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A
s companies rolled out DEI goals following protests against racial injustice that occurred in 2020, some sought to track their progress by tying these goals to employees’ compensati
on.Linking DEI metrics to executive compensation became a common practice in the private sector, with more than three-quarters of S&P 500 companies doing so as of 2023, according to a report from The Conference Board and ESGAUGE. In some cases companies made DEI a KPI, or key performance indicator, by asking employees to detail how they contributed to these goals in annual performance reviews, possibly affecting their compensati
on.Such practices had already landed some