The U.S. Equal Employment Opportunity Commission (EEOC) has escalated its scrutiny of Nike Inc., filing a petition in a Missouri federal court this Wednesday to enforce a subpoena. The regulatory action centers on allegations that the sportswear giant’s diversity, equity, and inclusion (DEI) programs may have discriminated against white employees and job applicants.
Broad Information Request Targets Internal Practices
In its petition, the EEOC is demanding extensive documentation from Nike, with records requested dating back to 2018. The agency’s investigation is focused on several key areas of the company’s operations. These include the specific criteria used in termination decisions and how the company handles employee race and ethnicity data. A particular point of contention involves 16 corporate programs alleged to have offered mentoring and career development opportunities restricted by race. Furthermore, the EEOC is seeking details on Nike’s diversity objectives for 2025 and other related DEI targets.
This legal move follows an initial subpoena issued to the company in the fall of 2025. The core of the probe examines whether Nike’s mentorship initiatives, training sessions, and personnel decisions systematically favored non-white staff members.
Company Expresses Surprise, Vows Cooperation
Nike responded to the court filing by calling the EEOC’s action “surprising and unusual.” In an official statement, the company asserted it has been cooperating “in good faith” with the investigation and has already provided “thousands of pages of information.”
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A spokesperson reiterated the company’s stance, stating, “We are committed to fair and lawful employment practices and comply with all applicable laws, including those prohibiting discrimination.” The company maintains that its programs and practices are fully aligned with these legal obligations. Despite the dispute over the subpoena, Nike confirmed it plans to respond to the petition and will continue to work with the commission.
Share Price Climbs Amid Corporate Developments
Investors appeared unfazed by the regulatory news. Nike’s stock posted a gain of more than 5% on Wednesday, closing at $64.22. The company’s market valuation currently stands at approximately $95 billion.
The apparel leader is undergoing a significant transformation under CEO Elliott Hill. In a separate operational shift, Nike announced in late January the elimination of 775 positions at its U.S. distribution centers, a move attributed to automation efforts. Earlier in February, the company also relaunched its All Conditions Gear (ACG) line as a standalone outdoor brand.
Market participants are now looking ahead to the company’s next quarterly earnings report, scheduled for release on March 18.
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