Do we like Costco?
Membership-only warehouse retailer selling bulk groceries, goods and fuel; based in Issaquah, Washington, USA
Our score: 8 out of 10. Mostly yes. It pays well and has kept its DEI policies under pressure. Against that, it's behind on climate targets and faces tariff-refund suits and a union wage complaint.
Costco's boss, Ron Vachris, started as a forklift driver at Price Club in 1982 and became CEO in January 2024. He's only the third CEO in the company's history. CNN says the top team all came up through the ranks, and that Costco has no media relations department.
Pay is the big selling point. In early 2025 Costco raised top non-union hourly pay to over $30, and entry-level pay to $20. The Teamsters, who represent about 18,000 workers, said the company wouldn't have done it without union pressure. A strike was averted when a deal came hours after the contract expired.
Not everything is rosy with staff. In June 2025 Teamsters Local 174 said it had filed complaints with Washington's labour department. It accused Costco of not paying fleet drivers the retroactive wages in their first contract. That's the union's claim, not a finding.
Tariffs are the current drama. Costco sued the government to get its tariff money back after the tariffs were ruled unlawful. Shoppers then filed class actions accusing it of passing those costs on and keeping any refunds. Costco has asked for the case to be dismissed and says it owes customers nothing. Nothing is settled.
On climate, investors have pushed Costco to do more. It agreed to set full value-chain targets but declined to align with the Science Based Targets initiative. Fuel stations also push its emissions up. Overall we'd back it: good jobs and a fair-dealing reputation outweigh a middling environmental record.