Traditionally, control of European corn borer (Ostrinia nubilalis) Hübner has been achieved through the use of chemical insecticides. With increasing emphasis on reducing pesticide inputs in agricultural production, alternative management technologies are now being used including transgenic silage corn modified to express Cry1Ab protein toxins derived from Bacillus thuringiensis (Bt) Berliner. The Cry1Ab toxin is expressed by all plant cells and throughout the growing season. Furthermore, the toxins are exuded from corn plant roots into the rhizosphere, raising concerns over possible side-effects on non-target beneficial organisms in the same habitat. In addition, detrivores are exposed to crop residues containing the toxin when incorporated into the soil. The current 2-year study (2003, 2004) evaluated effects of two silage-corn varieties: Pioneer var. 38A25 (Bt-corn expressing the Cry1Ab toxin) and Pioneer var. 38A24 (parent isoline) on species diversity and evenness of carabid beetles and Collembola. Pitfall traps were used to collect surface-dwelling species on a bimonthly schedule from April to October. Soil cores were taken once a month from April to October to sample subterranean species, which were extracted using Berlese funnels. All individuals were recorded and identified where possible to species level for analysis in the Simpson’s D and Shannon–Wiener H’ diversity indices. Evenness was measured using Simpson’s E’, after which dominant species were analyzed in a multivariate ordination analysis. Results showed Bt-corn had no negative effects on any of the organisms analyzed. There was a significant year effect on the abundance of surface-dwelling Collembola and on species diversity of soil-dwelling Collembola. Our findings suggest that crop management practices and/or environmental conditions (e.g., heavy rainfall during the 2004 growing season) had the greatest impact on species diversity and evenness, rather than the crop itself (Bt or isoline).