Costco Chair Tony James: We’re Not Changing Our DEI Policies, We Think of DEI ‘as Part of a Meritocracy’

SORKIN Tony I have ░░░░░░░░ separate question on a ░░░░░░░░ other topic which is ░░░░░░░░ Obviously it s swept ░░░░░░░░ country in one way ░░░░░░░░ is now sweeping the ░░░░░░░░ in another way in ░░░░░░░░ part because of President ░░░░░░░░ Costco obviously is ending ░░░░░░░░ DEI programs in large ░░░░░░░░ James No SORKIN Well ░░░░░░░░ mean you re keeping ░░░░░░░░ but not completely James ░░░░░░░░ haven t changed our ░░░░░░░░ SORKIN At all James ░░░░░░░░ SORKIN Oh then I ░░░░░░░░ mistaken KERNEN So there ░░░░░░░░ headlines to that effect ░░░░░░░░ assume James No there ░░░░░░░░ headlines saying signaling Costco ░░░░░░░░ as the company that ░░░░░░░░ not KERNEN Oh not ░░░░░░░░ I thought I was ░░░░░░░░ you said Blackstone Even ░░░░░░░░ BlackRock BlackRock crosstalk James ░░░░░░░░ certainly retreated yeah KERNEN ░░░░░░░░ James Costco has gotten ░░░░░░░░ lot of visibility more ░░░░░░░░ we ever wanted or ░░░░░░░░ because it s standing ░░░░░░░░ its current policies and ░░░░░░░░ And None of them ░░░░░░░░ illegal We ve had ░░░░░░░░ Right James every legal ░░░░░░░░ look at it And ░░░░░░░░ of them are new ░░░░░░░░ of them are post ░░░░░░░░ Floyd These things go ░░░░░░░░ literally to the company ░░░░░░░░ founding We had our ░░░░░░░░ we took an executive ░░░░░░░░ president from operations and ░░░░░░░░ him our first diversity ░░░░░░░░ SORKIN Right James over ░░░░░░░░ years ago We think ░░░░░░░░ this as not so ░░░░░░░░ for the social good ░░░░░░░░ I think it is ░░░░░░░░ think of this as ░░░░░░░░ of a meritocracy If ░░░░░░░░ attract a broader talent ░░░░░░░░ we have 300 000 ░░░░░░░░ we attract a broader ░░░░░░░░ pool and we work ░░░░░░░░ them all individually given ░░░░░░░░ different backgrounds SORKIN Right ░░░░░░░░ to be the best ░░░░░░░░ they can be we ░░░░░░░░ a better employee base ░░░░░░░░ choose from And I ░░░░░░░░ it enhances our ability ░░░░░░░░ be a meritocracy Costco ░░░░░░░░ the highest torque retailer ░░░░░░░░ the world We do ░░░░░░░░ biggest volume per building ░░░░░░░░ biggest volume per square ░░░░░░░░ on the smallest margins ░░░░░░░░ have to execute flawlessly ░░░░░░░░ single day We can ░░░░░░░░ have anything that s ░░░░░░░░ based on merit SORKIN ░░░░░░░░ so how scared are ░░░░░░░░ that the fact that ░░░░░░░░ then have this program ░░░░░░░░ you re willing to ░░░░░░░░ talk about it on ░░░░░░░░ that your company s ░░░░░░░░ going to be targeted ░░░░░░░░ this administration in some ░░░░░░░░ Isn t that why ░░░░░░░░ other company in America ░░░░░░░░ tried to get rid ░░░░░░░░ this Not just the ░░░░░░░░ by the way but ░░░░░░░░ the idea of boycotts ░░░░░░░░ other things that people ░░░░░░░░ Robby Starbuck and others ░░░░░░░░ are trying to build ░░░░░░░░ Look obviously it s ░░░░░░░░ attention because we re ░░░░░░░░ a political company We ░░░░░░░░ want to do run ░░░░░░░░ good business This is ░░░░░░░░ to the business core ░░░░░░░░ the way we always ░░░░░░░░ the business So it ░░░░░░░░ unwanted attention and it ░░░░░░░░ unnecessary risk absolutely But ░░░░░░░░ the same time it ░░░░░░░░ core to our values ░░░░░░░░ it s and we ░░░░░░░░ not doing anything with ░░░░░░░░ we re not doing ░░░░░░░░ with preferences or anything ░░░░░░░░ that We have nothing ░░░░░░░░ could be remotely deemed ░░░░░░░░ under the new interpretation ░░░░░░░░ the Supreme Court or ░░░░░░░░