Republican Attorneys General Demand Costco End Diversity, Equity, and Inclusion Policies
Nineteen Republican attorneys general, led by Texas's Ken Paxton and Iowa's Brenna Bird, have sent a letter to Costco demanding the company end its diversity, equity, and inclusion (DEI) policies. This action comes amidst President Donald Trump's crackdown on DEI programs across the federal government.
The letter accuses Costco of engaging in "unlawful discrimination" through its DEI policies and urges the company to either repeal these policies or explain why they should be maintained. The attorneys general argue that these policies have been rejected by courts and businesses as illegal.
Costco has not yet responded to the letter. However, last week, 98% of the company's shareholders voted against a proposal requesting an evaluation and report on the risks associated with their DEI efforts.
The attorneys general's letter follows Trump's executive order on his first day in office, directing agencies to dismantle DEI policies at federal agencies and private companies that receive federal contracts. This order also placed all federal DEI workers on leave.
Several private companies have also chosen to repeal their DEI programs in recent weeks. Target, the seventh-largest U.S. retailer, announced it would end its Racial Equity Action and Change program, which was established to support Black employees and shoppers while promoting Black creators and vendors. Meta, the parent company of Facebook and Instagram, also announced plans to repeal its DEI programs, stating that it would instead focus on "fair and consistent practices that mitigate bias for all."
However, other companies, including Goldman Sachs and JPMorgan Chase, are maintaining their DEI policies. They believe that diverse perspectives benefit organizations and are committed to operating their programs and policies in compliance with the law.
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