Don't Believe This Big Misconception About Costco's Free Samples

Coscto's free samples are iconic. However, many people don’t know that the people handing out samples at Costco are not Costco employees, but employees of a separate company.

At most Costco locations, the people handing out free samples are employees of Club Demonstration Services, the warehouse store chain's "exclusive in-house service provider."

Though CDS employees work at Costco locations, they do not work for Costco, which is reflected in the benefits and pay that CDS employees receive.

Costco’s minimum wage is $17 per hour and comes with a benefits package that includes paid vacations, a 401(k) retirement plan, and stock options to go with insurance.

Unfortunately, CDS employees do not receive the same. Wages are often around $1.00 to $3.00 less per hour, and the limited benefits are only offered to full-time employees.