Costco and his shareholders have retired President Donald Trump and conservative activists by holding on to the dei policy.
At the annual meeting of the company, they voted strongly against a proposal from a conservative activist group that questioned the diversity, equality and inclusion policy at Costco.
The mood was seen as a first test of investors' views on the value of the Dei programs of companies that many companies have added or strengthened from 2020 in the midst of the Black Lives Matter movement.
President Trump has already introduced anti-dei initiatives and claims that they are unfair and distracting. Before he was elected, American companies such as Ford and John Deere had already rowed back on the dei policy.
“I think there is a clear anti-white feeling in this country and that cannot be allowed,” Trump said in an interview with Time last summer.
In the meantime, vocal figures on social media, such as Robby Starbuck, have also insisted on boycots of so -called 'awake' companies. It has forced companies such as John Deere, Walmart and Ford to reduce or put their obligations aside.
However, Costco holds. The board of the company had urged investors to reject an investigation into the question of whether Dei's policy damaged the retailer, for example by forcing it to overlook the best candidates.
More than 98 percent of the shareholders voted against on Thursday.
Costco CEO Ron Vachris defended the company's policy towards a complaining customer
Lindsey Stewart, director of stewardship research and policy at Morningstar Sustainalytics, said that the comparable result at Costco 'suggests that even if the political climate about inclusion in the workplace changes, the low tendency of investors to support anti-di-resolutions so far remained unchanged. '
Prior to the vote, retail expert Neil Saunders told DailyMail.com that Costco is of the opinion that the various programs have helped the company to build a strong company.
“Given the positive results in recent years, it is impossible to claim that Costco's management does not know what it is doing,” says Saunders of Global Data.
“There is an element in them that says we have to continue with our work. Although some customers may not like the policy, I doubt whether many will get off of it, because it is not something that is visible or that has direct consequences for the shoppers. '
The proposal that was voted out. The shareholders' meeting of Costco came from the National Center for Public Policy Research.
The conservative action group put pressure on Costo to draw up a report in which the potential risks of his dei initiatives were outlined, because they say they are counterproductive and influence the share price.
In its shareholder proposal, the group stated: “Dei clearly brings process, reputation and financial risks for the company.”
All companies have a duty to avoid practices that harm their share price, because this damages investors.
Costco relies on his status as a loved store with loyal customers
But Costco's directors argued That dei policies are an active and not an obligation.
Managers emphasized that a diverse workforce and supplier file help attract top talent, promote innovation and improve the 'treasure hunt' shopping experience that appreciates customers.
Costco also argued that the conservative group that has submitted the motion has other motives than dei risks for the share price.
The retailer also said that his customers like to see diversity reflected in his workforce.
Costco relies on his status as a beloved store with loyal customers who have helped him stay outside the political struggle in the past.
“They are not the worst of the worst, so I didn't focus on it,” said Starbuck, who successfully put pressure on Walmart to reverse part of his dei policy about Costco.
“It is better to have your ducks in a row before you go after a beloved company,” he told Costco about any future Boycotinitiatives.
Retail expert Neil Saunders told DailyMail.com that Costco is of the opinion that the various programs have helped build a strong company.
Robby Starbuck has successfully put pressure on Walmart to reverse part of his dei policy
“Given the positive results in recent years, it is impossible to claim that Costco's management does not know what it is doing,” says Saunders of Global Data.
“There is an element in them that says we have to continue with our work. Although some customers may not like the policy, I doubt whether many will get off of it, because it is not something that is visible or that has direct consequences for the shoppers. '
It comes after large companies such as Walmart, Ford, John Deere and Tractor Supply have given up and returned to their dei obligations.
In July John Deere made a huge change in his dei practices, despite opposition and a harmful boycott of farmers and conservatives.
The company said in a statement that the 'socially motivated message exchange' and 'diversity quotas and identification of pronouns' would drop and distance themselves from 'parades for cultural consciousness'.
The company with a turnover of $ 61 billion a year had come under fire because of the sponsorship of a pride event for children from three years and other dei efforts, even when the factories closed and American workers fired.
