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WSJ What’s News

Trump Administration Broadens Corporate DEI Crackdown

WSJ What’s News

The Wall Street Journal

Daily News, News

44K Ratings

🗓️ 29 December 2025

⏱️ 13 minutes

🧾️ Download transcript

Summary

Edition for Dec. 29. The Department of Justice launches investigations into companies including Google and Verizon over workplace DEI programs, using an antifraud law to try to advance the president’s political agenda. Plus, Lululemon’s founder launches a proxy fight to shake up the struggling retailer’s board. And we’ll look at the evolving security threats likely to drive defense spending in 2026 with the help of WSJ reporter Alistair MacDonald and Dragonfly’s Matt Ince. Luke Vargas hosts. Programming note: What’s News is publishing once a day through Jan. 2. Sign up for the WSJ's free What's News newsletter. Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

In a world full of noise, long-term thinking stands out.

0:07.1

On the Capital Ideas podcast, Capital Group Leaders explore the decisions that matter most

0:12.4

in investing, leadership, and life.

0:16.0

It's a rare look inside a firm that's been helping people pursue their financial goals for more than 90 years.

0:22.5

Listen to the Capital Ideas podcast from Capital Group, published by Capital Client Group, Inc.

0:33.0

The DOJ turns to a fraud law to target corporate DEI efforts.

0:38.7

Plus, Lulu Lemons founder launches a proxy fight to shake up the struggling retailers' board

0:43.9

and facing new and evolving threats, Western militaries prepare to spend big on new defense technology.

0:51.2

We track and monitor incidents of suspected Russian hybrid warfare, and so these are acts

0:55.7

of sabotage, subversion, provocations, disinformation, cyber attacks, and we've seen a significant

1:02.0

increase.

1:02.7

It's Monday, December 29th.

1:04.8

I'm Luke Vargas for the Wall Street Journal, and this is What's News in your feed once

1:09.6

a day over the holidays with top headlines and business stories moving the world today.

1:18.7

We are exclusively reporting that Google and Verizon are among the targets of Justice Department investigations into DEI initiatives in the workplace.

1:29.4

The civil probes are being carried out under the False Claims Act. While the law is typically used in health care fraud cases,

1:36.4

the DOJ contends that holding a federal contract while still considering diversity in hiring and

1:42.3

promotions is in effect fraud against the government.

1:46.2

Google and Verizon declined to comment.

1:49.1

People familiar with the investigations say the government is also looking at companies in the auto-pharmaceutical, defense, and utilities industries.

1:57.2

I asked the journal's Lydia Wheeler how to interpret the new investigations.

2:01.4

These civil probes are proceeding under the umbrella of an anti-fraud law called the False Claims Act,

...

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