The US Department of Justice has announced that IBM will pay over $17 million to settle allegations of civil rights violations linked to its Diversity, Equity, and Inclusion (DEI) practices. The settlement addresses claims that IBM considered factors such as "race, color, national origin, or sex" in employment decisions, which reportedly contravened the Civil Rights Act of 1964.
In a statement, IBM maintained that it had not engaged in any wrongdoing, clarifying that the settlement should not be seen as an admission of liability. The DOJ emphasized that this resolution does not imply that its claims were unfounded. Allegations included modifying interview criteria based on demographic factors and implementing a bonus system tied to achieving diversity targets.
Todd Blanche, the acting attorney general, noted that this case is among the first outcomes of the Civil Rights Fraud Initiative initiated in May 2025. Other tech companies, including T-Mobile and Meta, have also revised their DEI policies in recent months.