Attorney General Alan Wilson joins 19 states in urging Costco to end unlawful DEI policies

(COLUMBIA, S.C.) – South Carolina Attorney General Alan Wilson joined attorneys general from 18 other states in calling on Costco to end its unlawful diversity, equity, and inclusion (DEI) policies, which they assert violate state and federal anti-discrimination laws. The letter, sent to Costco’s leadership, demands the company repeal these divisive policies within 30 days, emphasizing that Costco’s practices stand in direct opposition to its stated motto, “Do the right thing.”

“Costco’s DEI policies may have a fancy name, but at their core, they’re about discrimination, not diversity,” said Attorney General Wilson. “America was built on the idea that individuals are judged by their character and contributions, not the color of their skin. Costco should focus on merit, not woke politics.”

The letter highlights the Supreme Court’s recent decision in Students for Fair Admissions v. Harvard, which struck down race-based preferences and classifications. Justice Clarence Thomas’s opinion in that case reaffirmed that such practices contradict the principles outlined in the Declaration of Independence and the Constitution, which guarantee that all individuals are created equal and must be treated equally under the law.

In recent months, many companies, including Amazon, Ford, McDonald’s, Meta, and Walmart, have abandoned or reevaluated their DEI policies in light of legal challenges and public pressure. Costco, however, has doubled down, with its board of directors unanimously opposing a shareholder proposal to study the financial risks associated with these policies.

“Costco’s refusal to step away from discriminatory practices not only risks lawsuits but also jeopardizes the trust of its customers, employees, and investors,” added Attorney General Wilson. “The Supreme Court has made it crystal clear: eliminating racial discrimination means eliminating all of it.”

The letter also urges Costco to redirect its focus to other pressing issues, including allegations of slave labor in its supply chain, rather than clinging to policies that sow division and violate the law. The attorneys general have requested a response from Costco within 30 days, either confirming the repeal of its DEI policies or providing an explanation for their continuation.

You can read the letter here.