1. United States
  2. Iowa
  3. Letter

Respect Costco's right to self-govern DEI policies

To: Sen. Whitver, Rep. Lohse, Gov. Reynolds

From: A constituent in Polk City, IA

February 10, 2025

Costco's approach to diversity, equity and inclusion (DEI) policies should be solely determined by the company and its shareholders, not through external political pressure. As a private business, Costco has the right to implement lawful DEI initiatives aimed at fostering an inclusive workplace environment and reflecting the diversity of its customer base. The overwhelming 98% vote by shareholders in favor of maintaining Costco's DEI statements demonstrates that these policies align with the company's values and interests. Attempts by Iowa Attorney General Brenna Bird and other Republican officials to coerce Costco into abandoning its DEI efforts through threats of legal action are an overreach of government power. These policies do not inherently constitute unlawful discrimination as alleged. Leading legal experts have affirmed that most corporate DEI programs, such as employee resource groups, diversity training, and inclusive recruitment strategies, are permissible under existing laws when implemented properly. Costco should have the autonomy to manage its own internal affairs without undue interference from partisan political actors. Shareholder votes and market forces, not government mandates, should dictate corporate policies on matters like DEI. Preserving this boundary between private enterprise and state overreach is crucial for upholding free market principles and avoiding the politicization of business decisions. A course correction is warranted to respect Costco's right to self-governance on this issue.

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