Disney And ABC Face Federal Investigation Over DEI Practices

The Federal Communications Commission (FCC) has opened an investigation into Disney and its subsidiary ABC, examining whether their diversity, equity, and inclusion (DEI) policies violate federal broadcast regulations.

FCC Commissioner Brendan Carr requested the probe, raising concerns that Disney’s DEI initiatives may conflict with the agency’s equal employment opportunity rules. Disney holds broadcast licenses for its ABC affiliate stations, which the FCC regulates.

DEI Under Scrutiny

In a letter to CEO Bob Iger dated March 27, Carr said he wants to ensure the company is not engaging in “invidious forms of DEI discrimination.” While acknowledging Disney’s recent rollback of some DEI efforts, he said “significant concerns remain” and urged the company to eliminate discriminatory initiatives “in substance, not just name.”

Carr did not cite specific violations but claimed that Disney’s focus on DEI may have come at the expense of programming and box office performance. A Disney spokesperson responded: “We look forward to engaging with the commission to answer its questions.”

Political Backlash and DEI Rollbacks

The investigation comes amid mounting conservative criticism of Disney’s internal policies and content. Last month, Disney announced it would scale back some DEI efforts, including removing diversity and inclusion as a performance factor used to evaluate executive compensation. It also softened content warnings on older films like Dumbo and Peter Pan.

The company has faced backlash for casting decisions, such as hiring Rachel Zegler, a Latina actress, for its upcoming Snow White remake, and its public opposition to Florida’s “Don’t Say Gay” law. In December, ABC also settled a defamation lawsuit with then President-elect Donald Trump, agreeing to pay $16 million.

Part of A Broader Media Crackdown

Carr, a member of the FCC since 2017, was named to lead the agency by Trump in November. He has launched similar DEI-related probes into NPR, PBS, NBCUniversal, and Verizon. He has also threatened to block mergers from companies that promote DEI, Bloomberg reports.

The outcome of the Disney investigation could influence how other broadcasters approach diversity initiatives, particularly as the FCC continues to weigh corporate practices alongside regulatory compliance.

Image credit: AP