IBM Resolves DOJ Probe On DEI Practices With USD 17 Million Payment

IBM has agreed to pay USD 17 million to resolve a probe by the U.S. Department of Justice (DOJ) into its diversity, equity, and inclusion policies. The case was handled under the Civil Rights Fraud Initiative, a unit set up to examine DEI-related practices using civil fraud laws.

The government alleged that IBM linked bonus compensation to demographic targets through internal mechanisms and reviewed several of its programmes. As part of the settlement, the company has modified or ended certain policies while maintaining that it did not engage in unlawful conduct.

The development comes during the administration of Donald Trump, which has taken steps to limit DEI practices across public and private institutions. Several companies have since revised their internal policies in response to regulatory and policy changes.