The Federal Communications Commission (FCC) has issued a warning that ABC could potentially lose its broadcast license amid an investigation into the diversity, equity, and inclusion (DEI) policies of its parent company, Disney. This inquiry is part of the broader initiatives by the Trump administration aimed at dismantling such policies in government and private sectors.
Brendan Carr, Chairman of the FCC, stated on Fox News on Monday, March 31, 2025, that Disney’s DEI practices might violate federal regulations if found to be discriminatory.
Carr has also reached out to Comcast and Verizon, notifying them of investigations into their diversity practices.
“If the evidence does in fact play out and shows that they were engaged in race- and gender-based discrimination, that’s a very serious issue at the FCC, that could fundamentally go to their character qualifications to even hold a license,” Carr said. “But we’re going to follow the facts wherever they go.”
Carr initiated the investigation into Disney and ABC, alleging that the commission had obtained evidence that the media company may have breached equal employment opportunity regulations. This follows a similar probe into Comcast, parent of NBCUniversal, regarding DEI concerns.
According to Carr, existing evidence suggests that Disney and ABC may have made employment decisions based on race and gender, including creating race-specific groups within the company. He also mentioned evidence of demographic-based quotas being implemented.
Disney confirmed receipt of Carr’s letter and intends to cooperate with the commission’s investigation.
“We are reviewing the Federal Communications Commission’s letter, and we look forward to engaging with the commission to answer its questions,” Disney told The Hill.
The FCC’s inquiry addresses Disney’s “Reimagine Tomorrow” initiative, which Carr referred to as a “mechanism for advancing its DEI mission.” He also referenced a 2020 ABC memo that reportedly mandated at least 50% of regular and recurring characters, actors, and writing staff be from “underrepresented groups.”
In light of the pressure, Disney has adjusted its diversity programs. The company recently altered its executive compensation policies, removing diversity and inclusion as a performance metric and introducing “talent strategy” as a new standard. Additionally, Disney has shortened warnings regarding racist stereotypes previously displayed before certain classic movies.
The investigation into Disney is part of President Trump’s broader campaign against DEI initiatives. Since returning to office in January 2025, Trump has issued executive orders to dismantle DEI policies in schools, federal agencies, and the private sector.
One executive order directed the Secretary of State to remove “Diversity, Equity, Inclusion, and Accessibility” as a core criterion for Foreign Service tenure and promotion. Another order prohibited basing recruitment, hiring, promotion, or retention decisions on an individual’s race, color, religion, sex, or national origin.
The White House has endorsed these actions as “restoring common sense to government” and returning to merit-based hiring. According to a White House statement, the administration has eliminated “discriminatory DEI offices, employees, and practices across the federal government.”
Legal challenges have arisen in response to the administration’s anti-DEI measures. In late March, a federal judge in Chicago, Illinois, temporarily blocked the U.S. Department of Labor from implementing parts of Trump’s executive orders following a lawsuit filed by Chicago Women in Trades, a non-profit organization preparing women for skilled construction trades.
The judge ruled that the certification requirement in the executive orders is “so broad and vague that it threatens the core mission” of such organizations. The ruling also highlighted that the vagueness of the orders, coupled with the threat of financial penalties, would likely pressure organizations to curb DEI programs unnecessarily.
In a separate case, another federal judge largely blocked Trump’s executive orders, ending government support for DEI programs and citing potential constitutional violations, including infringements on free speech rights.
Meanwhile, the U.S. Education Department has threatened to withhold federal Title I funding from schools that do not comply with its interpretation of civil rights laws, which it asserts prohibits DEI programs that “advantage one’s race over another.” This has raised concerns among educators, particularly in rural and low-income areas that heavily rely on federal support.
The American Federation of Teachers has filed a lawsuit to block the department’s guidelines, arguing that the administration is “wielding a cudgel of billions in federal aid” to force schools to conform to its political ideology.
DEI programs aim to promote workplace representation and participation across various genders, races, ethnicities, religions, ages, sexual orientations, disabilities, and classes. Advocacy groups argue that such initiatives are strategies to equalize opportunities for disadvantaged groups rather than quotas.
Critics of the Trump administration’s anti-DEI campaign contend that dismantling these efforts could exacerbate existing inequities in employment, education, and healthcare. Supporters, however, view the moves as necessary to eliminate what they perceive as discriminatory practices.
As the FCC continues its investigation into Disney and ABC, the broader debate over DEI policies in American institutions is expected to escalate, with significant implications for media companies, federal contractors, educational institutions, and the private sector.