Exxon Mobil is moving its corporate headquarters from Irving, Texas, to Houston as part of a business reorganization that the company said will be completed by 2023. What is making headlines, though, is the updated company guidance on its decision to ban any flag flying outside the corporate headquarters other than the official corporate flag. Why was this decision being announced? The corporation is sending a message that it intends to remain neutral and not succumb to politically correct virtue-signaling.

It’s a smart business move. Just ask the head honchos at the Walt Disney Corporation how taking public stands on social issues has affected their stock value.

Disney has now lost $41 billion in shareholder value since the release of internal videos exposing the company's plan to inject gender ideology into its children's programming. Conservatives are learning how to fight against woke capital—and we will win.

— Christopher F. Rufo ⚔️ (@realchrisrufo) April 23, 2022

An oil and gas company is different than theme parks, of course, but consumer reaction is the same across the board. Regular consumers don’t want companies to let political opinions seep into corporate messaging. In this case, Exxon wants to continue its support of gay employees, for example, and rainbow flags and banners can be displayed, just not outside the company headquarters. Only the flag with the Exxon Mobile logo will fly, not “external position flags”. Disgruntled employees are being told that the decision is to address the need for the corporation to maintain ‘neutrality.’

“The updated flag protocol is intended to clarify the use of the ExxonMobil branded company flag and not intended to diminish our commitment to diversity and support for employee resource groups,” Tracey Gunnlaugsson, vice president of human resources, said in a statement. “We’re committed to keeping an open, honest, and inclusive workplace for all of our employees, and we’re saddened that any employee would think otherwise.”

While the commonly recognized rainbow flag is prohibited, Exxon supports displaying banners and flags with logos of so-called employee resource groups, especially during signature months, Gunnlaugsson said. “The flags are directly related to our business and company support of our ERGs, including PRIDE for LBGTQ+ employees.”

Exxon will continue to support employee resource groups (ERGs) within the company, especially during signature months. One reason this updated guidance was likely put forward was due to some in corporate leadership who didn’t agree with a rainbow flag being flown at headquarters last year. Exxon’s PRIDE Houston employee group stated in an email Thursday, “PRIDE was informed the justification was centered on the need for the corporation to maintain ‘neutrality.”

So, now members of Exxon’s PRIDE Houston Chapter are refusing to represent the company at the city’s June 25 Pride celebration. It seems to be a childish reaction. The only people who will probably notice the group’s absence, if their decision holds, are Exxon employees. Absolutely nothing changes for LGBTQ employees at Exxon besides not having a rainbow flag displayed on the flagpole outside corporate headquarters during Pride month. The corporation is keeping its commitment to all its employees and providing an inclusive workplace.

Oil and gas exploration and production doesn’t need to be mixed up in the popular political ideological battles of the times. By announcing publicly that the company is staying out of politics as far as social agendas go, average consumers will appreciate a common sense approach. The trend has been for every company under the sun to virtue signal agreement with progressive demands. Sports teams and retail outlets, for example, have felt the wrath of consumers tired of being lectured. Just play ball or sell me a pair of jeans without lecturing me about social justice. The same goes for when I fill up my car’s gas tank.

Houston Exxon PRIDE is critical of the decision, saying, “It is difficult to reconcile how ExxonMobil recognizes the value of promoting our corporation as supportive of the LGBTQ+ community externally (e.g. advertisements, Pride parades, social media posts) but now believes it inappropriate to visibly show support for our LGBTQ+ employees at the workplace.” What the group fails to accept is that the flag flying outside of corporate headquarters only needs to be that of the corporation, not a special identity statement. This isn’t hard to understand. What would the reaction be if a flag bearing a big cross was flown just below the corporate logo flag? The point is that Exxon can support groups without flying a flag. It is not good business sense to risk angering any portion of a consumer base over spotlighting politics in the boardroom. It is not Exxon’s job to promote social justice, it’s to explore and drill for oil and gas.

If Houston Exxon PRIDE wants to boycott participation in this year’s Pride parade, so be it. But, they are cutting off their noses to spite their faces. Exxon corporate sponsorship pays for their participation which means the company shows support for the LGBTQ movement, right? That doesn’t change whether or not a rainbow flag is flying outside corporate headquarters.

Exxon has made significant strides to improve diversity and extend employee benefits over the last decade, but some workers perceive the row over the rainbow flag as a major setback for LGBTQ employees and their allies. The oil giant was slower than many corporations to provide equal coverage, but added gay marriage benefits in 2014, restored protective-employment language in 2015 and added transgender coverage in 2016.

Exxon’s Pride employee resource group has existed since 2008 and currently has 3,000 members globally. Exxon’s worldwide workforce is about 63,000.

It’s not a step backwards. It’s common sense and shareholders will appreciate the decision.