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A federal judge in Missouri has dismissed a lawsuit accusing Starbucks of illegal discrimination, ruling that the state failed to show the coffee giant harmed any workers or job applicants through its diversity, equity, and inclusion policies.

The decision is a legal win for Starbucks and comes as DEI programs face growing challenges across the country.

US District Judge John Ross, based in St. Louis, ruled Thursday that Missouri did not prove Starbucks discriminated against "even a single Missouri resident" who worked for the company or applied for a job, Reuters reported.

Without that proof, the case could not move forward. Ross was appointed to the bench by former President Barack Obama.

The lawsuit was brought by Missouri's attorney general's office, which argued that Starbucks used DEI goals as a cover to unfairly favor certain groups based on race, gender, and sexual orientation.

State lawyers claimed the company tied executive pay to meeting racial and gender hiring goals and gave special training and promotion opportunities to selected groups.

The suit also accused Starbucks of using a quota system to shape the racial and ethnic makeup of its board of directors.

The case was originally filed by former Missouri Attorney General Andrew Bailey, before he left to join the Trump administration as co-deputy director of the FBI.

Missouri Judge Dismisses Starbucks DEI Lawsuit

The current attorney general, Catherine Hanaway, continued the case. Neither Starbucks nor Hanaway's office immediately responded to requests for comment after the ruling.

The lawsuit focused on policies Starbucks adopted after 2020, when the killing of George Floyd by a Minneapolis police officer led to nationwide protests and pushed many companies to review how they hire, train, and promote workers.

Like many large employers, Starbucks said its efforts were meant to build a more inclusive workplace, not exclude anyone.

Judge Ross made clear that the state's claims fell short because they lacked real-world examples of harm.

In simple terms, the court said it is not enough to argue that a policy could discriminate; there must be proof that it actually did.

According to SRN News, Starbucks is one of the largest employers in the country, with more than 200,000 workers in the United States and about 360,000 worldwide.

This is not the first time its DEI efforts have been challenged.

In 2023, a federal judge in Washington state dismissed a shareholder lawsuit over similar policies, saying those debates belong with lawmakers and companies, not the courts.