New Target CEO Michael Fiddelke. (Bryan Bedder/Getty Images)
February 4, 2026 3:12 PM, EST
Target Corp.’s new CEO, Michael Fiddelke, acknowledged in his first town hall that the big-box retailer has lost trust with shoppers and employees and pledged to rebuild that connection.
“We weren’t clear enough about who we are as a company,” Fiddelke told staff Feb. 4, according to a recording viewed by Bloomberg News. “When we aren’t clear enough, that confuses people. We didn’t do enough to correct that confusion in the moment.”
Fiddelke is taking over as Target looks to address problems ranging from a lengthy sales slump to an abrupt pullback from its wide-ranging diversity initiatives as President Donald Trump took office last year. The latter alienated some consumers and led to boycotts.
Target’s unclear position has hurt the company’s standing with consumers — especially Black shoppers — as well as staffers, Fiddelke said at the town hall. Last year was difficult, he said, adding that work is underway to reconnect with the customers Target has lost.
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Fiddelke, a Target veteran who started as an intern, took over as CEO on Feb. 1. He has pledged to improve the company’s merchandise and in-store experiences while using technology more effectively to run the business. The company has lost market share to competitors like Walmart Inc. and Costco Wholesale Corp. The shares slumped 28% last year, while the S&P 500 Index rose 16%.
Walmart ranks No. 1 and Costco No. 53 on the Transport Topics Top 100 list of the largest private carriers in North America.
A Target spokesman said the company is moving with urgency and focus to accelerate its growth, and “is already seeing the progress.”
Immigration Tensions
A sweeping federal immigration crackdown, which has sparked a wave of protests in the company’s home city of Minneapolis, has been a focal point in recent weeks. The death of two people at the hands of federal agents has caused protests to swell across the country while sparking deeper questions about companies’ interactions with the government.
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Target has told employees that it doesn’t cooperate with any immigration enforcement agencies. Like most major corporations, it hasn’t weighed in on the enforcement operations. The company signed a collective letter urging an immediate “de-escalation of tensions” between state, local and federal authorities.
Target and more than 60 other local companies signed a letter released by the Minnesota Chamber of Commerce over the weekend. Read it below. https://t.co/aNR0B8ECJL
— Target News (@TargetNews) January 26, 2026
In response to a question on why Target hasn’t spoken on the topic more forcefully, Fiddelke said the company is prioritizing the safety of employees and that means being “careful” that it doesn’t inadvertently escalate tensions. The company is looking for the “most effective and constructive” means to address the issue, such as engaging with elected officials and taking steps to support its staff, according to Fiddelke.
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Some store workers have called out of work at Target locations in the Twin Cities area, Bloomberg has reported. Others have shared concerns and frustrations about the company’s lack of a strong stance on internal Slack channels as well as circulating letters to Target’s ethics and leadership teams.
External organizations have also called on the company to speak out against federal immigration enforcement. The American Federation of Teachers, which represents 1.8 million teachers, nurses and public employees, called on Fiddelke to urge ICE agents out of Minnesota and requested an in-person meeting. Local activists have staged sit-ins at Target stores and headquarters in recent days. Protests have spread to other cities including Chicago.
