Minneapolis Fed faces potential changes to diversity efforts under Trump’s executive orders

The Federal Reserve Banks, including the Minneapolis Fed, have offices dedicated to diversity as mandated by the Dodd-Frank Act. Recent executive orders from President Trump may challenge these diversity efforts by targeting federal hiring and contracting practices. The Minneapolis Fed reported that one-third of its workforce is people of color and half are women. Nearly $21 million of its $63.6 million procurement spending went to minority- and women-owned businesses in 2023. While Trump's orders could impact DEI initiatives, the Federal Reserve is an independent agency and must follow federal law. Legal experts suggest that the courts will ultimately determine the orders' effects on existing DEI requirements.