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Wednesday, Apr 02, 2025

Tensions Over U.S. Inquiry into French Corporate Diversity Policies

Tensions Over U.S. Inquiry into French Corporate Diversity Policies

France condemns U.S. embassy letter requesting information on anti-discrimination programs as unacceptable interference.
On March 29, 2025, France expressed strong objections following the delivery of a letter from the U.S. embassy, which was sent to several French companies.

The correspondence inquired whether these companies have internal programs aimed at combating discrimination.

French officials labeled this initiative as 'unacceptable interference' and stated that both France and Europe would defend their values.

The letter warned that failure to implement such programs could jeopardize these companies' ability to work with the U.S. government, at a time when France maintains a legal stance against most forms of affirmative action.

The issue gained prominence after reports from major French media outlets highlighted the contents of the letter, further aggravating existing commercial tensions exacerbated during Donald Trump's administration, which had previously threatened tariffs across various trade sectors.

The French Ministry of Foreign Trade issued a statement condemning 'American interference' in the inclusion policies of French companies, describing the threats of unwarranted tariffs as 'unacceptable.'

The correspondence referred to Executive Order 14173, signed by Trump on his first day back in office, which ended programs promoting equal opportunity within federal agencies.

This order reportedly extends to all suppliers and contractors working with the U.S. government.

Amir Reza-Tofighi, president of the CPME (a French employers' organization), criticized the initiative as 'inadmissible,' viewing it as an infringement on national sovereignty.

He called for a united front among political and economic leaders in France.

The French labor union CGT urged the government to encourage businesses to avoid policies that could negatively impact gender equality and anti-racism, according to remarks made by union secretary Gérard Ré.

The French Ministry of Economy indicated that this practice was indicative of the values of the new U.S. government, emphasizing that 'these are not our values.' The ministry reiterated that the French minister would communicate these concerns directly to his American counterparts.

Details surrounding the letter remained unclear on the day of the announcement, with the French Economy Ministry estimating that several dozen companies had received the inquiry, although an exact count was still being compiled.

Major corporations that spoke to the media reported not having received the letter, which was noted for its unusual format.

Christopher Mesnooh, a U.S. business lawyer based in Paris, described the correspondence as lacking the formalities typically associated with official communications from U.S. diplomatic channels.

He stated that if the letter was sent in its current form, it would not constitute an official or diplomatic communication.

Mesnooh further clarified that U.S. authorities could not compel French companies to adhere to American laws regarding affirmative action.

He noted that French law prohibits affirmative action based on ethnicity, religion, or origin.

Nevertheless, French legislation mandates that companies with over 1,000 employees must ensure that by 2027, women hold at least 30% of executive roles and in governing bodies, rising to 40% by 2030.
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