Target CEO Brian Cornell resigns due to declining sales and controversy over diversity, equity, and inclusion policy changes.
Target Corporation announced significant leadership changes on Wednesday, revealing that CEO Brian Cornell will step down from his role after more than a decade at the forefront of the retail giant. The Minneapolis-based company has encountered challenges, including sluggish sales growth and community pushback following its decision to reduce diversity, equity, and inclusion (DEI) initiatives.
In a forward-looking move, Target’s board of directors has nominated Chief Operating Officer Michael Fiddelke to succeed Cornell as CEO, effective February 1, 2026. Following his departure from the CEO position, Cornell will transition to the role of executive chair of the board.
Fiddelke has been with Target since 2003, having joined the company as an intern. Over the years, he has held various leadership roles within merchandising, finance, operations, and human resources, contributing significantly to the company’s foundational strengths. Earlier this year, Target established a new office dedicated to enhancing the organization’s speed, adaptability, innovation, and resilience, with Fiddelke appointed to lead this initiative.
In a statement, Fiddelke expressed enthusiasm about the opportunity to lead the company. He underscored his commitment to driving growth and improving performance at a time when Target’s comparable sales have faced a notable decline of 1.9% year-over-year, as reported in the recent second-quarter earnings. This decline marks a continuation of a concerning trend, with comparable sales figures either static or declining in eight of the last ten quarters.
Cornell has been instrumental in revitalizing Target since he assumed the CEO position 11 years ago. However, the company’s recent struggles have drawn scrutiny, particularly regarding its DEI initiatives. The decision to scale back on these programs has sparked criticism from both customers and advocacy groups, leading to calls for corporate responsibility and meaningful engagement with diverse communities.
Cornell lauded Fiddelke as the ideal candidate to lead Target into its next chapter, highlighting his remarkable resolve and growth-oriented perspective amidst complex challenges. As Target navigates these turbulent times, the leadership transition underscores the company’s urgency to realign its strategic vision and restore its momentum in the highly competitive retail landscape.
This leadership change could reshape Target’s approach in addressing customer expectations and market dynamics, as well as reaffirming its commitment to core values and corporate responsibility.
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