Target's New CEO Aims to Rebuild Trust After DEI Backlash

Michael Fiddelke plans to prioritize stores, digital, people, and community after pullback from diversity initiatives.

Published on Feb. 12, 2026

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Target's new CEO, Michael Fiddelke, told employees in Minneapolis that he plans to rebuild customer and employee trust after the retailer's pullback from diversity, equity, and inclusion (DEI) initiatives triggered backlash. Fiddelke acknowledged that Target 'lost' trust and that leadership failed to communicate clearly when it dismantled DEI programs, removed minority hiring goals, and ended an executive racial justice committee.

Why it matters

Target's decision to scale back its DEI efforts led to a consumer boycott, declining foot traffic, lower sales, and a significant drop in investor value. The leadership transition and Fiddelke's new priorities suggest an operating reset to stabilize revenue and labor sentiment after the governance decision produced market penalties.

The details

Reporting shows that the credibility gap was tied to Target's dismantling of DEI commitments, including a program that helped Black-owned businesses secure shelf placement, the removal of minority hiring goals, and the end of an executive racial justice committee. Consumer and investor response imposed direct costs, with a boycott driving foot-traffic declines for at least eight consecutive weeks and first-quarter sales dropping from $24.5 billion to $23.8 billion. Investors also lost $12 billion after Target scaled back its DEI efforts.

  • On February 4, 2026, Michael Fiddelke addressed Target employees in Minneapolis.
  • In August 2025, former CEO Brian Cornell announced he would step down after 11 years.
  • Fiddelke was installed as Target's new CEO on February 1, 2026.

The players

Michael Fiddelke

The new CEO of Target who plans to rebuild customer and employee trust after the retailer's pullback from diversity, equity, and inclusion initiatives.

Brian Cornell

The former CEO of Target who announced his resignation in August 2025 after 11 years in the role.

Target

The retail company that faced backlash and market penalties after scaling back its diversity, equity, and inclusion efforts.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee (Instagram)

What’s next

The judge in the case will decide on Tuesday whether or not to allow Walker Reed Quinn out on bail.

The takeaway

This case highlights growing concerns in the community about repeat offenders released on bail, raising questions about bail reform, public safety on SF streets, and if any special laws to govern autonomous vehicles in residential and commercial areas.