Costco Wholesale Corporation (NASDAQ:COST, ETR:CTO) shareholders have overwhelmingly voted against an anti-diversity, equity, and inclusion (DEI) proposal during the company's annual meeting, as many companies like Walmart and McDonald’s are scaling back their DEI initiatives amid increasing political pressure.
On January 23, Costco shareholders voted against a proposal put forth by the National Center for Public Policy Research (NCPPR), a conservative think tank that called for the company to assess the potential risks associated with its DEI efforts.
More than 98% of shareholders voted against the measure, demonstrating strong support for Costco's existing policies.
The NCPPR argued that Costco's DEI initiatives could expose the company to legal, reputational, and financial vulnerabilities.
Costco's board of directors unanimously recommended that shareholders reject the proposal, asserting that their commitment to diversity is both "appropriate and necessary.”