U.S. Urges Swiss Businesses to Shelve Their Diversity Initiatives
Here's the down-n-dirty on the latest US-Swiss corporate beef
The US Embassy in Bern has dropped a letter on Swiss companies operating stateside, demanding they nix inclusive workplace practices at odds with US legislation—or risk getting bootied from the land of the free and the home of the brave. This pushy demand follows similar letters from the embassy sent out in France and Spain.
These new US regulations are a 180 from Trump's earlier stances on gender equality and diversity. He scrapped targeted advancement programs for women and minorities soon after he nabbed the presidency in 2025. But now, Trump's aiming to strong-arm Swiss companies to toe his line too.
So, what's the dealio?
In short, Swiss corporations will have to play by Trump's law, not Switzerland's, thanks to the threat of being blackballed from the US market. Big-time Swiss players like UBS, Roche, and Novartis are reportedly erasing their equality and diversity goals from public docs to appease the administration.
Swiss politicians are eyesore-spitting mad about this high-handed tactic. MP Min Li Marti exclaimed, "Swiss companies need to stick to our law, not US regs, especially since equality goals are in Switzerland's law."
Trump's got a keen eye for regs in Switzerland
This shove from Trump isn't his first time playing big brother in Switzerland. In March, he circulated questionnaires amongst UN and NGO employees in Geneva, grilling them with questions inspired by his administration's ideology. The goal was to determine whether the US should maintain or cut funding to these organizations.
READ MORE: UN employees in Geneva asked to complete Trump's 'patriotic' questionnaire
Will Swiss companies and other orgs cave to Trump's wishes?
Probably, since saying no to Uncle Sam could mean losing funding or access to the US market. So, most companies will likely capitulate, with a heavy sigh of reluctance.
Behind the scenes:
This controversy shows the US administration's efforts to dismantle Diversity, Equity, and Inclusion (DEI) programs. This tension between US corporate culture and European values of diversity and inclusion is a complex issue, involving legal, cultural, and economic considerations.
- US Pressure on European Companies: The US administration pressured EU corporations, including Swiss companies, to comply with an executive order scrapping DEI programs. Companies providing services to the US government were warned that non-compliance could lead to losing access to federal contracts.
- Response from Swiss Companies: Some Swiss firms adjusted their policies. UBS shifted its focus from diversity targets to "meritocracy," while Roche and Novartis made changes to their hiring practices. These actions were framed within a broader commitment to equal opportunities.
- Broader Implications for Swiss Labor Market: The situation arises amidst a tight labor market in Switzerland, characterized by a shortage of skilled workers. Despite these challenges, Switzerland remains a coveted job market that attracts international talent.
- Global Context and Reaction: The move is part of broader political pressure from the US on European businesses to align with its cultural policies. European executives expressed a mix of defiance and nervousness about these directives, voicing concerns about political interference in business practices.
- The US Embassy's demand for Swiss companies to alter their inclusive workplace practices, as stated in the letter sent in 2025, contradicts Trump's earlier stance on gender equality and diversity, and potentially sets a precedent for similar regulations in other European countries.
- In the face of the threat of being banned from the US market, some Swiss corporations, like UBS, Roche, and Novartis, are reportedly revising their equality and diversity goals as per the administration's demands.
- Swiss politicians are vocally against this heavy-handed tactic, with MP Min Li Marti asserting that Swiss companies should adhere to Swiss law, not US regulations, since equality goals are legislated in Switzerland.
- In addition to this controversy, Trump has shown interest in regulations within Switzerland, as evidenced by the questionnaires he circulated among UN and NGO employees in Geneva in March 2025, aiming to exert influence over these organizations.
- With potential consequences such as loss of funding or access to the US market, many Swiss companies may reluctantly comply with Trump's wishes, reinforcing the complex interplay between US policy-and-legislation, politics, and general news regarding business affairs.
