Pride Toronto says it unexpectedly lost two more sponsors — Home Depot and Google — just weeks before Pride festivities are set to kick off in late June.
The non-profit behind the massive 2SLGBTQ+ festival, which attracts millions of people to the city every year, also said pharmaceutical giant Merck recently reduced its support.
In recent months, the organization has seen several sponsorship withdrawals and funding reductions — some of which Pride Toronto executive director Kojo Modeste believes are related to the corporate backlash against diversity, equity and inclusion (DEI) initiatives in the U.S.
The Star previously reported that Nissan Canada pulled funding from the festival, saying it had “re-evaluated” its marketing and media initiatives. Apparel and footwear maker Adidas also declined to renew its sponsorship, while The Abnormal Beauty Company (owned by Estée Lauder) and Tim Hortons lowered their contribution amounts.
Other Pride organizers across North America have also been struggling to keep corporate sponsors amid greater economic uncertainty and fear of backlash from the Trump administration.
“This is a wake-up call for us,” Modeste told the Star. “The individuals that we thought were supporters of the work that we’re doing clearly are influenced by external affairs, like politicians, etc.”
“Every dollar that we lose is having a significant impact on the festival,” Modeste continued.
“This is taking money away from community … our ability to hire artists, our ability to have the stages and all of the things that we do to continue to have that representation.”
A spokesperson for Home Depot said via email that the home improvement retailer continually reviews its non-profit giving and “decided not to contribute to this event this year with no agreement in place to do so.”
“We continue to participate in Pride activities throughout Canada and look forward to working with Toronto Pride on future opportunities,” the spokesperson added.
Merck Canada did not comment on the support provided to Pride Toronto, but said it continues supporting 2SLGBTQ+ organizations across Canada with a focus on Montreal, where its headquarters and most of its employees are located, “to create a positive impact and facilitate participation to key community events.”
A Google spokesperson told the Star the company will “continue to celebrate heritage and community moments and we’re supporting Toronto Googlers who will be marching in the parade this year.”
Scramble for supplies
Pride Toronto had already listed Home Depot and Merck as “rainbow” sponsors in its 2025 Pride Guide unveiled May 2. “Rainbow” sponsors provide cash and in-kind goods adding up to a minimum value of $40,000, according to Modeste.
Modeste said both companies had told Pride Toronto either verbally or in writing they would be renewing their sponsorship in 2025, but did not sign any contracts binding their commitment.
“A contract takes time,” explained Modeste. “There are times that we do things in good faith. So we listed them in the Pride Guide because they’re also returning sponsors. They’ve been with us for quite a few years.”
After conversations with Merck this week, Modeste said the company agreed to continue its support while reducing funding to $10,000 from $40,000 in 2024.
“In good faith, they came back,” said the executive director.
Without the Home Depot contribution, Pride Toronto is now looking for alternative suppliers of items such as garbage bags, wood, bins, zip ties and fans.
Meanwhile, Google — another former sponsor — never made it into this year’s printed and digital Pride Guide.
Just days before the guide was published, the tech giant said it would not renew its sponsorship, Modeste said. Last year, it had been a “bronze” sponsor of the organization, contributing $47,000.
Companies respond to U.S. DEI backlash
Several media reports highlighted that Home Depot has recently changed its language around diversity.
In an annual report filed to the U.S. Securities and Exchange Commission (SEC) in March, the company removed a section titled “Diversity, Equity and Inclusion,” that was included in last year’s report, and replaced it with another titled “Respect For All People.”
“We strive to maintain a culture that welcomes everyone, and we believe it helps us achieve our business goals by driving excellent customer service and innovation, empowering our associates to thrive and excel, and enriching the communities in which we operate,” the 2025 filing stated. “This includes creating an environment where our associates feel valued and respected and providing equal opportunity for all of our associates.”
That was after the home improvement retailer was targeted by conservative influencer Robby Starbuck in a social media post criticizing its “woke policies.” It also followed a Fox News report that Home Depot was subject to controversy for partnering with an American advocacy group on teaching elementary school kids about gender awareness.
“We’re proud to have a culture that welcomes everyone, and we believe it helps us achieve our business goals by supporting associates, building relationships and fostering innovation,” said the Home Depot spokesperson in response to the Star’s inquiry.
Google, too, removed mention of “diversity, equity and inclusion” from its SEC filing for the year ended Dec. 31, 2024, and reportedly axed aspirational hiring goals tied to representation. The tech giant was also criticized earlier this year for removing Pride and other cultural observances from its calendar application.
Meanwhile, on Tuesday, 99 per cent of Merck’s shareholders voted to reject an anti-DEI proposal from a conservative non-profit while its CEO reinforced the pharmaceutical giant’s commitment to diversity and inclusion.
Past funding issues at Pride Toronto
This is not the first time Pride Toronto has faced funding challenges. In January 2024, the organization was forced to repay more than $505,000 to the federal government after an accounting firm found it had misused grant money.
But Modeste does not believe the incident impacts how successful the organization has been in securing corporate sponsors in 2025.
“We acknowledge that mistakes were made in the past,” said Modeste in February, adding that the organization has systems in place to prevent future errors.
