Inspire Investing CEO: Nike’s DEI Is A Legal Liability, Shareholders Coming For Answers

Nike’s DEI fight is no longer just a social media "culture war" argument. The U.S. Equal Employment Opportunity Commission (EEOC) is investigating Nike over allegations the company’s DEI practices discriminated against white employees and job applicants.

That is why Robert Netzly, CEO of Inspire Investing, says Nike is finally getting a message it can’t ignore. Nike tends to be "one of those companies that volunteers" for the activist role, Netzly told OutKick. 

"Discrimination, whether it’s black people or white people, gay people or straight people, is discrimination," he said.

As OutKick previously reported, the EEOC announced in a court filing it is investigating Nike for what it calls ‘systemic allegations’ of DEI-related race discrimination against white employees and job applicants. The investigation stemmed from a 2024 complaint filed by EEOC Chair Andrea Lucas, according to reports.

Nike insists that it is cooperating and is surprised that the EEOC elevated the complaint from inquiry to investigation.

Nike's History of Left-Wing Causes

OutKick has also reported extensively on Nike’s involvement in a study focused on youth transgender athletes. Netzly said he views corporate participation in that type of project as wildly off-mission.

"I think it’s ridiculous that a business would get involved in issues like what you just described," he said. "It’s not relevant to selling sneakers and other sports apparel. They need to just focus on doing their business."

Netzly also said the public pressure point matters. When a company feels the heat, the "activism kind of goes away once public sentiment turns," as Nike demonstrated by backing off the transgender athlete study after OutKick exposed it to the public. 

Nike is facing an EEOC investigation tied to alleged DEI-related discrimination while Inspire Investing’s CEO argues shareholder pressure can push major brands away from political activism.

(Li Hongbo/VCG via Getty Images)

Inspire Investing is a faith-based investing firm Netzly says manages more than $4 billion and uses shareholder engagement, including shareholder proposals, to push companies away from political activism and toward what he calls corporate "neutrality."

Netzly told OutKick his group plans to file 38 shareholder proposals in 2026, with roughly half "specifically DEI-related," and others aimed at issues like employee free speech and corporate partnerships with outside activist organizations.

"There’s some free speech issues where companies have fired or otherwise punished employees for off-duty speech," he said. Netzly argued that employees with religious or conservative views should be able to "bring their whole selves to work and not be worried if they’re going to get passed up for promotions."

The Inspire Investing CEO acknowledged most shareholder proposals do not pass outright, but claimed they can still drive change through negotiation and pressure campaigns.

"Usually resolutions ‘fail.’ It’s very rare for a shareholder proposal to actually pass," he said before describing situations where companies negotiate and proposals get withdrawn.

How Investor Pressure Shapes Corporate Policy

While Nike, Disney, and other consumer-facing brands are often viewed as the public face of corporate activism, Netzly argued that some of the most aggressive internal policies can exist in companies that do not necessarily advertise them.

He cited Nvidia as a company Inspire has tried to engage on DEI and LGBT activism issues, describing Nvidia as "obstinate and unwilling to even have a dialog" with shareholders like him.

"It’s the only issue that we have with their company from a biblical value screening standpoint," Netzly said, adding that Inspire is "looking for some meat on the bone there."

Netzly also emphasized that average Americans, especially those invested through retirement accounts, often do not realize how much influence large asset managers can wield through proxy voting.

"Learn what you own," he said, arguing that investors should understand what is in their funds and who is voting on behalf of their shares.

"When you invest in a fund, they get to vote for you," Netzly claimed, urging investors to be more intentional about where they allocate retirement dollars.

With the EEOC investigation as a backdrop and shareholder pressure building, Netzly’s pitch is that investors can force companies to step away from political activism and focus on customers and shareholders.

Whether Nike changes course remains to be seen. But "go woke, go broke" is no longer just a slogan. Now it comes with financial consequences. 

If history has taught us anything, companies may like activism, but they love money more.