After the Retreat: Can Corporate Activism Return? with Tom Lin and Aneil Kovvali

Corporate activism has undergone a dramatic shift, moving from a decade of social engagement to an abrupt retreat following the 2024 election. Corporations previously stepped into spaces of political paralysis to drive change, such as the federal recognition of Juneteenth and the banning of mandatory arbitration for sexual harassment. However, recent reversals of DEI commitments highlight a fragile governance model, often driven by panic and a misinterpretation of the political landscape rather than strategic necessity. Legal scholars Tom Lin and Aneil Kovvali argue that this retreat risks damaging the social license to operate. To regain credibility, businesses must prioritize long-term prosperity and principled, durable commitments over reactive, short-term PR exercises. The current environment demands that corporations navigate the tension between political pressure and their role as human-centric institutions, ultimately recognizing that there is no substitute for effective democratic governance.