Costco Doubles Down on DEI Efforts Despite Backlash
Costco is refusing to back down in the face of growing criticism from anti-DEI (Diversity, Equity, and Inclusion) shareholders.
While other companies such as Walmart, Lowe’s, Ford, and Toyota have rolled back or adjusted their DEI programs, Costco’s board of directors unanimously urged shareholders to reject a proposal from the National Center for Public Policy Research, a conservative think tank.
The proposal called for an evaluation and report on the financial risks associated with the retailer’s diversity and inclusion objectives.
The group criticized Costco for possible “illegal discrimination” against employees who are “white, Asian, male or straight.”
According to Costco, its DEI initiatives contribute to attracting and retaining a diverse workforce while enhancing the variety of products and services available in stores. Additionally, the company noted that its members value engaging with a diverse group of employees.
“Among other things, a diverse group of employees helps bring originality and creativity to our merchandise offerings, promoting the ‘treasure hunt’ that our customers value,” Costco said in its proxy statement to investors. “We believe (and member feedback shows) that many of our members like to see themselves reflected in the people in our warehouses with whom they interact.”
Costco employs a chief diversity officer and runs a supplier program to foster growth among small and diverse businesses. The company also supports organizations such as the Thurgood Marshall College Fund, which benefits minorities and underrepresented communities.
