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President Trump issued Executive Order 14398 on March 26, 2026, to further roll back civil rights advances in this country by targeting what the Trump-Vance administration considers to be diversity, equity, and inclusion (“DEI”) programs and initiatives (“March 26 Federal Contractor EO”). This Executive Order (EO) directs federal agencies to include a new clause in all contracts and subcontracts by April 25, 2026, that prohibits what it calls “racially discriminatory DEI activities” and threatens loss of contracts, inability to work on federal contracts in the future, and civil and criminal liabilities.

The March 26 Federal Contractor EO threatens to significantly reshape the federal contracting landscape and expands enforcement risk for contractors. This memorandum explains the March 26 Federal Contractor EO in context of the Trump-Vance administration’s ongoing efforts to undermine our multiracial democracy and distort civil rights laws, discusses its implications for Democracy 2025 partners, and suggests potential avenues for opposition. This resource also highlights additional relevant resources to support the Democracy 2025 community in navigating and responding to this EO.