The Impact of Indiana’s Shift from DEI to MEI: How Anti-Diversity Policies Threaten Minority-Owned Businesses, Equity, and Inclusive Economic Growth

July 2025

Since January 2025, I’ve sat quietly, though gravely concerned about the disdain of our nation and state leaders towards three simple yet powerful words – diversity, equity and inclusion. I’ve been involved in meetings where clients have struggled with how to balance the requirements being made of them to sever ties with communities with whom they have made commitments and assuring those same audiences that they can still be trusted, even with the new rules of engagement.

Though we all knew this was coming, I must admit my heart sank when I read in black and white the full extent of Indiana's decision to replace DEI (Diversity, Equity, and Inclusion) with MEI (Merit, Excellence, and Innovation). I’ve had conversations with colleagues of all races and genders, and I’d be remiss if I didn’t say these talks were daunting. Many expressed concerns about losing critical grant funding and staff as a result. Some mentioned losing contracts, needing to overhaul their 2025 financial plans, and even seeking additional income sources outside their businesses to make ends meet.

To be honest, Herd Strategies has been affected by this change. We lost a significant five-year contract with the State of Indiana, and one of our longtime clients had to end our partnership. Luckily, we had other projects lined up and were able to stay financially stable. But what if we hadn’t? We are a certified women and minority business with the City of Indianapolis and the State of Indiana. The city and the state committed to us that they would at least give us an invitation to the big dance of business procurement. With the elimination of DEI and the introduction of MEI, will I even be noticed? Whose radar are people like me on? Who will now advocate for me?

Since January, I’ve had to reconfigure my clients and even Herd Strategies’ communication to remove any references to the “trigger words.” Imagine having to erase your identifiers because any mention of you causes the majority population to panic. Since they hold the power, you have no choice but to comply. That is a sad reflection of who we are as a nation and a state.

As I mentioned, I’ve stayed quiet since January, not saying a word, but over the weekend, I faced a situation that brought me back to why I started my company. When I chose to become a business owner, I couldn’t find anyone who looked like me to ask for help, mentorship, or coaching—no one. I saw white men and women doing what I wanted to do, and honestly, they did help me. However, to this day, none of them fully understand the depth of the racism and sexism I’ve experienced.

Over the weekend, I met a little girl who reminded me of myself. She’ll be in the 7th grade this school year, and we were both getting our hair braided, which is an all-day affair. Since it was just the two of us, I struck up the typical adult-child conversation, which included the proverbial question of “so what do you want to be when you grow up?” Her response – “a business owner.” She went on to explain to me her plan to attend an HBCU, earn her degree in business and open a hair salon with her best friend. Then, after they had made their millions, she was going to purchase homes to house the unhoused. She has a whole plan for her future, but do we live in a state and a nation that will provide her with the resources to make her dreams come true?

I understand we can't put the cart before the horse, and we need to be patient about the DEI to MEI shift. I'll be patient, but I'll be watching, listening, and learning. I hope you do the same and hold those responsible for this change accountable. My livelihood and that of colleagues who look like me are depending on you.

Signing off,

Denise

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June’s Letter From Denise