More than half (55%) of corporate philanthropy leaders in the US say that increased federal scrutiny of diversity, equity, and inclusion (DEI) programmes has affected their corporate giving strategies, a new report by The Conference Board has found.
According to the report, which surveyed 82 corporate citizenship and philanthropy leaders at large US multinationals, many companies are now ‘proceeding with caution’ when it comes to corporate giving, with more than a quarter (27%) stepping back from socially or politically contested issues, such as focusing on particular racial or demographic groups.
In addition, three fifths (60%) state that they are strengthening compliance and legal oversight related to their philanthropy programmes.
Budgets, however, appear to be more resilient, with two thirds (66%) expecting their philanthropy budgets to hold steady in 2026.
However, at the same time, the effect that government policy changes to how corporate charitable contributions qualify for tax deductions remains unclear at present, with a third expecting ‘no material impact’, and 57% saying that it is too early to know for sure.
‘Heightened pressure’
“Corporate philanthropy programs face heightened pressure to demonstrate resilience and alignment with business priorities,” commented Andrew Jones, author of the report and principal researcher at The Conference Board.
“Companies that ensure their giving initiatives reflect financial discipline, strong governance, and close integration into core strategy will be best positioned to sustain their impact.”
Other findings from the report include that more than two thirds (68%) of respondents state that their non-profit partners have ‘adjusted language’ to reduce political or legal scrutiny, while 66% report that non-profit partners have lost government funding due to policy or legal changes.
Operational strain is also present at non-profits, with 45% of respondents citing staffing reductions or layoffs at partner organisations, and 38% seeing cuts to programmes or services offered by said partners.
‘Complex environment’
“Political and legal forces are reshaping not only how companies structure and oversee their own corporate citizenship programs, but also how nonprofits operate,” added Jeff Hoffman, interim leader of the Governance and Sustainability Center at The Conference Board.
“The result is an ecosystem recalibrating how it describes and delivers services—driven less by mission priorities than by the demands of a more complex, risk-sensitive environment.”
The survey was conducted in July and August 2025. Read more here.
