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Office Politics

In a time of fraught polarization, some companies are trying to stay out of politics

David Brancaccio and Ariana Rosas Oct 9, 2024
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The trend of companies or institutions commenting on political issues now seems to be reversing. Scott Olson/Getty Image
Office Politics

In a time of fraught polarization, some companies are trying to stay out of politics

David Brancaccio and Ariana Rosas Oct 9, 2024
Heard on:
The trend of companies or institutions commenting on political issues now seems to be reversing. Scott Olson/Getty Image
HTML EMBED:
COPY

“It is not the role of the institution to render opinions.”

That lines comes from a statement on institutional neutrality signed off by the University of Pennsylvania’s senior leadership. Officials there made it clear: No more public statements about sociopolitical matters.

Deeply polarized responses to the Israel-Hamas war are central to this, but colleges are not alone in shifting into neutral. Other organizations are opting to stay quiet rather than taking sides or commenting on major political issues.

That’s a very different energy than has been the norm for the last five years or so.

“There was a real rise in CEOs speaking up and taking positions on everything from climate change to immigration to human rights,” said NYU’s Alison Taylor, who heads up the Ethical Systems think tank.

But in this red versus blue hot house, there are new risks. Like for example diversity in the workplace.

Brown-Forman, distiller of Tequila Herradura and Jack Daniel’s, pulled back from diversity initiatives; Ford, Lowe’s and Tractor Supply all have, as well. They’re under pressure from conservatives using threats of legal action and the anthem, “go woke, go broke.”

Yet studies show many employees — often younger employees — don’t want to work for companies that remain silent on key matters, from structural racism to climate change. And keeping politics in the brand can work, depending on the company.

“Because people will see that fits with the brand and that’s who I want to spend my money with,” said Eric Van Steenburg, a professor of marketing at the Jake Jabs College of Business at Montana State University. “For smaller companies — maybe a startup or a company that has began building its brand on something like — they want to be the company of climate change, or they want to be this company of entrepreneurship.”

Take Patriot Mobile as an example. It’s a mobile phone company that has long worn its conservative politics like a flag.

“We are a cell phone service provider, and we’re a really, really good one,” said Patriot Mobile CEO Glenn Story at a gathering of conservatives in June. “But here’s the deal: Our mission has everything to do with defending freedom and glorifying god.”

When we tried to talk to Patriot Mobile about brands taking a stand, the interview trail went cold after an initial contact.

Over on the other side of the aisle, there’s Wisconsin-based spice retailer Penzeys, which sends emails to customers with deals on oregano or barbecue rub that also express unhappiness with Donald Trump.

After federal charges were refiled against the former president in August, a Penzeys email read “Re-indicted, and it feels so good.” As it happened, Kamala Harris went into a Penzeys in Pittsburgh ahead of the debate last month, where she hugged a supporter who was apparently overwhelmed by the fraught election.

U.S. Vice President Kamala Harris embraces a woman in a spice shop.
U.S. Vice President Kamala Harris at a Penzeys Spices store in Pittsburgh in September. (Mandel Ngan/AFP via Getty Images)

That photo op sparked “go woke, go broke” comments — and an onslaught of negative Yelp reviews — aimed at Penzeys, which has faced the ire of the right before. Knowing nothing of the Harris visit to come, Marketplace repeatedly reached out to Penzeys this summer to ask about brands and politics — but again, no response.

“I’m not really terribly concerned with how companies tune up or down their communications in a toxic public square. I can hardly blame them,” said Elsie Maio of SoulBranding, which helps brands align with their values.

“We’ve come to pay less attention to what is said than what is actually done,” she added.

Practical action, like the real estate site Zillow adding climate risk numbers to its home listings last month.

Maio argues smart companies now understand they’re part of a system that is not insulated from, say, climate or community, which require them to act on their values to succeed.

“That old system of Milton’s is no longer fit for purpose in a hyperinterdependent systems environment, which is what we’re in now,” she said.

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