We don’t believe in punishing private companies for making decisions that protect and enhance their workforce,’ Washington AG Nick Brown said
Washington State’s Attorney General Stands Firmly with Costco Amid DEI Policy Controversy
Washington state’s attorney general is championing Costco’s commitment to diversity, equity, and inclusion (DEI) practices while pushing back against conservative political pressure to dismantle these initiatives.
This week, a coalition of 19 Republican attorneys general dispatched a provocative letter to Costco, demanding the retail giant terminate what they characterized as “all unlawful discrimination” through its “divisive” DEI policies.
The attorney general for Washington state, where Costco’s corporate headquarters reside, swiftly defended the company and forcefully responded to the Republican-led challenge.
“I’m astonished by my Republican colleagues’ enthusiasm for weaponizing governmental power against private businesses,” Washington Attorney General Nick Brown, a Democrat, declared to Fox News Digital. “Our perspective is clear: we refuse to penalize private companies for implementing workforce strategies that protect and elevate their employees.”
Iowa Attorney General Brenna Bird, who spearheaded the multi-state initiative alongside Kansas Attorney General Kris Kobach, pledged to “explore all potential avenues” to verify Costco’s adherence to federal and state employment regulations regarding race and gender identity-based hiring practices.
“Costco must substantiate their legal compliance,” Bird asserted. “Numerous major retailers have already modified their policies to align with federal guidelines, mirroring President Trump’s executive actions addressing DEI practices. They must demonstrate their lawfulness.”
The coordinated effort includes attorneys general from Alabama, Arkansas, Georgia, Idaho, Kentucky, Ohio, Oklahoma, South Carolina, South Dakota, Tennessee, Texas, Virginia, Louisiana, Missouri, Montana, Nebraska, and North Dakota. Their letter provides Costco a 30-day window to respond.
This intervention follows President Trump’s recent executive order targeting DEI practices within federal institutions and encouraging private sector organizations to discontinue what he terms “illegal” diversity initiatives.
The presidential directive instructs attorneys general to identify and potentially challenge sectors and organizations allegedly engaging in discriminatory DEI practices, with recommendations for potential legal action.
While major corporations like Target, McDonald’s, and Walmart have recently retreated from robust DEI programs amid increasing scrutiny, Costco has steadfastly maintained its commitment to these principles.
“Our success stems from over 300,000 employees who serve our members daily,” Costco Board Chair Hamilton “Tony” E. James emphasized during a recent shareholder meeting. “Ensuring they feel included, appreciated, and can transmit these values to our customers is paramount.”
During the same meeting, shareholders overwhelmingly rejected a conservative-initiated proposal seeking to evaluate potential risks of DEI practices to the company’s financial performance.
James emphasized that Costco’s “commitment to inclusion” neither compromises professional merit nor implements systematic preferences or quotas.
Constitutional law expert Jonathan Turley offered nuanced perspective, stating that “absent an explicitly unlawful policy, businesses possess the right to make independent employment decisions within legal parameters.”
Turley further noted that while customers retain the right to make purchasing decisions based on corporate policies—as demonstrated by consumer responses to Bud Light and Disney—state attorneys general must carefully consider corporations’ speech and organizational rights.
Additional state attorneys general were contacted regarding potential actions following the Trump administration’s executive order. Indiana’s Attorney General Todd Rokita’s office unequivocally stated their opposition to DEI practices, supporting presidential initiatives to address them in corporate environments.
Conversely, Maryland’s Attorney General Anthony G. Brown previously co-signed a letter with 13 Democratic attorneys general encouraging Walmart to maintain its DEI commitments.
The ongoing national dialogue continues to evolve, with Costco standing as a prominent example of corporate resistance against mounting political pressure to dismantle diversity initiatives.