The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (2024)

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Retail

Dominick Reuter

Updated

2023-10-19T17:08:07Z

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (1)

Costco CEO Craig Jelinek has been with the company since 1984, working his way up through the ranks.
Jelinek succeeded Costco cofounder Jim Sinegal as CEO in 2012, and plans to step down after 11 years.
He advocated for raising the minimum wage and helped grow Costco into a $254 billion retail giant.

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Jelinek was born in 1952 in Lancaster, California, a town 60 miles north of Los Angeles.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (5)

He attended Antelope Valley High School, graduating in 1970.

Jelinek's dad helped build B-1 and B-70 bomber planes for a living.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (6)

The CEO later told the Seattle Times that his father dissuaded him from going into the aircraft business. Sales "always depended on the Democrats or the Republicans," he said, and shifted with every new political regime change.

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Jelinek went on to attend San Diego State University.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (7)

The school was also the alma mater of Costco cofounder Jim Sinegal.

Jelinek didn't just attend the same university as Jim Sinegal,they also both worked at FedMart, a discount department store founded by entrepreneur Sol Price.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (8)

Jelinek joined the company in 1969 as a part-time food stocker and worked there until the early '80s.

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While Jelinek was working at FedMart, his dad said something that ended up encouraging him to stick with retail: "You know what? People will always have to eat."

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (9)

"I never forgot that," Jelinek told the Seattle Times. "You always know there's going to be work."

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At the time, Jelinek had left FedMart and was working at Lucky Stores, a California-based supermarket.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (10)

Jelinek spent three years at the grocery chain before joining Costco.

Jelinek got his start at Costco working in operations.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (11)

He opened the company's sixth location — in Tukwila, Washington — and helped Costco expand in Nevada and California.

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"The mid-80s were probably the most challenging years of my career," Jelinek said.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (12)

"We were expanding rapidly, but didn't yet have many central support departments, so I had to wear a lot of hats," he told the Committee for Economic Development.

Jelinek received a major promotion in 2004 when he was named executive vice president of merchandising for the chain.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (13)

His new role included overseeing large swaths of Costco's business, including e-commerce, foods, and pharmacy.

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When Sinegal retired in 2012, Jelinek took the top job at Costco.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (14)

Less than two years later, Costco's share price had risen 30%.

Under Jelinek, Costco's ethos was simple: treat employees well and the company will be more profitable.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (15)

"I just think people need to make a living wage with health benefits," Jelinek told Bloomberg in 2013. "It also puts more money back into the economy and creates a healthier country. It's really that simple."

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Jelinek has also urged the US government to raise the minimum wage.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (16)

"At Costco, we know that paying employees good wages and providing affordable benefits makes sense for our business and constitutes a significant competitive advantage for us," hetold the US Senate budget committee in 2021, arguing that maximizing "employee productivity, commitment and loyalty" is better for companies in the long term.

Under Jelinek, Costco's market cap has surpassed $254 billion.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (17)

The warehouse giant saw major gains with the onset of the pandemic, when shoppers rushed to stock up on household goods like toilet paper. Costco's share price soared, and the company added millions of new members per year.

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Costco is a famously frugal corporation, and while Jelinek earned more than his predecessor, he makes far less than his fellow retail CEOs.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (18)

Jelinek's total compensation reached over $9.9 million last year, while Walmart CEO Doug McMillon made a total of $25.3 million and Target paid CEO Brian Cornell more than $17.6 million.

As for what is arguably Costco's most famous product – its $1.50 hot dog combo – Jelinek says he's a "purist."

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (19)

"No mustard. No ketchup," he told Bloomberg. "I savor that hot dog. I eat 'em plain."

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In October 2023, Costco announced that Jelinek would step down at the end of the year, to be succeeded by president and COO Ron Vachris.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (20)

Vachris has worked with Costco for more than 40 years, starting as a forklift driver at Price Club and rising through the ranks in all aspects of merchandising and operations.

Jelinek and Vachris worked "hand in hand" for nearly two years to ensure a smooth transition, the company said.

Áine Cain and Avery Hartmans contributed to earlier versions of this article.

The life and career of departing Costco CEO Craig Jelinek, who's worked at the retail giant since the '80s – and eats its famous $1.50 hot dog plain (2024)

Jelinek was born in 1952 in Lancaster, California, a town 60 miles north of Los Angeles.

Jelinek's dad helped build B-1 and B-70 bomber planes for a living.

Jelinek went on to attend San Diego State University.

Jelinek didn't just attend the same university as Jim Sinegal,they also both worked at FedMart, a discount department store founded by entrepreneur Sol Price.

While Jelinek was working at FedMart, his dad said something that ended up encouraging him to stick with retail: "You know what? People will always have to eat."

At the time, Jelinek had left FedMart and was working at Lucky Stores, a California-based supermarket.

Jelinek got his start at Costco working in operations.

"The mid-80s were probably the most challenging years of my career," Jelinek said.

Jelinek received a major promotion in 2004 when he was named executive vice president of merchandising for the chain.

When Sinegal retired in 2012, Jelinek took the top job at Costco.

Under Jelinek, Costco's ethos was simple: treat employees well and the company will be more profitable.

Jelinek has also urged the US government to raise the minimum wage.

Under Jelinek, Costco's market cap has surpassed $254 billion.

Costco is a famously frugal corporation, and while Jelinek earned more than his predecessor, he makes far less than his fellow retail CEOs.

As for what is arguably Costco's most famous product – its $1.50 hot dog combo – Jelinek says he's a "purist."

In October 2023, Costco announced that Jelinek would step down at the end of the year, to be succeeded by president and COO Ron Vachris.

References