Iowa Businesses’ Silence on Trans Rights Bill Draws Criticism
Major Iowa business groups, which previously opposed legislative efforts to remove gender identity protections from the Iowa Civil Rights Act, have remained silent on a new bill that would do the same. This silence has drawn criticism from LGBTQ+ advocates and Democratic lawmakers.
Republican lawmakers are poised to vote on a bill that would remove gender identity as a protected class in the civil rights act. This move would send the bill to Gov. Kim Reynolds.
In 2007, when then-Gov. Chet Culver signed the law adding gender identity and sexual orientation to the Iowa Civil Rights Act, he did so at Principal Financial Group’s offices in Des Moines. Major business leaders, including those at Principal Financial, lobbied legislators to pass the law, putting Iowa at the forefront of LGBTQ+ rights.
“He talked about how open Principal was and how we needed this legislation,” former House Speaker Pat Murphy recalled in a 2019 reminiscence, remembering a meeting with the then-Principal CEO, Barry Griswell.
Then-Governor Chet Culver at the Iowa State Capitol.
However, this year, Principal Financial, the Iowa Chamber Alliance, the Greater Des Moines Partnership, and the Iowa Business Council have not weighed in on the current legislative debate despite their past advocacy. This lack of engagement represents a shift from previous years, when business group opposition helped to defeat similar efforts.
“I think these groups have abdicated their responsibility to Iowans,” said Keenan Crow, director of policy and advocacy for One Iowa, an LGBTQ+ rights group. “And I think they’re being penny wise and pound foolish with their own workforce.”
Lobbyists for Principal registered in opposition to similar bills in both 2021 and 2023. The Iowa Chamber Alliance and the Iowa Business Council joined in opposition in 2023. These bills ultimately failed.
Yet, none of these groups have publicly opposed the current legislation. The Iowa Chamber Alliance is registered as undecided, while Principal Financial, the Iowa Business Council, and the Greater Des Moines Partnership have not registered on the bill.
A view inside an Iowa Statehouse committee meeting.
A spokesperson for Principal declined to comment, and spokespeople for the Iowa Business Council and Greater Des Moines Partnership did not respond to requests for comment. Dustin Miller, executive director of the Iowa Chamber Alliance, also declined to comment.
In contrast to the silence of other major businesses, Kum & Go, now owned by Maverik, previously posted a message on social media in support of transgender youth. However, those posts have since been deleted, and Maverik has not registered opposition to the current bills.
Democrats and LGBTQ+ rights groups have criticized the businesses for their lack of public opposition.
“The lack of engagement on this issue from the business community is disappointing to say the least,” said House Minority Leader Jennifer Konfrst, D-Windsor Heights. Konfrst indicated that when Democrats inquired about the business community’s stance, they “saw nothing.”
Konfrst stated that businesses are in a unique position to influence Republicans, with whom they often agree. “And so they really could come in and speak out on behalf of all their employees, on behalf of the business community to say this is a step too far, this is going to hurt our workforce.”
Republicans defend the bill, dismissing concerns that it will allow for discrimination.
Sen. Jason Schultz, R-Schleswig, stated that the bill is not discriminatory, noting that a majority of states do not have explicit protections for gender identity in their laws.
Protesters outside the Iowa Statehouse.
Crow argued the legislation sends a negative signal, potentially discouraging businesses and employees from moving to Iowa. They cautioned that removing these protections could cause long-term reputational damage to the state.
