Lululemon Athletica Inc.’s founder, Chip Wilson, is calling for significant changes to the company’s board while the search for a new CEO is ongoing. He criticizes the company’s leadership, accusing them of complacency that has led to the brand’s diminishing appeal. Wilson’s call for a board overhaul comes in the wake of the announcement of the departure of current CEO, Calvin McDonald.

CEO Calvin McDonald to Step Down

Calvin McDonald, who has been at the helm of Lululemon since 2018, is slated to step down by the end of January. Despite overseeing years of growth at the company, McDonald’s leadership has also seen a significant slowdown in the company’s U.S. business. This downturn started last year and has continued to the present.

Impact on Stock Price

News of McDonald’s departure resulted in a temporary increase in the company’s stock price. Prior to the announcement, the stock price had dropped by more than 50% this year. Following the news, there was a roughly 10% increase in Friday-morning trading.

Chip Wilson’s Role in CEO Transition

Despite no longer being a board member since 2015, Wilson, who still holds an 8% stake in the company, took credit for McDonald’s departure. He claims to have been encouraging the company to revitalize and infuse new skills to improve its performance. Wilson has been vocal about his belief that the board’s succession planning has been a failure and urges the company to seek advice from individuals with deep knowledge of the company for the CEO selection process.

Lululemon’s Struggle with Market Trends

Once a market leader in premium-priced yoga pants and other athleisure wear, Lululemon has struggled to stay relevant to its customers. Old styles have lingered too long while competitors have kept up with newer trends. Company executives, including McDonald, have acknowledged this issue. Interim co-CEOs Meghan Frank and André Maestrini are working on reducing the time it takes to develop and bring new styles to market in a bid to stay on top of changing trends.

Wilson’s Controversial Past

Wilson has been a controversial figure within the company. Back in 2013, he angered customers by stating that “some women’s bodies just don’t work” in the company’s clothes. He has also publicly criticized the company’s leadership for their lack of focus on product and design. Despite these controversies, Wilson is hopeful for a constructive dialogue with the board to find refreshed, experienced directors ahead of completing a CEO search.

Ethan Radcliffe

Ethan Radcliffe is a senior reporter and digital editor at The Toronto Insider, specializing in Canadian federal policy, GTA urban development, and national economic trends. With over a decade of experience in North American journalism, Ethan focuses on translating complex legislative and economic developments into clear, accessible reporting for Canadian readers. Ethan’s work emphasizes policy analysis, government accountability, and data-driven reporting, with a strong focus on how federal and provincial decisions impact communities across the Greater Toronto Area and beyond. He has covered infrastructure planning, housing policy, fiscal strategy, and regulatory changes affecting Canadian households and businesses. A graduate of Toronto Metropolitan University’s School of Journalism, Ethan brings expertise in investigative reporting, long-form analysis, editorial standards, and digital publishing best practices. His reporting is guided by verifiable sources, public records, and transparent sourcing. In addition to reporting, Ethan has experience in newsroom editing, fact-checking workflows, SEO-informed journalism, and audience analytics, ensuring stories meet both editorial integrity standards and modern digital discoverability requirements. Ethan is committed to objective, fact-driven journalism and adheres to established ethical guidelines, prioritizing accuracy, clarity, and public trust in all reporting.

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