Court Upholds Trump Ban on DEI in Federal Programs

A federal appeals court has upheld Trump-era rules banning DEI programs, rejecting a challenge from civil rights groups and affirming federal powers.

A federal appeals court has rejected a legal challenge to former President Donald Trump’s executive order prohibiting diversity, equity, and inclusion (DEI) initiatives in federal agencies, federally funded programs, and government contracts. The ruling, handed down by the U.S. Court of Appeals for the Fifth Circuit, affirms the government’s authority to restrict the use of federal funds for what the order termed “divisive concepts” and race-conscious training or hiring practices.

The lawsuit was brought by a coalition of civil rights organizations, educational institutions, and government contractors who argued the ban was overly broad, violated free speech protections, and would reverse decades of progress toward equitable workplaces and education. The court, however, sided with the government’s position that the executive order was a lawful exercise of presidential authority over federal contracting and spending, intended to ensure “uniformity of American civic life” and prevent what it described as “race-based stereotyping and scapegoating.”

In its opinion, the court stated, “The executive branch possesses broad discretion to determine the conditions under which federal funds are disbursed. The order in question falls within that long-recognized authority.” The decision reinforces a major pillar of the administration’s cultural agenda and sets a significant precedent, potentially insulating similar future restrictions from judicial review.

Legal experts note the ruling could have immediate ripple effects, chilling DEI-related activities across federal grantees, universities, and corporations doing business with the government. It also creates a legal split with other circuits that have been more skeptical of such restrictions, increasing the likelihood the issue will be appealed to the U.S. Supreme Court.

Advocates for the ban hailed the decision as a victory for “color-blind governance,” while civil rights leaders condemned it as a setback for racial justice and equal opportunity. The ruling leaves in place a policy that has reshaped federal workforce training, contractor requirements, and grant eligibility since its implementation.