Sleep Number - 1792 Exchange

Rating Overview

Sleep Number is Medium Risk.

Sleep Number is Medium Risk. The company often yields to political activism in shaping corporate governance, potentially alienating consumers, dividing employees, and harming shareholders. Sleep Number implements race and identity-based policies that replace merit, excellence, and integrity with preferential treatment and outcomes. The company occasionally embraces corporate initiatives that redirect its central focus from business goals to partisan policies and divisive issues at times. This approach fails to safeguard free exercise, free speech, and free enterprise.

Rating Criteria

Corporate Weaponization Risk Levels
Criteria	Risk Level
Cancellations	Medium Risk
Discriminatory Philanthropy	Lower Risk
Employment Protection	High Risk

Corporate Weaponization ⓘ

Corporate Governance and Public Policy Risk Levels
Criteria	Risk Level
Advocacy Bias	High Risk
Funding	Lower Risk
Political Actions	No Data

Corporate Governance and Public Policy ⓘ

Rating Criteria Detail

Criteria Risk Level Rationale

Corporate Weaponization

Criteria:

Has canceled customers, suppliers, or vendors due to their political views or religious beliefs OR corporately boycotts, divests, or sanctions regions, people groups, or industries.

Risk Level:

Medium

Rationale:

Sleep Number integrates ESG into its business practices. From its 2023 Corporate Sustainability Report: “We are dedicated to continually advancing our ESG initiatives and incorporating them into our strategy, culture
and operations” (1). However, the company has not publicly canceled customers, suppliers, or vendors based on political views or religious beliefs (2).

Criteria:

Charitable giving (including employee matching programs) policies or practices discriminate against charitable organizations based on views or religious beliefs.

Risk Level:

Lower

Rationale:

Sleep Number does not appear to discriminate against charitable organizations based on views or beliefs. The company’s charitable giving focus areas are “youth health and well-being” (1).

Criteria:

Employment policies fail to protect against viewpoint or other discrimination and/or are ideological in nature.

Risk Level:

High

Rationale:

Sleep Number offers DEI training to its employees (1). The company appears to prioritize diversity over merit in its recruitment and hiring. From its 2023 Corporate Sustainability Report: “Social Priority: Continue to increase team member diversity. Status: Hired our first full-time Diversity, Equity & Inclusion Director to intensify
enterprise efforts to increase/attract/recruit/cultivate diverse talent” (2). Sleep Number does not provide viewpoint protections for its employees (3).

Corporate Governance and Public Policy

Criteria:

Uses corporate reputation to support causes, organizations, or policies hostile to freedom of expression.

Risk Level:

High

Rationale:

Sleep Number supports DEI within its business practices, employing a DEI Director (1). The company supports DEI within its business practices. From its 2023 Corporate Sustainability Report: “We embrace every individual’s unique talents,
perspectives and experiences and strive to create an environment where
we can be our best selves. Valuing diversity, equity and inclusion makes us
stronger, smarter and fuels our innovation and teamwork” (2). Sleep Number supports ESG within its business practices. From its 2026 Corporate Sustainability Report: “we strengthen our relationships with strategic direct
materials and bedding collection partnerships to advance our ESG initiatives
and promote positive social responsibility” (3). After mass protests against federal immigration enforcement and fatal shootings in Minnesota, Sleep Number’s CEO Linda Findley signed an open letter calling for the immediate de-escalation of violence and for state, local, and federal authorities to work together to restore peace in Minnesota (4).

Criteria:

Uses corporate funds to advance ideological causes, organizations, or policies hostile to freedom of expression.

Risk Level:

Lower

Rationale:

Sleep Number has not used corporate funds to advance ideological causes, organizations, or policies (1).

Criteria:

Uses corporate political actions and/or financial contributions for ideological, non-business purposes.

Risk Level:

N/A

Rationale:

Sleep Number does not operate a PAC or engage in lobbying at this time (1)(2)(3).