Corporate Board News, September 2025: DEI Battles, Political Influence Increase

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This year continues to show trends away from DEI and board diversity rules in the corporate board world, at least from a policy standpoint.

From the removal of DEI language to reorganization of DEI programs and rules, it’s been a year of upheaval for the movement. Some corporations are making these moves on their own. Others are nudged in that direction by state and federal provisions.

On a semi-related note, political influences in the boardroom are on the rise, and remote board meetings didn’t go away as COVID fears subsided. They’re more a part of the corporate boardroom experience than ever.

Let’s check in on some of the latest news affecting corporate boards of directors.

DEI Metrics Disappearing from Executive Compensation Plans

A review of the 2025 proxy season shows a notable trend: the removal of Diversity, Equity, and Inclusion (DEI) metricsfrom executive incentive plans. This is a direct response to political, legal, and shareholder pressures.

Some companies are reframing their DEI programs and disclosures to focus more on inclusion and employee engagement, and are replacing quantitative metrics with more qualitative measures.

Court Ruling Overturns Nasdaq's Board Diversity Rules

A significant court ruling has overturned Nasdaq’s board diversity rules, which required listed companies to either have at least two diverse directors or explain why they did not. This means companies are no longer required to comply with these rules.

This has created a complex landscape for boards, as they must now navigate conflicting pressures from different proxy advisory firms and institutional investors who still have their own diversity policies and expectations.

The Normalization of Remote Board Meetings

The once-temporary practice of holding remote meetings has become a permanent feature of modern corporate governance. This shift is reshaping boardroom expectations and how directors interact.

With the increasing complexity of issues like cybersecurity and geopolitical risks, boards are now making strategic use of virtual committee meetings and off-cycle updates to cover complex topics, demonstrating a move toward a more flexible and efficient governance model.

The Rise of Political Influence in the Boardroom

The entanglement of corporate governance with politics is a growing and compelling trend. Recent events, such as public calls for the resignation of executives and government discussions about taking equity stakes in private companies, highlight how political pressure is increasingly shaping board decisions.

This trend raises fundamental questions about board independence and authority. Boards must now proactively manage political risk and understand how a dynamic political environment could affect their operations, supply chains, and access to capital markets.

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About The Author

Adam Wire: Adam Wire is a Content Marketing Manager at OnBoard who joined the company in 2021. A Ball State University graduate, Adam worked in various content marketing roles at Angi, USA Football, and Adult & Child Health following a 12-year career in newspapers. His favorite part of the job is problem-solving and helping teammates achieve their goals. He lives in Indianapolis with his wife and two dogs. He’s an avid sports fan and foodie who also enjoys lawn and yard work and running.