    The items to be sold include existing designs as well as designs that were in the works in 2022 for sale this year, Adidas said.

    At Adidas’ annual shareholders meeting earlier this month, Gulden said the company had spent months trying to find solutions before deciding against destroying the items and to rather sell them to benefit various charities that were harmed by what Ye said.

    The company said Friday that the move has no immediate impact on the company’s current financial guidance for 2023.

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  • Bud Light fumbles, but experts say inclusive ads will stay

    Bud Light fumbles, but experts say inclusive ads will stay

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    Bud Light may have fumbled its attempt to broaden its customer base by partnering with a transgender influencer. But experts say inclusive marketing is simply good business — and it’s here to stay.

    “A few years from now, we will look back on this ‘controversy’ with the same embarrassment that we feel when we look back at ‘controversies’ from the past surrounding things like interracial couples in advertising,” said Sarah Reynolds, the chief marketing officer for the human resources platform HiBob, who identifies as queer.

    On April 1, transgender influencer Dylan Mulvaney posted a video of herself cracking open a Bud Light on her Instagram page. She showed off a can with her face on it that Bud Light sent her — one of many corporate freebies she gets and shares with her millions of followers.

    But unlike the dress from Rent the Runway or the trip to Denmark from skincare brand Ole Henriksen, the backlash to the beer can was fast and furious. Three days after Mulvaney’s post, Kid Rock posted a video of himself shooting cases of Bud Light. Shares of Bud Light’s parent, AB InBev, temporarily plunged.

    This week, Anheuser-Busch — AB InBev’s U.S. subsidiary — confirmed that Alissa Heinerscheid, its vice president of marketing, and her boss, Daniel Blake, are taking a leave of absence. The company won’t say when they will return or whether they’re being paid.

    For some, the partnership went too far at a time when transgender issues — including gender-affirming health care and participation in sports — are a divisive topic in state legislatures.

    “Whether the issue is trans people or anything else, the majority of consumers are pretty vocal about the fact they don’t want brands lecturing them or stuffing politics or social issues down their throat,” said John Frigo, the head of digital marketing for Best Price Nutrition. “If you sell beer, just make beer and leave it at that.”

    But others — including Heinerscheid herself — say reaching out to younger and more diverse consumers is crucial. According to a 2021 Gallup poll, 21% of people in Generation Z identify as lesbian, gay, bisexual or transgender, compared to 3% of Baby Boomers. Gallup has also found that younger consumers are the most likely to want brands to promote diversity and take a stand on social issues.

    “I had a really clear job to do when I took over Bud Light. And it was, this brand is in decline. It’s been in decline for a very long time. And if we do not attract young drinkers to come and drink this brand, there will be no future for Bud Light,” Heinerscheid said last month in an episode of Apple’s “Make Yourself at Home” podcast.

    Bud Light and Mulvaney declined requests to talk to The Associated Press for this story.

    Bud Light has long been America’s best-selling beer. But its U.S. sales are down 2% so far this year, part of a long-running decline as younger consumers flock to sparking seltzers and other drinks, according to Bump Williams Consulting. Those sales declines accelerated rapidly in April. The week ending April 15, Bud Light’s sales dropped 17% compared to the same week a year ago. Meanwhile, rivals Miller Lite and Coors Lite both saw their sales jump more than 17%.

    Marketing experts say it’s possible Bud Light’s experience will cause other brands to rethink using transgender people in their advertising. Joanna Schwartz, a professor at Georgia College and State University who teaches a course on LGBTQ+ marketing, said companies will still want to reach transgender consumers and their supporters, but might shift to social media and more targeted ads.

    “They’re walking an extremely fine line. They want to appeal to everyone, but that includes people who don’t like each other,” Schwartz said of Bud Light.

    Still, Schwartz said, there are plenty of brands that have successfully featured transgender or non-binary people in their marketing. In 2016, Secret deodorant ran an ad featuring a transgender woman in a bathroom stall, debating whether to walk out and face other women at the sink. Pantene shampoo has run ads and short films supporting transgender people in 2021 as part of its Hair Has No Gender project. And Coca-Cola’s 2018 Super Bowl ad featured young people using different pronouns to describe themselves.

    Thomas Murphy, an associate professor of branding at Clark University, said he tells brands that want to be inclusive to run ads with real people who can talk about the company’s efforts.

    “They can have employees who say, ‘I love Bud Light. I have worked here for 20 years, there are inclusive programs and I came here because I wanted a company that would embrace me,’” he said. “Who couldn’t see and hear that person and say, ‘What a great company’?”

    Instead, Bud Light wound up alienating even transgender customers because it didn’t support Mulvaney after the boycott calls began, Schwartz said. Anheuser-Busch CEO Brendan Whitworth issued a statement on April 14 but it didn’t specifically mention the controversy.

    “We never intended to be part of a discussion that divides people,” Whitworth said.

    By comparison, Nike — which also faced some boycott threats after sending workout clothes to Mulvaney — supported the transgender community in an Instagram post, encouraging followers to be kind and inclusive. Nike didn’t respond to requests for comment.

    Manveer Mann, an associate professor of marketing at the Feliciano School of Business at Montclair State University, said Bud Light should have anticipated the backlash and had a plan in place to handle it.

    Nike learned that lesson in 2018, when it featured football player Colin Kaepernick — who had protested police brutality by kneeling during the national anthem — in its ads. Mann said Nike briefly faced boycott threats, but it stood by Kaepernick and its sales quickly recovered.

    Mann thinks Bud Light’s sales will ultimately recover, too. But in the meantime, it’s alienating everyone, she said.

    “The communication from Bud Light is not clear. Is this coming from your value set or are these things just trending?” Mann said. “You have to know what your values are and what are the values of the customers you are trying to reach.”

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  • Bud Light fumbles, but experts say inclusive ads will stay

    Bud Light fumbles, but experts say inclusive ads will stay

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    Bud Light may have fumbled its attempt to broaden its customer base by partnering with a transgender influencer. But experts say inclusive marketing is simply good business — and it’s here to stay.

    “A few years from now, we will look back on this ‘controversy’ with the same embarrassment that we feel when we look back at ‘controversies’ from the past surrounding things like interracial couples in advertising,” said Sarah Reynolds, the chief marketing officer for the human resources platform HiBob, who identifies as queer.

    On April 1, transgender influencer Dylan Mulvaney posted a video of herself cracking open a Bud Light on her Instagram page. She showed off a can with her face on it that Bud Light sent her — one of many corporate freebies she gets and shares with her millions of followers.

    But unlike the dress from Rent the Runway or the trip to Denmark from skincare brand Ole Henriksen, the backlash to the beer can was fast and furious. Three days after Mulvaney’s post, Kid Rock posted a video of himself shooting cases of Bud Light. Shares of Bud Light’s parent, AB InBev, temporarily plunged.

    This week, Anheuser-Busch — AB InBev’s U.S. subsidiary — confirmed that Alissa Heinerscheid, its vice president of marketing, and her boss, Daniel Blake, are taking a leave of absence. The company won’t say when they will return or whether they’re being paid.

    For some, the partnership went too far at a time when transgender issues — including gender-affirming health care and participation in sports — are a divisive topic in state legislatures.

    “Whether the issue is trans people or anything else, the majority of consumers are pretty vocal about the fact they don’t want brands lecturing them or stuffing politics or social issues down their throat,” said John Frigo, the head of digital marketing for Best Price Nutrition. “If you sell beer, just make beer and leave it at that.”

    But others — including Heinerscheid herself — say reaching out to younger and more diverse consumers is crucial. According to a 2021 Gallup poll, 21% of people in Generation Z identify as lesbian, gay, bisexual or transgender, compared to 3% of Baby Boomers. Gallup has also found that younger consumers are the most likely to want brands to promote diversity and take a stand on social issues.

    “I had a really clear job to do when I took over Bud Light. And it was, this brand is in decline. It’s been in decline for a very long time. And if we do not attract young drinkers to come and drink this brand, there will be no future for Bud Light,” Heinerscheid said last month in an episode of Apple’s “Make Yourself at Home” podcast.

    Bud Light and Mulvaney declined requests to talk to The Associated Press for this story.

    Bud Light has long been America’s best-selling beer. But its U.S. sales are down 2% so far this year, part of a long-running decline as younger consumers flock to sparking seltzers and other drinks, according to Bump Williams Consulting. Those sales declines accelerated rapidly in April. The week ending April 15, Bud Light’s sales dropped 17% compared to the same week a year ago. Meanwhile, rivals Miller Lite and Coors Lite both saw their sales jump more than 17%.

    Marketing experts say it’s possible Bud Light’s experience will cause other brands to rethink using transgender people in their advertising. Joanna Schwartz, a professor at Georgia College and State University who teaches a course on LGBTQ+ marketing, said companies will still want to reach transgender consumers and their supporters, but might shift to social media and more targeted ads.

    “They’re walking an extremely fine line. They want to appeal to everyone, but that includes people who don’t like each other,” Schwartz said of Bud Light.

    Still, Schwartz said, there are plenty of brands that have successfully featured transgender or non-binary people in their marketing. In 2016, Secret deodorant ran an ad featuring a transgender woman in a bathroom stall, debating whether to walk out and face other women at the sink. Pantene shampoo has run ads and short films supporting transgender people in 2021 as part of its Hair Has No Gender project. And Coca-Cola’s 2018 Super Bowl ad featured young people using different pronouns to describe themselves.

    Thomas Murphy, an associate professor of branding at Clark University, said he tells brands that want to be inclusive to run ads with real people who can talk about the company’s efforts.

    “They can have employees who say, ‘I love Bud Light. I have worked here for 20 years, there are inclusive programs and I came here because I wanted a company that would embrace me,’” he said. “Who couldn’t see and hear that person and say, ‘What a great company’?”

    Instead, Bud Light wound up alienating even transgender customers because it didn’t support Mulvaney after the boycott calls began, Schwartz said. Anheuser-Busch CEO Brendan Whitworth issued a statement on April 14 but it didn’t specifically mention the controversy.

    “We never intended to be part of a discussion that divides people,” Whitworth said.

    By comparison, Nike — which also faced some boycott threats after sending workout clothes to Mulvaney — supported the transgender community in an Instagram post, encouraging followers to be kind and inclusive. Nike didn’t respond to requests for comment.

    Manveer Mann, an associate professor of marketing at the Feliciano School of Business at Montclair State University, said Bud Light should have anticipated the backlash and had a plan in place to handle it.

    Nike learned that lesson in 2018, when it featured football player Colin Kaepernick — who had protested police brutality by kneeling during the national anthem — in its ads. Mann said Nike briefly faced boycott threats, but it stood by Kaepernick and its sales quickly recovered.

    Mann thinks Bud Light’s sales will ultimately recover, too. But in the meantime, it’s alienating everyone, she said.

    “The communication from Bud Light is not clear. Is this coming from your value set or are these things just trending?” Mann said. “You have to know what your values are and what are the values of the customers you are trying to reach.”

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  • Alabama and Mississippi mark Confederate Memorial Day

    Alabama and Mississippi mark Confederate Memorial Day

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    MONTGOMERY, Ala. — Alabama and Mississippi closed most government offices Monday for Confederate Memorial Day as efforts have stalled to abolish state holidays that honor the old Confederacy.

    Legislation has been introduced in the ongoing Alabama legislative session to remove, alter or rename Confederate-related holidays, but the effort has so far gained little traction.

    Camille Bennett, the founder of Project Say Something, an organization that has worked for the removal of Confederate monuments in Alabama, said the determination to keep Confederate holidays comes at the same time Alabama lawmakers push legislation banning so called “ divisive concepts” from being taught in state classrooms and diversity training for state workers.

    “On one side, you have white conservative men defining what divisive is and what it means. … At the same time, you are honoring the Confederacy, which in itself is a divisive concept. It’s really hypocritical, quite tone deaf,” Bennett said.

    An Alabama Senate committee last week rejected a proposal to separate the joint state holiday celebrating Confederate Gen. Robert E. Lee and slain civil rights leader the Rev. Martin Luther King Jr. on the same day.

    “We’re trying to separate the holidays of two men whose ideologies were totally separate, from one end of the totem pole to the other. One believed in justice and fairness for all, and another believed in slavery,” state Sen. Vivian Davis Figures said.

    Figures’ bill would have kept Lee’s holiday but moved it to Columbus Day in October. “Whoever wants to honor either man will have their own day,” she said.

    The vote split along racial lines, Figures said at the end of the meeting, with white Republicans voting against it and Black Democrats voting for it.

    Several Southern states have ended or renamed Confederate holidays. Louisiana in 2022 removed Robert E. Lee Day and Confederate Memorial Day from the list of state holidays. Georgia in 2015 renamed Confederate Memorial Day to “State Holiday.” Arkansas in 2017 ended the practice of commemorating Lee and King on the same day.

    Mississippi Public Broadcasting on Monday had historians read Mississippi’s secession declaration, which makes clear that slavery was the central issue.

    Mary Jane Meadows, a member of the north Mississippi chapter of the Indivisible advocacy group, told Mississippi Public Broadcasting that the group protested Confederate Memorial Day last year and planned to do the same for 2023.

    “That means that 25,000 or more state employees have a day off with pay courtesy of the Mississippi taxpayers, 39% of whom are Black persons who are voters and taxpayers,” Meadows said.

    Some government offices in Mississippi remained open Monday, including courts in majority-Black Hinds County.

    Bennett said she believes the continued recognition of Confederate holidays “speaks to the blatant disregard of the humanity of Black Alabamians.”

    “We experienced a Holocaust, right. We experienced our families being ripped apart, and there is a celebration saying, ‘We wish things could have stayed the same,’ ” Bennett said.

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  • Guard who was fired over anti-Muslim meme is reinstated

    Guard who was fired over anti-Muslim meme is reinstated

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    HARTFORD, Conn. — A Connecticut prison guard who was fired in 2021, several years after posting what was determined by the state to be an anti-Muslim meme on Facebook, has been reinstated to his job.

    An arbitrator ruled in February that Anthony Marlak’s termination was an excessive response by the state Department of Correction and reduced the punishment to a 25-day suspension.

    Marlak, who served as a correctional officer for 14 years, returned to his job at the Garner Correctional Institution in March, he told The Associated Press on Thursday.

    The Connecticut Chapter of the Council on American Islamic Relations had called for the firing of Marlak two years ago citing a meme he posted on Facebook in 2017, which it said depicted five apparently Muslim men hanging from nooses with the caption, “Islamic Wind Chimes.”

    Marlak, an Air Force veteran, has acknowledged that he posted the meme, but said the caption on his post read “ISIS Wind Chimes” and was meant to target the extremist group and not Muslims in general.

    The picture used in the meme actually showed five men being executed in Iran in 2010 for being homosexual, Marlak’s attorneys have said.

    In his termination letter, the state told Marlak that, “The type of speech posted threatens the safety of staff and inmates who are Muslim.”

    “I honestly love the Muslim religion,” Marlak said Thursday. “I think it’s a very beautiful religion. I was welcomed back by our prison’s imam, who is a great man and asked me how I was doing.”

    The Council on American Islamic Relations did not immediately return a message seeking comment.

    In seeking reinstatement, the union argued, in part that the post had been made on a private Facebook page and the termination violated Marlak’s right to free speech.

    Arbitrator Michael Ricci ruled the state had not proven the post, on a since deleted account, referred to the Islamic religion, but disagreed that Marlak could not be disciplined for speech posted on Facebook.

    “This right is not an absolute and must be balanced with the employer’s ability to run an efficient and effective entity,” he wrote. “The record does not substantiate that a termination will best serve the rights of the employee and the needs of the employer; however, a suspension of substance will hopefully rectify the issue and satisfy the aim of discipline in labor law to fix and not punish.”

    He also ruled that Marlak must be compensated for lost pay and benefits.

    “On a personal level the arbitrator finds the ISIS image severe, caustic and inflammatory but fairness dictates that the ruling be devoid of personal biases and the ruling must be based on reasonableness, fairness and fact,” he wrote.

    The Department of Correction declined to comment on the case, citing its policy “not to comment on issues pertaining to individuals who have pending litigation against the agency.”

    Marlak has a federal employment discrimination lawsuit pending against the state, but declined to comment on the status of that case or how much money he is seeking, noting he was able to keep his seniority.

    “I’m just going to say it was an unfortunate experience,” he said. “Things are starting to come back to normal and I’m really happy now.”

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  • Brazil has a new biggest favela, and not in Rio de Janeiro

    Brazil has a new biggest favela, and not in Rio de Janeiro

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    SOL NASCENTE, Brazil — The buzzing main avenue of this poor Brazilian neighborhood is filled with people popping off buses after work or grabbing a bite. Teens attend an open-air rap battle and gymnastics class. Hymns and prayers from tiny church services spill into the night.

    It’s an ordinary Wednesday in Brazil’s biggest favela, or low-income neighborhood. And for the first time since poverty, lack of opportunity and economic inequality caused favelas to mushroom across many of the nation’s cities, that superlative doesn’t belong to a favela in Rio de Janeiro.

    Sol Nascente (Rising Sun, in English) is just 21 miles (34 kilometers) from capital Brasilia in the Federal District, whose GDP per capita is by far higher than any Brazilian state, underscoring the inequality between affluent public servants’ neighborhoods and the district’s outskirts.

    The number of households in Sol Nascente has swelled 31% since 2010 to more than 32,000, surpassing Rio’s hillside Rocinha favela that had been Brazil’s most populous, according to preliminary data from the ongoing census. Rocinha has almost 31,000 households, the data show.

    Along Sol Nascente’s unpaved dirt roads of self-built homes and inside the main strip’s busy stores and restaurants, no one The Associated Press spoke welcomed the new ranking,

    “We still need lots of things, like basic sanitation and infrastructure, but people nowadays have better conditions. Some even have a car,” said street vendor Francisca Célia, 43.

    Célia added that, despite its challenges, Sol Nascente isn’t nearly as disorganized nor dangerous as the favelas she saw when visiting Rio three years ago. Plus, available plots of land are much bigger.

    “It’s a paradise here,” she said.

    The growth of Sol Nascente’s population reflects new arrivals searching for cheap or unoccupied land to build homes, whereas elsewhere in the Federal District poor people often pay relatively high rents. It also mirrors the surge of people living in working-class neighborhoods nationwide, driven by a generalized housing crisis caused by deep recession and higher rent prices, the effects of which were compounded by the COVID-19 pandemic, according to Marcelo Neri, an economist and social researcher at the Getulio Vargas Foundation, a university and think tank.

    The number of people living in areas the national statistics institute classifies as “subnormal agglomerates” jumped 40% to 16 million people since the 2010 census, according to the institute’s preliminary data, reviewed by the AP. Brazil’s population as a whole grew less than 9% in that period.

    Subnormal agglomerates include not just favelas, but also other terms used in Brazil to describe urban areas with irregular occupation and deficient public services. Residents of Sol Nascente acknowledge that it once was a favela, but told the AP that many areas of the community have outgrown that term.

    The statistics institute ceases to consider communities subnormal agglomerates once most residents gain legal title to their properties or all essential services are available, according to the institute’s geography coordinator, Cayo Franco.

    Favelas grow as settlers move onto unoccupied public and private land, whether on steep hillsides or flatland, like Sol Nascente.

    Sol Nascente still has poor public transport and unpaved, impassable roads, which flood frequently during the months of summer rains. Only some residents have obtained legal title, and services aren’t universally accessible.

    “I pay electricity, water, taxes, but there’s no sewage nor asphalt here in front,” said Débora Alencar, 39, who moved to Sol Nascente 15 years ago after finding the opportunity to buy land and build a house.

    “This is where I gained dignity,” she added.

    Alencar runs a collective that receives food, clothing and school materials for the needy. It also provides vocational training for manicurists and make-up artists, as well as dance and theater classes.

    She has also been a community representative since 2019, negotiating with the Federal District’s government for investments. She said she has secured some improvements, but not enough.

    A common characteristic among favelas is that the stigma lingers even after residents obtain titles and services, according to Theresa Williamson, executive director of non-profit Catalytic Communities, a Rio-based non-profit that studies favelas.

    That sentiment is familiar to Nayara Miguel, a housewife with two kids in a tidy area of Sol Nascente that now has electricity and water, and where the local government recently paved streets and installed public lighting. The federal government’s cities ministry has earmarked funds for a housing project there.

    “For me, this isn’t a favela; it’s a city,” said Miguel, 30. “Of course, it’s lacking a lot: I couldn’t get a spot in daycare for my daughter, so I can’t work; we can get to the hospital, but there’s no doctor there to attend to us.”

    Neighboring areas still feature shacks. Bruno Ferreira and his wife have been carving out a life in a destitute area of Sol Nascente for the last seven years. They found a place where, with their own hands, they could build a one-bedroom home to call their own and escape the rent trap.

    Ferreira, 39, works odd jobs and his wife has a formal, full-time job at a lunch counter. They are raising five children, with a sixth on the way, and saving to put in tile atop their home’s earthen floor.

    Neither desires to leave.

    “It’s very good here,” he said. “It’s just lacking infrastructure to be beautiful and legal.”

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  • Montana senator wants to block mandatory diversity training

    Montana senator wants to block mandatory diversity training

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    HELENA, Mont. — A Republican lawmaker in Montana wants to prohibit mandatory diversity training for state employees with a bill whose language matches a Florida law that is temporarily blocked by the courts.

    The proposed “Montana Individual Freedom Act,” would prohibit diversity, equity and inclusion training as a condition of state employment if the training is aimed at having the employee believe that a group of people are responsible for “and must feel guilt, anguish, or other forms of psychological distress,” for historical injustices.

    A House committee heard testimony Monday after the Senate passed the bill on party lines.

    “I find it interesting and confusing that we’re trying to legislate emotional responses,” the executive director of the Montana Human Rights Network, Angelina Gonzalez-Aller, said Monday when she testified in opposition to the bill before a House committee.

    “I have no doubts that this is little more than a censorship attempt rooted in a coordinated national effort to roll back progress on racial and social justice,” Gonzalez-Aller had said last month when the bill was heard by a Senate committee.

    The sponsor, state Sen. Jeremy Trebas, said that nationally, diversity training is getting too political. He did not suggest that what he considered politically slanted training was taking place in Montana, but that his bill seeks to preempt it.

    “I think we need to work on definitions, then talk about what’s appropriate to train and to whom we should be training on these topics,” Trebas said.

    The House committee has not yet voted on it.

    “This bill is a gross mischaracterization of what is conventionally called DEI, or diversity equity and inclusion workshops,” said Chris Young-Greer with the Montana Racial Equity Project.

    “We focus on lifting up what all of us bring to the table with regard to our very different and important backgrounds,” she said Monday. “Diversity is no more than acknowledging differences. Equity means that we all get what we need to be successful. And inclusion means that each of us, no matter our differences, are included, welcomed and accepted.”

    Opponents argued the bill’s language is word-for-word in some places like Florida’s challenged Stop WOKE Act passed in 2022.

    Trebas’ original bill was amended to make it clear the discussion of critical race theory as part of academic instruction was allowed — eliminating one of the reasons Florida’s law was blocked. Critical race theory is a way of looking at American history through the lens of race.

    Montana’s administrative rules require the Department of Administration to ensure all new employees receive diversity and inclusion, equal opportunity and harassment prevention training within 90 days of being hired. Employees must participate in refresher training every three years.

    Attorney Don Harris said the department supports the bill.

    The attempt to regulate diversity training appears to have its roots in executive orders issued by then-President Donald Trump in September 2020, after a summer of protests over racial injustice in policing.

    The first order banned taxpayer dollars from being spent on diversity training for federal employees if the training implies that anyone is racist or sexist based on their race, sex and/or national origin. He later expanded the prohibition to training for the military, government contractors and other federal grantees.

    Opponents argued the order prevented workplaces from addressing the concepts of white privilege, systemic racism and unconscious bias.

    Trump’s order cited examples of such training, including a presentation by the Smithsonian Institute’s National Museum of African American History & Culture that said, in part: “If you identify as white, acknowledging your white racial identity and its privileges is a crucial step to help end racism. Facing your whiteness is hard and can result in feelings of guilt, sadness, confusion, defensiveness, or fear.”

    President Joe Biden revoked Trump’s second executive order on his first full day in office. The U.S. Department of Labor had already suspended the order as it related to federal employees after a federal court in California granted a preliminary injunction against the order.

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  • MacDowell artist retreat org taps Chiwoniso Kaitano to lead

    MacDowell artist retreat org taps Chiwoniso Kaitano to lead

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    NEW YORK — MacDowell, one of the oldest artist residency programs in the U.S., has tapped Chiwoniso Kaitano as its new executive director, the organization announced Friday.

    Kaitano joins MacDowell with a mandate to “intensify outreach to traditionally underrepresented artistic voices,” among other charges, a release said.

    “Our search was rigorous, all our finalists compelling. But Chi’s expertise, energetic and collaborative methods of engagement, and inspiring leadership qualities proved irresistible,” author Nell Painter, the chair of MacDowell’s board, said in the statement.

    Kaitano is the former executive director of Girl Be Heard, a nongovernmental organization that uses theater and the performing arts to advocate for social change. Originally from Zimbabwe, she also serves on the boards of several arts organizations.

    The prestigious MacDowell retreat is based in Peterborough, New Hampshire, where David Macy serves as resident director. Kaitano will work from the organization’s New York office when she joins in mid-March. She will take over from transitional leader Philip Himberg.

    In the wake of the 2020 protests spurred by the police killing of George Floyd, MacDowell shed “Colony” from its name in response to feedback from fellows and artistic communities.

    “In the language we speak today, colony is a word tied to occupation and oppression,” Painter told The Associated Press at the time. A statement from the organization said the name change was “in keeping with the organization’s longstanding commitment to eliminate financial, geographic, cultural and accessibility barriers to participation.”

    Friday’s statement referenced the shift in announcing Kaitano’s appointment.

    “This change in MacDowell’s leadership follows an intense period of inquiry and innovation throughout the pandemic and recent social justice movements,” said board president Andrew M. Senchak. “During which time, MacDowell dropped ‘Colony’ from its name and the staff and board worked with external consultants to examine our values and our governance, to strengthen and democratize our policies, procedures, and program.”

    The retreat was founded in 1907 by composer Edward MacDowell and the musician and philanthropist Marian MacDowell and has played host to more than 8,800 fellows across seven disciplines: writing, architecture, composition, film, theater, visual art, and interdisciplinary art.

    “I look forward to working with the board and staff to sustain and grow funding and to build upon the extraordinary vision for artist support that Edward and Marian MacDowell articulated when they welcomed the first artists-in-residence,” Kaitano said in the statement. “Imagining and joyfully meeting the ever-evolving needs of contemporary artists is how MacDowell can and will continue to be a pioneering champion for the value of the arts in our society.”

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  • US Rep. Cicilline to step down, lead nonprofit foundation

    US Rep. Cicilline to step down, lead nonprofit foundation

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    Rhode Island congressman David Cicilline said Tuesday he will step down this summer to lead his home state’s largest funder of nonprofits.

    The Democrat, who is a member of the House Foreign Affairs Committee and the House Committee on the Judiciary, was named president and CEO of the Rhode Island Foundation, effective June. 1.

    “Serving the people of Rhode Island’s First Congressional District has been the honor of my lifetime,” said Cicilline, who is serving his seventh term. “As President and CEO of one of the largest and oldest community foundations in the nation, I look forward to expanding on the work I have led for nearly thirty years in helping to improve the lives of all Rhode Islanders.”

    Cicilline, 61, said the opportunity to lead the foundation was unexpected, but gives him the opportunity to “have an even more direct and meaningful impact on the lives of residents of our state.”

    The Rhode Island Foundation, founded in 1916, focuses on supporting economic security, affordable health care, as well as education and job training. It raised $98 million in 2021 and awarded $76 million in grants, according to its website.

    Cicilline takes over for Neil Steinberg, who will continue as president and CEO until Cicilline starts. The congressman has “the experience, the skills, the passion, and the network to ably lead the Foundation,” Steinberg said.

    Cicilline was selected after a national search.

    “Congressman Cicilline’s career-long fight for equity and equality at the local, national and international level, and his deep relationships within Rhode Island’s communities of color are two of the many factors that led us to this decision,” said Dr. G. Alan Kurose, chair of the foundation’s board of directors, said in a statement.

    Cicilline has represented Rhode Island in the U.S. House since 2011.

    The news of his retirement comes months after he withdrew his bid for a leadership post in the House this Congress. Cicilline, who is openly gay, had challenged Rep. James Clyburn of South Carolina for the Democrat’s assistant role, arguing that it was time the party’s leadership table included LGBTQ voices.

    But Clyburn, the highest-ranking Black American in Congress, received unanimous support from the caucus in closed-door elections in December to stay in leadership.

    The challenge to Clyburn was a surprise, but Cicilline said at the time that he felt the need to act to ensure the Democratic leadership “fully reflect the diversity” of the caucus and of the country.

    During his tenure he was a frequent critic of big tech and the amount of power the nation’s tech companies held. He was a House impeachment manager during former President Donald Trump’s second impeachment trial, and a lead sponsor of the legislation that gave federal recognition to same-sex marriages.

    Cicilline previously served as mayor of Providence from 2003 to 2011, and in the state legislature from 1995 until 2003. He has degrees from Brown University and Georgetown University Law Center.

    Rhode Island’s other longtime Democratic representative, Jim Langevin, served his last day in office earlier this year after announcing in January 2022 that he would not seek reelection to the seat he has held since 2001. He was replaced by another Democrat, Seth Magaziner.

    Under state law, Rhode Island’s governor can set a date for a special election to find Cicilline’s successor.

    ___

    Associated Press writer Farnoush Amiri in Washington, D.C. contributed to this story.

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  • New data: MacKenzie Scott gifts prioritize The South

    New data: MacKenzie Scott gifts prioritize The South

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    MacKenzie Scott is dedicating an unusually large share of her giving to nonprofits in the South — a region that megaphilanthropy and particularly tech donors have long been criticized for ignoring.

    The maverick philanthropist has earmarked at least $3.1 billion for organizations in southern states since 2020 — nearly a third of the $10.6 billion in gifts disclosed on her new Yield Giving website. Her two largest donations in the region went to Prairie View A&M University in Texas and Enterprise Community Partners, a national organization focused on housing and racial equity. Both received $50 million. Altogether, she’s made 479 donations in the region.

    Scott’s focus on the South is just one of the early findings from the data posted on Yield Giving. Altogether, she has made 1,604 gifts that total $14 billion. The website lists the recipients for all the donations, including amounts for 1,153. A full report of those outstanding donation amounts has been delayed, the site says, to benefit the recipient groups.

    With each donation, the website notes one or more of 53 “focus areas” for the nonprofit. Because her contributions are unrestricted, the organization can use the money for operations or any area of its mission work.

    For instance, Scott lists a $10 million gift to Goodwill Industries of Middle Tennessee as addressing economic development but also financial inclusion, workforce development, vocational education, and youth development.

    As a result, the data provides a sense of Scott’s giving priorities, though not a precise accounting. The philanthropist has earmarked the most cash from her reported donations to education, with $8.9 billion going to groups with a focus on K-12, post-secondary, vocational, or some other form of learning institution. Health care groups have received $8.4 billion. (Donations may be designated for multiple focus areas; gifts to address education may also be counted as targeting health or other topics.)

    Outspoken on racial and gender issues, Scott made $7.5 billion in gifts to groups that focus on equity and justice.

    Other takeaways from the data:

    — The vast majority of her disclosed giving — $8.9 billion — went to domestic issues. Globally focused groups received a little more than $1 billion.

    — Co-Impact, a collaborative of big philanthropists trying to improve the health and well-being of people globally, received the largest reported gift, $75 million. The next largest were: GiveDirectly ($60 million), the Hispanic Scholarship Fund, Prairie View, and Enterprise Community Partners ($50 million each).

    — Affiliates of large federated organizations collectively saw gifts of hundreds of millions, including United Ways, which received at least $625 million. Earlier this year, Habitat for Humanity announced $436 million in gifts from Scott to its network of groups

    — Her smallest gifts ($300,000) went to Junior Achievement of New Mexico, the Caribe Girl Scouts Council in Puerto Rico, and Junior Achievement of West Kentucky.

    • The average gift size was $9.2 million.

    ————

    This article was provided to The Associated Press by the Chronicle of Philanthropy. Drew Lindsay is a senior writer at the Chronicle. Email: drew.lindsay@philanthropy.com. The AP and the Chronicle receive support from the Lilly Endowment for coverage of philanthropy and nonprofits. The AP and the Chronicle are solely responsible for all content. For all of AP’s philanthropy coverage, visit https://apnews.com/hub/philanthropy.

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  • Sallie Krawcheck: ‘Women are in worse financial shape today than they were in the depths of the pandemic’

    Sallie Krawcheck: ‘Women are in worse financial shape today than they were in the depths of the pandemic’

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    This summer I was at a gathering in the weeks after the Supreme Court decision striking down Roe v Wade. A senior executive from one of the country’s largest corporations was asked about his company’s reproductive rights benefits. As is befitting of his company’s size and stature, he sketched out, with some pride, its top-of-the-line health care benefits. He went on to describe how pleased–and relieved–his senior leadership team was when they confirmed that their health insurance already covered travel for medical procedures. This means that it covers travel from states that restrict reproductive rights to those that provide abortions.

    He was pleased because the travel provisions were in place, yes. He was also pleased because it meant his company did not have to take any action in those immediately post-Roe days. Instead of having to “make a statement,” they could keep their proverbial corporate head down and not risk “becoming part of the story.”

    Crisis averted. Sigh of relief.

    Except maybe not. Because sometimes remaining silent is not a bullet dodged, but rather a cost postponed.

    And the cost, in this case, can be many of the women who work for–or buy from, or invest in–your company.

    Women cannot afford to stay where they do not have support

    Ellevest recently introduced its proprietary Ellevest Women’s Financial Health Index. The index is the first-of-its-kind, quantitative measure of the financial health of women in the U.S. It includes inputs like the gender pay gap, the availability of paid family leave, inflation, and women’s representation in government and corporate leadership. Also included is a measure of reproductive rights, given that they have a fundamental financial impact on women and their families.

    This year, the index has been declining rapidly, in part due to restrictions on reproductive rights for women, as well as the increase in inflation and the tanking of consumer confidence, indicating that the financial health of women in the U.S. has also been heading south. In fact, by the index’s measure, women are in worse financial shape today than they were in the depths of the pandemic.

    We also shared the results of our second annual Ellevest Financial Wellness Survey. It is perhaps not surprising that this survey showed that more than half of women–and more than 60% of millennial and Gen Z women–said that the overturning of Roe v. Wade has had a significant impact on their mental health.

    But make no mistake: They are also making the connection to their pocketbooks. Millennial women rank the restriction of reproductive rights as one of their top five financial worries. For Gen Z women, it featured in second place behind inflation–interestingly, though perhaps not surprisingly, a tie with climate change. And lest you write this off as youthful “wokeness,” climate change was a top-five financial worry for women across all age demographics.

    There are three main takeaways for corporate executives:

    Silence can cost you women employees

    Women report that they want to work at companies whose values align with theirs: Some 44% of women say they would look to leave an employer whose views on reproductive rights do not align with their own. That also goes for 56% of millennial women, 53% of Latinas, and 45% of Black women.

    So how are women reacting to this rapidly shifting landscape? Well, they’re sending their resumes out. That’s right: A full 55% are looking for a new job. And 38% report that they are saving money so they can leave their job.

    This could hurt.

    Silence can also cost you women customers

    But the economic cost of your company’s silence may not stop there. It can hit the revenue line: 59% of women–and two-thirds of younger women–say it’s important for them to invest and spend with companies that stand for reproductive rights. In other words, they may in fact want you to “become part of the story.”

    That could hurt even more.

    Companies are focusing on men’s top financial priority

    A final insight for corporate leaders, from the survey: The Ellevest survey revealed that men’s top financial priority is growing their retirement savings. Fair enough. And here your corporate benefit plans–with their heavy emphasis on 401(k)s–tend to be on target.

    Women’s top financial priority? “Supporting my family.” And understandably so, given that our society expects women to shoulder a disproportionate share of the family care responsibilities. This feels particularly acute, coming out of a pandemic in which women were the social safety net, and given ongoing economic uncertainty.

    Corporate benefits plans are supposed to help… well, not so much. Only 5% of the country’s lowest paid workers, most of whom are women of color, had access to paid parental leave in 2020. And even among the nation’s top 10% of earners, it’s only 36%. Not to mention flexible work policies, child, and family care support, and so on. It’s another version of silence on an issue that matters to every woman–in this case, her primary financial priority.

    So, corporate executives: Just as your women employees and customers may misinterpret your silence, don’t let her current silence lull you.

    Sallie Krawcheck is the CEO and co-founder of Ellevest, the wealthtech company built by women, for women. Previously, she led Merrill Lynch, Smith Barney, and Citi Private as CEO and was CFO of Citi.

    The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of Fortune.

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  • A Global Diversity and Inclusion Cohort for Professionals is Set to Launch

    A Global Diversity and Inclusion Cohort for Professionals is Set to Launch

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    Press Release


    Mar 21, 2022

    Lighthouse Accelerator Executive Program will launch its inaugural Equity and Inclusion Executive Coaching Program in April of 2022. With a successful pilot program ending in December of 2021, 13 emerging and executive-level professionals joined virtually as guest speakers provided alignment and programming with fellow Diversity, Equity, and Inclusion (DEI) professionals from around the world. 

    The Pilot program was broken into two tracks for DEI practitioners as they took a collaborative approach through information-sharing and simulations to understand best practices that reinforced the advantages of inclusion and equity, and guided the participants through the creation of a DEI action plan to incorporate into the DNA of their company. The Emerging track was created for those practitioners just starting out in the field and looking to understand the fundamentals of becoming a DEI practitioner. The Executive-Level track had top-level leaders seeking a collaborative, safe space to discuss real scenarios impacting their organizations and companies. 

    “The DEI sector is evolving at a rapid speed, especially following the murder of George Floyd in May of 2020. We’ve seen a significant increase in Chief Diversity Officer positions and people seeking to become DEI practitioners recently,” says Nikki Pardo, the company’s founder. “With over 16 years of DEI expertise, I founded the E&IC to create a safe space where members can meet without their knowledge or experience being called into question. Running pilots for both tracks last year was the best move I ever made because the feedback and testimonials from the participants far exceeded my expectations. Several collaborations were forged, relationships evolved, and the opportunity to dissect real-time business case scenarios was priceless.” 

    Pilot Participant Justin M. Williams, Chief Diversity, Equity and Inclusion Officer, Girl Scouts of SE Michigan, adds, “For the first time in a long time, I felt seen as a whole person doing this incredibly daunting yet rewarding work – while still building professional connections, developing professional skills and learning strategies they can apply in their professional lives to advance equity work across sectors. The business of DEI needs more spaces like these, where the priority is learning and building via a community of like-minded professionals where you can feel comfortable issue-spotting and getting real-world strategies from peers. This group changed my perspective on the work and for that I am eternally grateful!”

    Participants can anticipate collectively identifying and overcoming hurdles through an exchange of candid views and insight, study industry trends, and develop useful skills and tools using an evidence-based approach. Participants will also deconstruct actual scenarios through collaboration, build on the concepts and acquire strategic planning alignment from the prior session, and receive executive coaching within an intimate and judgment-free cohort with the help of industry professionals. Each participant will make important connections and form strong relationships in a collaborative environment that extends beyond the scheduled session, create an action plan, and leave with a business case for diversity and inclusion within their firm. 

    To apply for the cohort launch, you must be a member of The Equity and Inclusion Coalition. Visit www.eicoalition.org/dashboar  to find the application form in the Member Dashboard. Workshops, interactive forums, webinars, executive coaching services, certification suggestions, and The Lighthouse Accelerator are all available to members.

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    Source: The Equity and Inclusion Coalition

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