Costco's board of directors unanimously urges shareholders to reject a proposal to evaluate its diversity, equity and inclusion policies, with an eye toward eliminating them.
The Seattle Times’ Post
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Leaders and decision-makers take note. Anti-DEI activism is creating unnecessary division and financial strain on organizations. Groups like NCPPR often misrepresent DEI, framing it as a liability rather than a driver of innovation, growth, and shareholder value. Costco’s recent stand against a shareholder proposal to evaluate the “risks” of its DEI initiatives is a reminder of what’s at stake. By rejecting this proposal, Costco’s board reaffirmed its commitment to diversity, equity, and inclusion, which are core values and a strategy for long-term success. With annualized stock returns more than double the S&P 500 over the past decade, Costco demonstrates that happier employees and inclusive workplaces aren’t just a “nice to have.” They’re the foundation for sustained innovation, talent retention, and financial growth. 🔑 DEI is not a risk; it’s a strategic advantage. Costco’s approach is a blueprint for balancing purpose and profit in the face of ideological attacks. The full Forbes article provides an in-depth look at this issue and why DEI remains essential for today’s organizations.
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Costco Wholesale just showed us what it looks like to stand firm on #diversityequityinclusion values, even in the face of strong opposition. 💪 Recently, a proposal was brought to Costco’s Board to end their DEI initiatives, claiming they posed legal and financial risks. But Costco’s leadership didn’t flinch. Instead, the Board unanimously urged shareholders to reject the proposal, reinforcing that DEI isn’t just a nice-to-have—it’s central to their values and success. Their reasoning? DEI creates opportunities for all, strengthens employee satisfaction, and boosts retention. Costco is sending a powerful message: building an inclusive environment isn’t a liability; it’s a cornerstone of long-term success. This is a masterclass in putting DEI at the forefront. They didn’t treat DEI as a checkbox or a PR move. They owned it as part of their organizational DNA and were unapologetic about its value. This is how we push back against efforts to dismantle progress. By staying grounded in our values, being vocal about the benefits of inclusion, and demonstrating how DEI drives both people and profits forward. Costco, stay strong!! (BTW, I just renewed my membership!). #Leaders, take note—this is how it’s done. Let’s keep the #momentum going. #DEI #Leadership #InclusiveLeadership #ValuesInAction #BoardofDirectors #PeopleFirst #DoingTheRightThing https://lnkd.in/eA4-Vvr8
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As African Americans, we should never minimize our purchasing power. 2025, let's intentionally invest in companies that demonstrate that they value us: ✅ Prioritize diversity at every level—frontline workers, management, and boardrooms. ✅ Commitment to diversity goals and standards is a moral imperative and a business advantage. ✅ Create equitable opportunities and honor the value of every employee's contribution. When we align our spending with our values, we send a powerful message: honoring diversity isn't just good ethics—it's good business. Thanks, Cosco Supermarket! #EthicalLeadership #DiversityMatters #BlackEconomicPower #GoodBusiness #Cosco https://lnkd.in/gV4KrGJV
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Costco Wholesale has taken a bold stand in a world where some companies are retreating from Diversity, Equity, and Inclusion (DEI) initiatives. Their response to a shareholder proposal seeking to undermine DEI programs wasn’t just a rejection—it was a reaffirmation of DEI as essential to their success. Costco Wholesale’s Board of Directors emphasized that fostering inclusion and valuing diversity strengthens their ability to attract top talent, retain employees, and serve their diverse customer base. They’ve shown that DEI isn’t about politics—it’s about creating opportunities for all and building a sustainable, thriving organization. This moment is a critical reminder: DEI is not a risk; it’s a necessary commitment to equity and innovation. Doubling down on DEI means investing in people, fostering community, and ensuring businesses remain resilient and relevant in an ever-changing world. My inbox is often inundated with White folks asking how they can support DEI work. This is how: don't wait for a woman of color to speak up against something. Don't celebrate or privately thank the Black woman on your team for pushing the conversation. Don't fall in line when your company suggests scrapping language or metrics tracking organizational equity. Double down and fight for DEI work to continue. Follow Costco’s lead and keep pushing for workplaces and systems that value everyone. https://lnkd.in/gCe-5kJi
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In the wake of some companies adjusting their investment and commitment to diversity, equity, and inclusion efforts, Costco’s board of director’s response to a shareholder proposal demonstrates their commitment to inclusion. Their approach “prioritize[s] DEI initiatives that enhance workplace culture and deliver measurable results. Costco demonstrates this by linking its DEI efforts to fostering an inclusive environment that attracts and retains top talent. Its low turnover rate underscores how tying DEI to tangible outcomes reinforces its strategic value.” This also demonstrates that if a company is truly committed to an inclusive environment, they will stand behind their strategy.
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It's called values It's called principles It's called integrity
The board pointedly criticized a proposal from the National Center for Public Policy Research that Costco produce a report on the risks of maintaining its diversity,equity and inclusion policies
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Applauding Costco’s Commitment to DEI! Costco Wholesale’s dedication to Diversity, Equity, and Inclusion (DEI) is a powerful example of leadership in action. At a time when many companies are scaling back DEI initiatives, Costco’s unwavering commitment stands out. By standing up and speaking out, they show that morals and values aren’t disposable just because they’ve become less fashionable. As someone who values integrity and inclusion, I’m proud to support a company that reflects these principles. Costco’s stand is a beacon of hope, demonstrating that leadership means doing what’s right—even when it’s not the easiest path. Thank you, Costco, for setting an example and leading the way. #DEI #LeadershipMatters #Inclusion #Equity #DiversityAndInclusion #Costco #SocialImpact #CorporateLeadership #IntegrityInAction
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While some companies are paring back their DEI programs and initiatives, others remain steadfast in upholding their support. Earlier this week, #MLT Founder and CEO John Rice sat down with Nell Gallogly at The New York Times, who writes that companies with deep-rooted commitments to DEI, tied to business outcomes, can defend their programs to their employees, customers, and, if applicable, their shareholders. As John states: “The companies that were never really committed may use this moment as an opportunity to step back and revert to the status quo. Others who’ve been doing this work for a long time are going to keep doing it.”
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Will DEI Damage the Reputation of Businesses? Diversity, Equity, and Inclusion (DEI) programs are designed to create fair and inclusive workplaces. But there has been an effort generated by Costco shareholders aiming to roll back the initiative. Will this backfire, encourage new customers, make things more polarized, or just bad business? When done right, I think DEI programs don’t just protect a reputation—they make it stronger. https://lnkd.in/gigeYkc4
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"Under pressure from activist investors to curtail its diversity, equity and inclusion initiatives, Costco’s board defended its DEI efforts, in contrast to other firms, like John Deere and Walmart, which have also come under scrutiny by anti-DEI activists." Read the full article at the link below #DEI #diversity #equity #inclusion #business #learning #data
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