Wireless provider T-Mobile is attempting to curry favor with the Federal Communications Commission (FCC) by ending its diversity, equity and inclusiveness (DEI) policies with the hopes of gaining regulatory approval for a spectrum asset swap.
This week, executives from T-Mobile sent a letter addressed to FCC Chairman Brendan Carr affirming the company will no longer hire or employ workers who are or were assigned to develop, execute and oversee its DEI policies.
“You’ve made it clear that you expect companies the FCC regulates to have practices that are lawful, free from invidious forms of discrimination and open to all,” the letter read. “Without a doubt, T-Mobile’s culture and practices are centered on giving every employee an opportunity to grow and succeed, and delivering [sic] on our vision to connect each and every American, no matter who they are or where they live.”
T-Mobile said the intent of its original DEI practices were to ensure equity and balance in its workplace hiring and promotional practices, something the company referred to internally as “One Team, Together.” Those internal policies have invited scrutiny to T-Mobile and other companies regulated by the FCC and the federal government since the inauguration of President Donald Trump, who signed an Executive Order earlier this year banning DEI-related policies within federal agencies on the notion that they were somehow discriminatory toward certain groups of people and elevated others without merit.
Carr has understood this to mean that companies regulated by the FCC should also drop their DEI policies, and he has threatened to stonewall or reject transactions involving broadcasters, telecom service providers and other companies that continue to employ them.
T-Mobile is in the middle of acquiring a small wireless provider called MetroNet, which requires the transfer of wireless spectrum licenses that are regulated by the FCC. Similarly, it has agreed to purchase U.S. Cellular, which also involves a transfer of spectrum-related licenses. The FCC must approve those transfers before the acquisitions can go through.
Executives felt the deal would not get regulatory approval if its DEI policies continued, so they put it bluntly in their letter to the FCC: “T-Mobile is ending its DEI-related policies…not just in name, but in substance.”
Workers who were previously assigned to oversee and execute DEI-related initiatives won’t necessarily be fired — they’ll be reassigned to other teams by the company’s human resources division, and told to focus on employee engagement and culture-related matters instead. The company affirms it will not hire workers to oversee DEI-related initiatives, and diversity and equity elements will not be considered in hiring or promotional practices, either.
“We cast a wide net to attract the best people based on their skills, aptitude and growth,” T-Mobile told the FCC. “In this vein, we affirm that our recruitment practices and hiring decisions are consistent with [federal law and guidance].”
T-Mobile is the second-largest wireless telecom provider in terms of customer base, behind only Verizon but well ahead of AT&T. The company serves more than 130 million subscriber lines across its prepaid and post-paid services, including its subsidiary brands Metro by T-Mobile and Mint Mobile.
