Kevin O'Leary Criticizes Costco's Commitment to DEI Policies Amid Industry Backlash

Costco's steadfast commitment to Diversity, Equity, and Inclusion (DEI) policies has ignited criticism from investor Kevin O'Leary, particularly as many corporations, such as Target and Walmart, are retracting their DEI initiatives. O'Leary, a Costco shareholder, argues that maintaining DEI efforts could lead to legal troubles and is detrimental to business, emphasizing a merit-based hiring approach instead. He believes that hiring for merit naturally results in diversity, regardless of the candidates' backgrounds. In contrast, former Costco executive Roger Campbell defended the company's DEI policies, asserting that they have always been integral to Costco's culture and operational success. Amid this controversy, Costco's shareholders recently rejected an anti-DEI proposal, further solidifying the company's stance. With 19 states' attorneys general urging Costco to reconsider its DEI strategies, the retail giant remains a focal point in the ongoing debate over corporate diversity policies.