Costco, the retail giant, is under fire from a group of Republican attorneys general, including Texas Attorney General Ken Paxton, over its diversity, equity and inclusion (DEI) practices. The company’s shareholders rejected a proposal on January 23 to evaluate risks associated with DEI policies, which are a priority for former President Trump.
Trump issued an executive order on January 21, directing the heads of all agencies to encourage private companies to end such policies. The order aims to “end legal discrimination” and “restore merit-based opportunity.” Paxton is among 19 Republican attorneys general who signed a letter to Costco, urging the company to repeal its DEI policies.
The conservative AGs claim that DEI policies are “unlawful, unethical, and fundamentally un-American,” arguing that they promote divisive and discriminatory ideology. They argue that every person should be treated equally based on their merit, rather than being discriminated against based on their identity.
However, Costco has a long history of diversity and inclusion efforts, including the company’s motto “do the right thing.” The company has also committed to increasing pay for its workers, with reports suggesting hourly wages will rise to over $30 per hour for some employees.
Despite the controversy surrounding DEI policies, Paxton says that Costco is doing the wrong thing by clinging to such practices. He is calling on the company to end its “woke” policies immediately. The National Center for Public Policy Research filed the proposal for shareholders to discuss the issue at Costco, but the company’s board of directors voted unanimously to reject it.
Source: https://www.mysanantonio.com/business/article/dei-costco-20098375.php