OF LIFE AND DEATH OF DIVERSITY, EQUITY AND INCLUSION
North American companies in France, recall, that country considered boring by middle-class Brazilians, but which introduced with its revolution in 1780, words such as Freedom, Fraternity and Equality, received a circular last week from the United States Embassy, saying that they no longer need to follow the rules of DEI, diversity, equity and inclusion.
Although the subject of the week is the new tariffs that the United States is announcing to the world, a gap in the subject of tariffs will not harm anyone. And the break leads us to reflect on what as entrepreneurs we will do when in the world's largest economy and technological leader, we are told that we will get back to the wheel. That is, everything we were proud of and considered an important cultural advance of our generation has now turned into dust.
Let's have no doubt that many people think that in these matters, including ESG, environment, social, governance and more the issue of gender and minorities, we have advanced too much. Well, it doesn't hurt to remember Pope Leo XIII's encyclical from 1891 Rerum Novarum, which established social doctrine and labor relations. That is, social advances are not a straight line of history and it is part of the capitalist system that entrepreneurs do not receive well certain advances that can tame the profitability of companies.
It is clear that the rejection of these values summarized in two times three letters and some more like LTBGQIA in the main economy will lead to a setback. Maybe we took three steps forward and we'll take one or two steps back. Some up to four. There will also be an economic adjustment and its revaluation in the accounts of companies of these values. Effectively this process, which will be more radical in the US, is different in Europe and Asia.
There was a lot of confusion and also abuse in the business area, where it is remembered the case of the Americanas in Brazil, where companies wrote wonderful reports, glorifying themselves with their values, while they were broken. Another issue is the environment. Denialism in this area is walking without an umbrella in the middle of a hurricane.
As a society and as individuals we have to decide whether the values from which we are moving away or are distancing us, suit us or not. You, as an entrepreneur, don't need a bigger wave to be correct, honest, socially responsible, respectful and care about the environment. You can incorporate this into your business as a set of your values, your faith and your education and roots. And make the calculation of whether this suits your business. Now, if they're going to force us the opposite, Houston, we have a problem.