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Costco

OVERALL

Owned
USA
Rating
Criticisms

Retailer

Membership based warehouse for wholesale and retail. The second largest retailer in the United States, the seventh largest retailer in the world.

Costco Wholesale Corporation   USA     website      facebook   

> About the Ratings

Company Assessment

PRAISE CRITICISM INFORMATION
Costco Wholesale Corporation
Social Uzbek cotton commitment
This company has signed the Cotton Pledge with the Responsible Sourcing Network, signifying a public commitment to not knowingly source Uzbek cotton for the manufacturing of any of their products until the Government of Uzbekistan ends the practice of forced labor in its cotton sector. The Uzbek government uses local government officials, hospital directors, and school presidents to mobilize workers; and detains and tortures human rights defenders seeking to monitor the harvests.
Source: As You Sow (2019)
Business Ethics 57.7% at JUST Capital
JUST Capital polls Americans every year to identify the issues that matter most in defining just business behaviour. For their 2021 rankings the public identified 19 issues, which are organised under the headings Workers, Communities, Customers, Shareholders and Environment. JUST Capital then define metrics that map to those issues and track and analyse the largest, publicly traded U.S. companies. This analysis powers their rankings, in which this company ranked 203th of 928 companies, and 14th of 48 Retail companies.
Source: JUST Capital (2020)
Environment Tissue sourcing
A 2019 report by two major environmental groups, the Natural Resources Defense Council (NRDC) and Stand.earth, rated companies on their efforts to source sustainable materials for their tissue products. This company received a rating of 'F'.
Source: NRDC (2019)
Environment 16.6/100 in Plastics Scorecard
Greenpeace's 2019 report, "Packaging Away the Planet" assesses twenty US retailers on their efforts to address the plastic pollution crisis. Companies are scored on policy, reduction, innovation and initiatives, and transparency. All retailers profiled in the report received failing scores. This company received a score of 16.6/100.
Source: Greenpeace (2019)
Social Human Rights Benchmark
The 2019 Corporate Human Rights Benchmark assessed 200 of the largest publicly traded companies in the world from the Agricultural Products, Apparel, Extractives and ICT Manufacturing sectors on 100 human rights indicators. This company's score was in the 0-10 band range. The overall average score was a disappointing 24%.
Source: CHRB (2019)
Social Conflict Minerals Ranking
In November 2017 the Enough Project published Demand the Supply, which ranked consumer electronics and jewelry retail companies on their efforts to develop conflict-free minerals supply chains from Congo. Companies were ranked on reporting; sourcing conflict-free minerals from Congo; supporting the artisanal mining communities in Eastern Congo; and conflict-free minerals advocacy. This company received a score of 7.5/120.
Source: Enough Project (2017)
Social Forced labour in China
The Chinese government has facilitated the mass transfer of Uyghur and other ethnic minority citizens from the far west region of Xinjiang to factories across the country. Under conditions that strongly suggest forced labour, Uyghurs are working in factories that are in the supply chains of at least 83 well-known global brands in the technology, clothing and automotive sectors, including brands owned by this company.
Source: ITUC (2020)
Social Workers rights in China
This 2017 investigative report by China Labour Watch reveals labor abuses in four Chinese toy factories. One or more of these factories supply this company. Labor abuses include low wages, excessive overtime, dangerous work environments and humiliating living conditions.
Source: China Labor Watch (2017)
Animals Tuna sourcing
This company received a 'Red' rating in Greenpeace USA's 2017 Tuna Shopping Guide, which evaluates and ranks tuna brands on how sustainable, ethical and fair their tuna products are for our oceans - and for the workers that help get the products to store shelves.
Source: Greenpeace (2017)
Business Ethics 17.7% in Newsweek Green Ranking 2017
This company received a score of 17.7/100 in the Newsweek Green Ranking 2017, which ranks the world's largest publicly traded companies on eight indicators covering energy, greenhouse gases, water, waste, fines and penalties, linking executive pay to sustainability targets, board-level committee oversight of environmental issues and third-party audits. Ranking methodology by Corporate Knights and HIP Investor.
Source: Newsweek (2017)
Business Ethics 16/100 S&P Global ESG Score
This company received an S&P Global ESG Score of 16/100 in the Food & Staples Retailing category of the S&P Global Corporate Sustainability Assessment, an annual evaluation of companies' sustainability practices (last updated 7 Feb 2021). The rankings are based on an analysis of corporate economic, environmental and social performance, assessing issues such as corporate governance, risk management, environmental reporting, climate strategy, human rights and labour practices.
Source: S&P Global (2021)
Environment CDP Climate Change Score of D
In 2019, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change Score of D.
Source: CDP (2019)
Environment 33% in Forest 500 Rankings
The Forest 500 identifies, ranks, and tracks the governments, companies and financial institutions worldwide that together could virtually eradicate tropical deforestation. Rankings are based on their public policies and commitments and potential impacts on tropical forests in the context of forest risk commodities (palm oil, soy, beef, leather, timber and paper). This company received a score of 33%.
Source: Forest 500 (2020)
Environment Plastic pollution
In 2018 volunteers collected and catalogued more than 187,000 pieces of trash from beach cleanups around the world to find out which corporations are contributing the most to the global plastic pollution problem. While not in the top 10, this company ranked as one of the world's worst plastic polluters.
Source: #breakfreefromplastic (2018)
Environment D- grade for plastic pollution
As You Sow's 2020 report, Waste and Opportunity, ranks companies on plastic packaging pollution. The study measures the progress of 50 large companies in the beverage, quick-service restaurant, consumer packaged goods, and retail sectors on six core pillars where swift action is needed to reduce plastic pollution: 1) Packaging Design, 2) Reusable Packaging, 3) Recycled Content, 4) Packaging Data Transparency, 5) Support for Recycling, and 6) Producer Responsibility. This company received a grade of D-
Source: As You Sow (2020)
Social 28/100 in KnowTheChain Benchmark
In 2020/21 KnowTheChain benchmarked over 180 large global companies in the ICT, Food & Beverage, and Apparel & Footwear sectors on their efforts to address forced labour and human trafficking in their supply chains. This company received a score of 28/100.
Source: KnowTheChain (2021)
Social Chocolate scorecard
In 2021 Mighty Earth and Be Slavery Free released their Easter Chocolate Shopping Guide, a scorecard which ranks retailers on transparency and cocoa sustainability practices in regards to deforestation, farmer poverty and child labour. It does not assess effectiveness or implementation. This company is rated as "Needs more work".
Source: Be Slavery Free (2021)
Business Ethics 15/100 in Fashion Transparency Index
The 2020 Fashion Transparency Index reviewed 250 of the world's largest fashion brands and retailers and ranked them according to how much they disclose about their social and environmental policies, practices and impacts. Brands owned by this company scored 15%, signifying it makes some efforts to manage and improve their supply chains but make little supply chain information publicly available. The average score was 23% and the highest score was 73%.
Source: Fashion Revolution (2020)
Environment Green Grades Report card
D for report card on paper practices of the office supply sector, (A best, F worst), covering chain of custody endangered forests plantations & controversial sources, responsible forestry & FSC-certification, recycling & reduction, and other leadership. [Listed under Information due to age of report]
Source: ForestEthics (2010)
Social Guide to Healthy Cleaning grade (B-F)
EWG's Guide to Healthy Cleaning provides safety ratings for household cleaning products, with over 2,500 products rated from A (lowest concern) to F (highest concern). This company's score range is B to F, with 70% of their products scoring an F.
Source: Environmental Working Group (2020)
Social Workers rights in Cambodia
This 2014 report by the Workers Rights Consortium which investigates conditions at two Cambodian facilities owned by the Taiwanese-owned firm Zongtex Garment Manufacturing over the period 2010-2014 consistently identified serious violations, including underage workers, deprivinged workers of legally required compensation, coercing workers to work overtime, and providing workers with unclean drinking water that may endanger their health. This company is a key buyer from these factories. [Listed under Information due to age of report]
Source: Workers Rights Consortium (2014)
Business Ethics CEO Pay Ratio of 169:1
In 2019 the median pay for a worker at this company was US$47,312. The CEO was paid 169 times this amount. Exorbitant CEO pay is a major contributor to rising inequality. CEOs are getting more because of their power to set pay, not because they are increasing productivity or possess specific, high-demand skills. The economy would suffer no harm if CEOs were paid less (or taxed more). In contrast, the CEO-to-typical-worker compensation ratio was 20-to-1 in 1965 and 58-to-1 in 1989.
Source: AFL-CIO (2020)
Environment Rainforest Alliance certified products
This company sells Rainforest Alliance certified products. However this only represents a fraction of this company's total private label products sales. Rainforest Alliance certification has been dubbed 'Fairtrade light' by critics, as it offers producers no minimum price for their crop, and guarantees a minimum of just 30% of the product is certified.
Source: Rainforest Alliance (2020)
Social BPA use
EWG's 2015 report "BPA in Canned Food" analyzed 252 canned food brands to find out which ones are still using BPA (bisphenol A), a synthetic estrogen found in the epoxy coatings of food cans which has been linked to many health problems. This company was amongst the 'Better Players' for using BPA free-cans for some of its brands and/or products.
Source: Environmental Working Group (2015)
Social Phase-out of bee-killing pesticides
This company encourages suppliers of garden plants to limit the use of non-essential chemicals, discourages use of neonicotinoid insecticides on pollinator-attractive plants and encourages use of eco-friendly methods of pest and disease control. Also expanding its selection of organic products, which supports pollinator health.
Source: FOE-US (2017)
Social Disclosure statement
Follow the link to see this company's disclosure statement regarding human trafficking and anti-slavery.
Source: company website (2013)
Animals Sow stall commitment
In July 2012 this company received praise from the Humane Society for announcing that it will eliminate gestation crates - small cages used to confine breeding pigs - from its pork supply chains.
Source: Humane Society of the US (2012)
Business Ethics Sustainability claims
This company has claims on its website listing their sustainability responsibilities for employees, for their communities, to operate efficiently and in an environmentally responsible manner, and to source merchandise in a sustainable manner.
Source: company website (2021)
Business Ethics Alliance for Bangladesh Worker Safety member
This company is a member of the Alliance for Bangladesh Worker Safety, a legally binding, five-year commitment to improve safety in Bangladeshi ready-made garment factories. The Alliance aims to improve worker safety in the Bangladesh garment industry by upgrading factories, educating workers and management, empowering workers, and building institutions that can enforce and maintain safe working conditions throughout Bangladesh. However it lacks an important enforcement mechanism included in the Accord on Fire and Building Safety in Bangladesh, and unlike the Accord, the Alliance has not received the endorsement of the ILO.
Source: Alliance for Bangladesh Worker Safety (2020)
Business Ethics How2Recycle member
This company is a member of How2Recycle. The How2Recycle Label is a voluntary, standardized labeling system that clearly communicates recycling instructions to the public. It involves a coalition of forward thinking brands who want their packaging to be recycled and are empowering consumers through smart packaging labels. Companies must be a member of the program to use the How2Recycle Label.
Source: How2Recycle (2020)
Business Ethics Responsible Minerals Initiative member
This company is a member of the Responsible Minerals Initiative (formerly the Conflict-Free Sourcing Initiative), which helps companies address conflict minerals issues in their supply chains. The RMI provides information on conflict-free smelters and refiners, common tools to gather sourcing information, and forums for exchanging best practices on addressing conflict minerals. Membership is open to companies that use or transact in tantalum, tin, tungsten or gold (3TG). Founded in 2008 by members of the Electronic Industry Citizenship Coalition and the Global e-Sustainability Initiative.
Source: RMI (2019)
Business Ethics Sustainable Food Laboratory member
The Sustainable Food Lab is a network of business, public sector, and civil society leaders from around the globe who are working together to accelerate sustainability in mainstream food and agriculture.
Source: Sustainable Food Lab (2016)
Environment Palm oil scorecard - WWF
The WWF Palm Oil Buyers Scorecard 2019 assesses 173 companies on the commitments they have made, and the actions they have taken, to ensure that there is no destruction of nature including no deforestation along their supply chains; and support a responsible and sustainable palm oil industry beyond their own supply chain. This company is rated 'middle of the pack' with a score of 13 out of a possible total of 22.
Source: WWF Palm Oil Buyers Scorecard 2019 (2019)
Social SB 657 disclosure statement
The California Transparency in Supply Chains Act of 2010 (SB 657) requires companies operating in California to disclose their efforts to eradicate slavery and human trafficking from their direct supply chains. KnowTheChain.org has examined this company's disclosure statement and concluded that it addresses the majority of SB 657 requirements. Follow the link to see this company's disclosure statement.
Source: company website (2013)
Social C- in toxic chemical ranking
In 2019 the Mind the Store campaign ranked 43 major US retailers on their efforts to eliminate toxic chemicals from consumer products. This company received a grade of C-.
Source: Mind the Store (2019)
Animals Tier 4 in farm animal welfare rankings
The 2020 Business Benchmark on Farm Animal Welfare (BBFAW) report ranks global food companies on how they are managing and reporting their farm animal welfare policies and practices. This company appeared in tier 4, "Making progress on implementation", with tier 1 being the best, and tier 6 the worst.
Source: BBFAW (2020)
Animals Seafood Sustainability Scorecard
This company received a score of 5.3/10 in Grenpeace USA's 2015 Carting Away the Oceans (CATO) report, which evaluates and ranks supermarkets on their sustainable seafood policies.
Source: Greenpeace (2015)
Business Ethics OpenSecrets.org profile
OpenSecrets.org tracks the influence of money on U.S. politics, and how that money affects policy and citizens' lives. Follow link to see this company's record of political donations, lobbying, outside spending and more.
Source: Open Secrets (2014)

> About the Icons

Company Details

Type Public company
Revenue 153 billion USD (2019)
Employees 254,000 (2019)
Subsidiaries Costco Wholesale Australia Pty Ltd 

Retailer

Membership based warehouse for wholesale and retail.

Contact Details

Address Issaquah, Washington, USA
Website www.costco.com

Products / Brands

Costco Wholesale Australia
Costco Supermarkets
Kirkland Signature House Brands


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