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Costco Denies Shareholder Demand to Back Down From DEI Hiring [Video]

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Company Formation

The Costco Board pushed back against its anti-diversity, equity and inclusion (DEI) shareholders, who had suggested the wholesale corporation re-evaluate its “illegal discrimination” program.

Newsweek reached out to Costco for comment.

Why It Matters

DEI programs have become both a cornerstone of institutional policies and a flashpoint in legal debates. Landmark court cases, such as Students for Fair Admissions v. Harvard and Fisher v. University of Texas, have challenged affirmative action practices, questioning whether race-conscious admissions violate constitutional principles of equal protection. Similarly, workplace DEI initiatives have faced scrutiny under Title VII of the Civil Rights Act.

What to Know

The Costco board responded to a group of shareholders, unanimously recommending a vote against the proposal to “report on the risks of maintaining DEI efforts.” The shareholders had suggested Costco employees would potentially become victim to “illegal discrimination because they are white, Asian, male or straight,” which could create “tens of billions …

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