Feds Eye Total DEI Shutdown: 'Dismantle DEI Act of 2025' Targets Offices, Training, and Funding

The "Dismantle DEI Act of 2025" is a sweeping piece of legislation aiming to fundamentally reshape diversity, equity, and inclusion (DEI) efforts across the U.S. federal government and entities that rely on federal money. At its core, the bill introduces a new term: "prohibited diversity, equity, or inclusion practice." This is defined as (1) discriminating for or against anyone based on race, color, ethnicity, religion, biological sex, or national origin; (2) making it a job requirement (for employment, promotion, or speaking opportunities) to undergo training that claims any such group is inherently superior, inferior, oppressive, or privileged; or (3) requiring employees to sign or agree to statements with similar assertions as a condition of work (Sec. 3). If this bill becomes law, it would trigger the closure of numerous DEI-focused offices and programs within 90 days, cut off federal funding for a wide range of DEI activities, and extend these new rules to federal contractors, grant recipients, and even the standards used for accrediting colleges.

The Federal Sweep: Wiping the DEI Slate Clean

Right off the bat, Title I of the Act would hit the reset button on years of federal DEI policy. Several existing Executive Orders promoting diversity and equity (like EO 13985 on racial equity and EO 14035 on DEIA in the federal workforce) would be immediately rescinded and declared to have no legal effect (Sec. 101). Federal agencies would have 90 days to shut down any program or office carrying out these rescinded orders. This isn't just a reshuffle; the bill mandates a "reduction in force" for affected employees and explicitly prohibits their transfer or reassignment to other positions (Sec. 101, 105).

Key federal bodies like the Office of Personnel Management's (OPM) Office of Diversity, Equity, Inclusion, and Accessibility and the Chief Diversity Officers Executive Council would be terminated, with similar staff reduction mandates (Sec. 102). OPM would also be tasked with revising all its materials to align with this Act within 180 days and ensuring federal personnel practices prohibit "racism in Government" (as newly defined to include certain DEI practices) and adhere to merit system principles (Sec. 102). The Office of Management and Budget (OMB) faces similar directives to update its guidance and must cancel the November 2023 version of Circular A4, which guides regulatory analysis (Sec. 103). Furthermore, a long list of activities would become ineligible for federal funding, including maintaining DEI offices (unless EEO or ADA-related as historically operated), employing chief diversity officers, developing DEI strategic plans, supporting most employee/affinity groups based on protected characteristics, or funding training on DEI, critical race theory, gender theory, or intersectionality (Sec. 104).

Your Federal Job: New Rules on Training and Advancement

For federal employees, this bill could significantly change workplace training and how performance is evaluated. Under Title II and amendments to personnel practices, no federal worker could face negative consequences in their job – like a poor performance review or being denied a promotion – for not completing DEI-related training or for not agreeing with concepts that assert certain groups are inherently superior, inferior, oppressive, or privileged (Sec. 106).

Federal training programs themselves would be overhauled. Any government-wide training is prohibited from including content related to DEI, "critical theory," intersectionality, sexual orientation, or gender identity. Training also cannot assert or require trainees to assert that any race, color, ethnicity, religion, biological sex, or national origin is inherently superior/inferior or oppressive/privileged (Sec. 201). Crucially, the bill states that "no employee may be required to complete training" under such programs (Sec. 201). Federal funds are explicitly banned for training courses covering these topics (Sec. 202).

Beyond the Bureaucracy: Ripples for Contractors, Grantees, and Schools

The Act's reach extends well beyond federal agency walls. Title III mandates that federal contracts over $10,000 cannot be performed in facilities controlled by a contractor or subcontractor that follows "prohibited diversity, equity, or inclusion practices" (Sec. 301). Federal contractors would also be barred from using federal funds for DEI offices, chief diversity officers, or specified DEI-related training (Sec. 303), though they remain free to use their non-federal funds as they choose. Similar restrictions on the use of federal funds for DEI initiatives apply to recipients of federal grants and parties in cooperative agreements (Title IV, Sec. 401, 402). These sections also note that funding for Equal Employment Opportunity offices, ADA enforcement, and, in the case of grants, Historically Black Colleges and Universities (HBCUs), is not prevented.

Educational institutions could also see changes. Accreditation standards for colleges and universities, a key gateway for federal student aid, must confirm they don't require institutions to engage in "prohibited diversity, equity, and inclusion practices" or assess an institution's commitment to any ideology (Title VI, Sec. 601). Title VII includes a series of repeals, eliminating existing diversity-focused offices or programs at entities like Fannie Mae and Freddie Mac (Sec. 701), within financial regulatory agencies via Section 342 of the Dodd-Frank Act (Sec. 702), and specific diversity programs or officer roles within the Departments of Defense, Health and Human Services, Homeland Security, and the Director of National Intelligence (Sec. 703, 704, 705, 706).

The Nitty-Gritty: Enforcement and What's (Supposedly) Left Standing

One of the most significant aspects of this bill is its enforcement mechanism. Title VIII allows any individual who believes the Act has been violated to file a lawsuit in U.S. District Court. If successful, a court could order the violation to stop and award a minimum of $1,000 per violation per day, plus attorney fees, litigation costs, and compensatory damages (Sec. 801). This creates a strong incentive for compliance but also raises questions about potential litigation.

While the bill is broad in its prohibitions, it does carve out exceptions. As mentioned, Equal Employment Opportunity (EEO) offices and offices enforcing the Americans with Disabilities Act (ADA) are generally permitted to continue operating "as historically organized and operated" (e.g., Sec. 104, 105). However, a point of potential confusion is that while the bill prohibits funding for training on topics like "critical race theory," "gender theory," or "intersectionality," these terms themselves are not defined within the legislation. This lack of precise definition for key prohibited concepts could lead to uncertainty for federal agencies, employees, contractors, and grantees trying to navigate the new landscape.