State attorney general’s office settles with Deloitte for $1.2M over DEI practices

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The Indiana Attorney General’s office has reached a $1.2 million settlement with the contractor Deloitte over its diversity, equity and inclusion practices.

The office said late Tuesday that Deloitte agreed to the settlement to resolve “allegations of unlawful diversity, equity and inclusion (DEI) practices.” State officials said Deloitte had certified compliance with the state’s nondiscrimination requirements while it continued discriminatory, race- and sex-based employment practices.

“There is no justification for unlawful discrimination, even when a business claims good intentions or cloaks its practices in the language of DEI,” Attorney General Todd Rokita said in the statement. “Treating people differently in the workplace based on race or sex is destructive and illegal.”

A Deloitte representative said in an email that the company was pleased to resolve the case and avoid litigation costs. He added that doing so allows the company “to remain focused on attracting and developing exceptional talent with the skills and capabilities our clients rely on every day.”

Rokita’s office said it will continue to “work to eliminate illegal DEI discrimination in all its forms.”

Tuesday’s announcement comes a month after Rokita said a state program aimed at helping underrepresented groups gain access to contracts violated the Equal Protection Clause of the 14th Amendment.

Gov. Mike Braun said in July that the state was ending the Minority and Women’s Business Enterprises program, a feature of Indiana’s Diversity Business Enterprises Program.

Rokita’s office said Tuesday that its Deloitte settlement complements its work to eliminate that program.

Last year, Rokita’s office updated state contract language to prohibit DEI practices and started requiring outside counsel to refrain from those programs.

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