Posts Tagged ‘walmart’
Thursday, February 19th, 2015
On Thursday, Walmart announced that it will raise all of its full-time and part-time employees’ pay to at least $9 an hour starting in April. The lowest wage will rise to $10 an hour by February of next year.
In a press release, it said it is also raising pay for the compensation range for each position, and all told says that about 500,000 employees will see a raise from the changes. It also says the raises will mean its average hourly wage for full-time workers will increase from $12.85 to $13 an hour and the average for part-time workers will increase from $9.48 to $10 an hour.
It also promised that workers “will have more control over their schedules.” The wage increases will cost more than $1 billion this fiscal year.
In announcing the changes, CEO Doug McMillon acknowledged some of the criticism that the company has sacrificed customer loyalty because of its pay practices. “We have work to do to grow the business. We know what customers want from a shopping experience, and we’re investing strategically to exceed their expectations and better position Walmart for the future,” he said. “We’re strengthening investments in our people to engage and inspire them to deliver superior customer experiences.”
The company, which is the nation’s largest employer, has long come under fire for its low pay. While the company has said that it pays most workers above the minimum wage, it has also admitted in the past that the majority of its employees make under $25,000 a year. One study from 2013 of a single store in Wisconsin found that its pay was so low that workers consumed about $1 million in public benefits to get by.
Workers have repeatedly gone on strike over the past three years to demand higher pay, better scheduling, and the right to unionize. They have called for the store’s wage floor to rise to at least $15 an hour. Thursday’s announcement also comes after so many states raised their minimum wages above the federal $7.25 level that a third of Walmart stores had to raise their base wages anyway.
In an emailed statement, Emily Wells, a leader of the worker organizing group Our Walmart, said, “We are so proud that by standing together we won raises for 500,000 Walmart workers, whose families desperately need better pay and regular hours from the company we make billions for. We know that this wouldn’t have happen without our work to stand together with hundreds of thousands of supporters to change the country’s largest employer. The company is addressing the very issues that we have been raising about the low pay and erratic scheduling, and acknowledging how many of us are being paid less than $10 an hour, and many workers like me, are not getting the hours we need.” But she added, “Especially without a guarantee of getting regular hours, this announcement still falls short of what American workers need to support our families. With $16 billion in profits and $150 billion in wealth for the owners, Walmart can afford to provide the good jobs that Americans need – and that means $15 an hour, full-time, consistent hours and respect for our hard work.”
This article originally appeared in thinkprogress.org on February 19, 2015. Reprinted with permission.
About the Author: Bryce Covert is the Economic Policy Editor for ThinkProgress. She was previously editor of the Roosevelt Institute’s Next New Deal blog and a senior communications officer. She is also a contributor for The Nation and was previously a contributor for ForbesWoman. Her writing has appeared on The New York Times, The New York Daily News, The Nation, The Atlantic, The American Prospect, and others. She is also a board member of WAM!NYC, the New York Chapter of Women, Action & the Media
Monday, January 19th, 2015
The federal government is trying to do a better job tracking workplace injuries, which would make it easier for workers to show that they were injured on the job and get some compensation. But—of course—industry lobby groups are fighting hard to prevent accountability.
Currently, manufacturing companies are required to tell the government about injuries workers suffer on the job. But employers in other industries don’t have to report those injuries, which makes it easier for them to claim they’re not responsible. If workers can’t show that there’s a pattern of, say, tendinitis in a specific workplace, they’re more likely to lose injury claims against the boss. After all, any one person can get tendinitis for all sorts of reasons. But if there’s information on how many people have injuries in that workplace, workers might be able to point to patterns that would show that their own injuries aren’t random chance or due to something they did outside working hours.
Under a planned rule from the Occupational Safety and Health Administration, companies with more than 250 workers and smaller companies in particularly dangerous industries:
“… would be required to submit data including the job title of the employee, the type of injury, where it occurred, what the worker was doing before the incident, and the number of workdays the employee had to miss as a result. With the information, OSHA and employers ‘will be better able to … abate workplace hazards,’ an OSHA spokeswoman said in an email.”
It’s information employers are already required to keep records of. All that would change would be that they would submit it to the government four times a year. Not a huge expense or effort, you’d think. But:
“The National Retail Federation—a group that represents Walmart, McDonald’s, and The Container Store—spent $2.4 million lobbying on this measure and other issues between January and September of last year. In a letter to OSHA last March, the group complained that the rule would require disclosure of confidential information, lay blame on employers for non-work-related injuries, be too costly, and empower unions. Last year, the Retail Industry Leaders Association, which counts Walmart, Target, and Home Depot among its more than 200 members, also urged the agency to kill the rule. The US Chamber of Commerce spent more than $28 million between July and September of last year on lobbying—including on this regulation, which the Chamber says is more burdensome on industry than OSHA will admit. And the Coalition for Workplace Safety, an association of trade groups that includes the Chamber, the NRF, and NILA, has asked OSHA to scrap the rule.”
“Require disclosure of confidential information”—that’s the same information that the manufacturing industry has long been required to disclose—”lay blame on employers for non-work-related injuries”—or, you know, keep employers from being able to lawyer their way out of being held responsible for work-related injuries—”be too costly”—sure, if the company had been escaping responsibility for a lot of work-related injuries that it’s suddenly held accountable for—”and empower unions”—by providing information about whether the employer is harming its workers. In other words, “it’s convenient and cheap for us to avoid accountability for workplace injuries, and we would like that to continue.” And to be fair, they probably do have something to fear. Even without this reporting requirement, for example, Walmart has faced serious fines for workplace safety violations. Imagine if that information was all in one place for the government, workers, and reporters to see.
This blog originally appeared in dailykos.com on January 19, 2015. Reprinted with permission.
About the Author: Laura Clawson Daily Kos contributing editor since December 2006. Labor editor since 2011.
Wednesday, November 19th, 2014
In Los Angeles yesterday, Walmart workers participated in their boldest action to date: the first-ever sit-down strike at a Walmart store. They were protesting an end to retaliation when they speak out for $15 an hour, full-time hours and respect at work.
The striking workers entered the Crenshaw Walmart shortly before 10 a.m. PST and refused to move, holding a sit-in near cash registers and racks at the store. The workers chanted, “Stand Up, Live Better! Sit Down, Live Better!” before placing tape over their mouths signifying the company’s attempts to silence workers who are calling for better jobs.
After several hours, they left peacefully and headed to another Los Angeles-area store, where they held a rally. Then workers and their supporters took over the intersection near the Pico Rivera Walmart, refusing to leave until they were arrested and removed from the intersection. A total of 28 people were arrested, including clergy, community members and strikers.
Paramount Walmart worker Martha Sellers said:
“I’m striking today for workers like Evelin, Victoria, Rosa, Maria Elena and Graciela who Walmart retaliated against for standing up for change. Walmart and the Waltons need to know that they can’t silence us all.”
Sellers was referring to the owners of Walmart, the Walton family, the richest family in America who own nearly $150 billion in wealth while most Walmart workers make less than $25,000 a year. Kiana Howard, a mother and Walmart striker, said she took part in the sit-down “to protest Walmart’s illegal fear tactics and to send a message to management and the Waltons that they can’t continue to silence us and dismiss the growing calls for $15 an hour and full-time work.” She added:
“Walmart and the Waltons are making billions of dollars from our work while paying most of us less than $25,000 a year. We know that Walmart and the Waltons can afford fair pay, and we know that we have the right to speak out about it without the company threatening the little that we do have.”
This blog originally appeared in AFL-CIO.org on November 14, 2014. Reprinted with permission. http://www.aflcio.org/Blog/Corporate-Greed/Striking-Walmart-Workers-Stage-L.A.-Sit-Downs-at-Stores-and-in-the-Street.
About the Author: Mike Hall is a former West Virginia newspaper reporter, staff writer for the United Mine Workers Journaland managing editor of the Seafarers Log. He came to the AFL- CIO in 1989 and has written for several federation publications, focusing on legislation and politics, especially grassroots mobilization and workplace safety.
Tuesday, November 18th, 2014
An internal memo, recently leaked by a Walmart manager, urged store managers to improve lagging sales, primarily through addressing problems with understocked shelves and with keeping fresh meat, dairy and produce stocked and aging or expired items off the shelves. Such complaints are widespread at Walmart stores and are likely a significant factor in the company’s sales, which have lagged for 18 months. While the memo catalogs problems the company faces, it ignores the two most obvious solutions—giving workers adequate hours and paying those workers the $15 living wage they’ve been calling for.
Janet Sparks, a member of the OUR Walmart campaign seeking to improve wages and working conditions, said that substantial staffing cuts that began in 2010 are a big part of the problem: “Understaffing, from the sales floor to the front end, has greatly affected the store.”
Retail consultant Burt P. Flickinger III echoed Sparks’ comments:
“Labor hours have been cut so thin, that they don’t have the people to do many activities. The fact that they don’t do some of these things every day, every shift, shows what a complete breakdown Walmart has in staffing and training.”
This blog originally appeared in AFL-CIO.org on November 13, 2014. Reprinted with Permission. http://www.aflcio.org/Blog/Corporate-Greed/Hey-Walmart-Want-to-Fix-Those-Sales-Problems-Why-Not-Invest-in-Workers
Author’s name is Kenneth Quinnell. He is a long-time blogger, campaign staffer and political activist. Before joining the AFL-CIO in 2012, he worked as labor reporter for the blog Crooks and Liars. Previous experience includes Communications Director for the Darcy Burner for Congress Campaign and New Media Director for the Kendrick Meek for Senate Campaign, founding and serving as the primary author for the influential state blog Florida Progressive Coalition and more than 10 years as a college instructor teaching political science and American History. His writings have also appeared on Daily Kos, Alternet, the Guardian Online, Media Matters for America, Think Progress, Campaign for America’s Future and elsewhere.
Thursday, October 16th, 2014
A group of Walmart associates marched today from the AFL-CIO to the Washington, D.C., Walton Family Foundation’s offices to deliver more than 15,000 signatures from workers asking Walmart to pay $15 an hour and provide full-time hours.
Shouts of “We’re fired up! Can’t take it no more!” rang out as the workers and hundreds of supporters and allies marched down I Street and made their way to the foundation offices. Before the workers attempted to deliver the petitions, AFL-CIO President Richard Trumka reminded everyone that Walmart, which rakes in billions every year, wouldn’t make a dime without its workers, yet pays wages so low that many of its workers need to rely on public assistance and food stamps to get by.
One Walmart associate, Isaiah, shared heartbreaking stories of seeing co-workers cry in the Walmart break room when they found out their hours had been cut, making it impossible to provide for their families.
When the workers got inside the office, the building manager claimed no one from the Walton Family Foundation was working today (um, OK) and said they couldn’t call the office because they didn’t know the number. “We’ll be back,” shouted the determined workers, including Bene’t Holmes who was leading some of the chants. Holmes said they weren’t going to leave the petition with the front desk and promised this is not the last time they would attempt to hand deliver those signatures.
Following the demonstration outside the office, 15 Walmart strikers and supporters sat down in a cross section of the street in front of Walmart heir Alice Walton’s condo and took arrest. See some aerial views from the action below:
The associates were accompanied by union members and allies from the United Food and Commercial Workers (UFCW), AFSCME, AFT, Jobs with Justice, UNITE HERE, Restaurant Opportunities Centers United, Amalgamated Transit Union (ATU), UAW, United Steelworkers (USW), the Coalition of Black Trade Unionists and many others.
This article was originally printed on AFL-CIO on October 16, 2014. Reprinted with permission.http://www.aflcio.org/Blog/Organizing-Bargaining/Walmart-Wouldn-t-Make-a-Dime-Without-Its-Workers.
About the Author: Jackie Tortora is the blog editor and social media manager at the AFL-CIO.
Wednesday, June 4th, 2014
In 2008, political commentators made a lot of fuss about “Walmart Moms,” a demographic that was supposedly key to the election. The Walmart Mom was an updated, service-economy version of the blue-collar worker: Someone without a college degree, working and raising a family, usually white, possibly religious. She was courted heavily by both parties and perceived, at least in recent decades, to be swinging right.
Six years later, the real-life Walmart Moms are going on strike. According to a Thursday conference call hosted by theOrganization United for Respect at Walmart (OUR Walmart), hundreds of mothers who work at Walmart stores throughout the country will begin walking off the job on Friday, a week before the company’s shareholders meet in Bentonville, Arkansas. The action will culminate in a nationwide strike on Wednesday, June 4.
Linda Haluska and Lashanda Myrick are two of those mothers, both tired of struggling to support their children on what Walmart pays. “We are Walmart moms; we’re not some political category,” said Haluska, who’s worked at the Glenwood, Illinois store for 8 years, on the call. “We’re real people who are struggling to create happy stable homes for our kids.” Walmart moms, in other words, want politicians and pundits to listen to what they really need, not pander to their perceived political biases.
Bethany Moreton, author of To Serve God and Wal-Mart, noted in a 2010 piece that Walmart itself worked to create and maintain the “Walmart Mom” identity. In her book, Moreton points out that the company’s supposed commitment to “family values,” which it expresses in both its marketing and its internal messaging, came directly from its early employees, many of them wives and mothers who’d never worked outside the home before. These early “Walmart Moms” accepted low wages for service work that they understood as part of a Christian service ethic. Caring for customers, caring for coworkers, and caring for one’s family all went together. Yet in 2014 America, the company’s faced repeated charges that it discriminates against the women it employs and retaliates against workers who dare to speak out about their treatment on the job.
Myrick, who plans on striking in addition to traveling from her home in Denver, Colorado to Bentonville to deliver her message at the shareholders’ meeting, has had enough of the company’s pretense of caring. She has two children—an 18-year-old son who graduates from high school next Tuesday, and a 12-year-old daughter—and, she tells In These Times, her meager paycheck forces her to make impossible decisions about priorities.
“A parent shouldn’t have to make a choice of who’s going to be able to get shoes this week and who’s not going to be able to get shoes this week,” she says. “I teach my kids to stand up for what they believe in, so I don’t want to show them that I’m a hypocrite by not standing up for something that I believe in. [I’m] showing them that I believe in this and I’m not worried about retaliation, I’m not worried about anything to come my way.”
The tipping point for her came this November, when one of her coworkers sent her an email showing pictures of the food drive at a Canton, Ohio Walmart. Bins were set out at the store asking for workers to “Please donate food … so associates in need can enjoy Thanksgiving dinner.” Myrick says, “My thought was, ‘Why would we hold a food drive for our employees when clearly [Walmart has] enough money to make sure all its employees will have a decent Thanksgiving?’ That right there really touched my heart and made me say, ‘I need to stand up, because this doesn’t make sense for us to be working for a billion-dollar company and we can’t even feed our families.'”
Liza Featherstone, author of Selling Women Short: The Landmark Battle for Workers’ Rights at Wal-Mart, noted to me in a recent interview that Walmart’s caring culture has, in the past, helped to insulate its workers from its low-wage regime, as they helped to support each other when money became tight. In recent years, however, that protection has slowly eroded. When the company began, after all, many of its workers were married to someone working full-time; the old norms of gendered work meant that women were not expected to be breadwinners, and jobs that were done by women paid less overall. Those jobs also tend to require skills, emotional and interpersonal, which women are usually socialized to possess but are not considered “hard skills” warranting better wages. Now, though, the company is not only the nation’s largest employer of women but its largest private employer, period. That means a whole lot more people are depending on those low-wage jobs to support their families—while, Ellen Bravo of Family Values at Work noted on Thursday’s call, our work-family policies are still “set in a Mad Men era.”
That means more and more workers are starting to doubt that Walmart shares their values, after all. Featherstone said that during interviews for her book, which documents the Dukes v. Wal-Mart sex discrimination suit, plaintiff Edith Arana told her that “Walmart is like a bad boyfriend. They tell you exactly what you want to hear and that’s how you get caught up, and you just keep coming back.” Just the willingness of women to file a lawsuit against the company for sex discrimination, Featherstone said, was a huge step forward—and the strikes, which began in 2012, surprised the country.
The company made a few changes in the past year, as strikes and protests have continued to buffet it. After worker-shareholders introduced a proposal to change the company’s policy toward pregnant workers, Walmart issued a new one this March, saying that pregnant employees “may be eligible for reasonable accommodation” if they have a temporary disability caused by their pregnancy. Women’s groups and workers said that the company’s earlier policy, which did not allow for such accommodation, violated federal law. The corporation also recently determined that workers can search for available shifts in order to pick up more hours.
But, Haluska says, those changes aren’t enough. She and the other members of OUR Walmart are demanding that the company pay its workers at least $25,000 a year, create full-time jobs and stop its retaliation against employees who go on strike or speak up at work. In addition, activists are building a campaign asking shareholders to vote against Rob Walton, scion of the billionaire family that founded the company, as chairman of the board. Instead, their resolution, which will be introduced and backed by union funds, calls for an independent chair.
It’s going to take a lot of people standing up to fight, but Myrick does believe that Walmart will eventually change when they realize OUR Walmart is not going to back down.
When asked what she would say if, on her trip to Bentonville, she got a chance to sit down with new Walmart CEO Doug McMillon, famously a former hourly associate himself, Myrick responds, “I would ask him where his morals are.”
This article was originally printed on Working In These Times on May 29, 2014. Reprinted with permission.
About the Author: Sarah Jaffe is a staff writer at In These Times and the co-host of Dissent magazine’s Belabored podcast. Her writings on labor, social movements, gender, media, and student debt have been published in The Atlantic, The Nation, The American Prospect, AlterNet, and many other publications, and she is a regular commentator for radio and television.
Monday, May 26th, 2014
Walmart’s habit of making pregnant women choose between their paychecks and their health by denying them light duty got the retail giant enough bad publicity to spur a change in policy. The new policy leaves Walmart a whole lot of wiggle room to continue putting pregnant women in difficult positions, but it’s an improvement. However, Elizabeth Stoker wonders why Walmartisn’t giving pregnant women the same moral standing
it gives veterans, who the company is making a big push to hire:
There’s no material reason veterans make better candidates for employment at Wal-Mart than any other candidate, especially for the low-skilled labor being performed on the floor of retail shops. And yet Wal-Mart’s commitment to veterans doesn’t seem entirely out of line, as veterans are seen as people with a different moral standing than others: They have contributed something of value, and therefore are valued.Wal-Mart notably doesn’t categorize pregnant women in that same class of morally valuable person. Benefits and accommodations in work are not offered to pregnant women insofar as they are pregnant, but only insofar as they are disabled in a medical sense by the effects of pregnancy. In other words, pregnancy has simply been subsumed under the preexisting criteria of disability rather than granted its own category of consideration. […]
After all, pregnant women are at the final analysis socially valuable and morally distinct as a category of person. They ensure the ongoing life of society, and do so at personal cost: sometimes great, sometimes minor. If Wal-Mart is willing to recognize the moral significance of veterans in those terms, why not pregnant women?
The answer to the question is “because there isn’t as much public pressure and Walmart doesn’t do anything for workers without public pressure.” Besides, all it’s actually doing for veterans is hiring some of them to crappy Walmart jobs and giving some money to veterans’ programs to make itself look good. There’s no reason to believe veterans won’t be treated as badly as any other Walmart worker.Whatever your reasoning, though, pregnant women deserve stronger workplace protections than they currently have. It shouldn’t take bad publicity to get businesses to offer women light duty when they have a doctor’s note saying they need it, and policies offering accommodation shouldn’t have as much wiggle room as Walmart’s does. For that matter, women shouldn’t have to depend on having a decent boss to be able to keep working safely through pregnancy. That should be a matter of the law. Instead, pregnant women now face discrimination and Republicans are predictably standing in the way of the Pregnant Workers Fairness Act, which would strengthen protections for all pregnant women, not just the ones whose employers have gotten bad press.
This article was originally printed on the Daily Kos on May 23, 2014. Reprinted with permission.
About the Author: Laura Clawson is the labor editor at the Daily Kos.
Monday, November 25th, 2013
To make it sound less problematic that its stores are opening at 6 pm on Thanksgiving, Walmart has been telling anyone who’ll listen that it’s giving “an extra day’s pay” to those working the holiday. Awesome! Now tell me what you mean by “day.”
No, silly, Walmart doesn’t mean everyone who works Thanksgiving gets eight hours of extra pay. They get the average of the hours they’ve worked over the previous two weeks. And that’s where some Walmart workers say the problems lie:
Gertz and other Wal-Mart workers say their hours are cut prior to the holidays, so their average daily wage also goes down.Last year, Gertz’s hours were cut by five hours a week before the holiday. Her hours were also cut in the weeks after the holiday, which bit into her paychecks further. She said some associates in her store had their hours slashed from 40 per week to 24 in the weeks after.
Raise your hand if this sounds like something Walmart wouldn’t do. [A handful of Walmart spokespeople raise their hands, alone.] Because that’s Walmart: consistently adding the insult of pretending they’re really generous to the injury of poverty wages and poor treatment. Not unlike pretending it’s a kind, caring thing to hold a food drive for their workers who can’t afford Thanksgiving dinner on Walmart pay.
10:17 AM PT: Walmart points out that the worker quoted in this story didn’t work Thanksgiving last year. It continues to not rebut the claim that it cuts workers’ hours ahead of giving them “extra” pay.
This article was originally printed in Daily Kos on November 22, 2013. Reprinted with permission.
About the Author: Laura Clawson is the labor editor at Daily Kos.
Saturday, November 2nd, 2013
Last month, Walmart CEO Bill Simon revealed rather cluelessly that the vast majority of Walmart workers, as many as 825,000 in the United States, earn less than $25,000 a year. The sum is so low the average worker for the country’s biggest employer is struggling to make ends meet. By matching its low prices with insultingly low wages, Walmart forces taxpayers to subsidize its workforce through social safety net programs.
Making Change at Walmart is running a new series that highlights how some of the retailer’s employees are scraping by on Walmart wages. Here are three of the stories they have shared so far:
Anthony Goytia: The 31-year-old father of three makes about $12,000 a year and relies upon MediCal and food stamps. Some of his teeth were removed because he couldn’t afford the dental work to save them. “I don’t need cable or a big house, but I shouldn’t have to resort to selling my plasma and participating in medical trials to be able to feed my kids,” Goytia said. “I have to live payday loan to payday loan.”
Patricia Locks: A 48-year-old single mother, who makes $19,000 a year, relies on low-income housing, food banks and food stamps to get by. She recently was forced to file for bankruptcy. “It’s depressing and scary. No one who works for one of the world’s largest and wealthiest companies should have to live like this,” said Locks. “I don’t think it’s asking too much to earn enough so I don’t have to rely on food banks and other assistance to survive. And that’s why I am going to keep fighting, because I want a better life for me and my daughter.”
John Paul Ashton: The 31-year-old father of two makes $20,000 a year and also relies upon food stamps and food banks. He walks 45 minutes to work with shoes that have holes in them. “When I first started at Walmart, I was told that it was a place where I could grow and have opportunities. I soon discovered that was not the case,” said Ashton. “People take being able to buy lunch for granted. I don’t need a fancy job, but what I do need is a job that allows me to provide for my family, speak up about working conditions and needing better wages without fear of retaliation, and hopefully have more than $2 in my bank account after I pay my bills.”’
More stories of Walmart workers scraping by on less than $25,000 per year are scheduled to be released every week at MakingChangeAtWalmart.
This article was originally printed on AFL-CIO on November 1, 2013. Reprinted with permission.
About the Author: Kenneth Quinnell is a long-time blogger, campaign staffer and political activist whose writings have appeared on AFL-CIO, Daily Kos, Alternet, the Guardian Online, Media Matters for America, Think Progress, Campaign for America’s Future and elsewhere.
Tuesday, October 22nd, 2013
In the latest labor action against Walmart, dozens of workers reportedly walked out on the job on Friday to go on strike. Workers demanded higher wages and better hours, and one worker told Salon that he estimated 80 people took part in the action.
The strike came after protests in 15 different cities in September against the country’s largest private employer. But while those included rallies and pickets in protest of alleged firings of striking workers, they did not include workers who were on strike. Friday’s action was the first work stoppage since June. While past actions were organized by OUR Walmart and supported by unions, this appeared to be independently organized.
Workers have alleged that they are routinely disciplined and fired for trying to organize for better hours and wages. In August, 10 current and former workers were arrested at a rally outside the company’s headquarters. Labor groups allege that five workers were fired after strikes in June while others were suspended or disciplined. The company has admitted that it threatens thatvacation time or other benefits could disappear when workers ask about the right to unionize.
Walmart, for its part, told the Huffington Post that employees don’t get full schedules because they aren’t available all the time and has denied that it is a minimum wage employer. It has previously said of the protests that “the opinions being expressed aren’t representative of the vast majority of the people who work for us.”
A recent survey found that over half of Walmart locations are only hiring temporary workers, not full-time positions. Meanwhile, while the company claims full-time workers make $12.78 an hour on average, another report saysthe average worker makes $8.81, 28 percent of the pay at other large retailers. Its workers make so little that they have to rely on public benefits to get by, with workers at a single location consuming around $1 million worth in food stamps, Medicaid, and other programs. The company has also stood staunchly against living wage bills in multiple cities, with the latest victory in Washington, DC, where after it threatened to pull plans to open stores Mayor Vince Gray (D)vetoed a bill.
Yet the store’s sales have recently suffered, in part from widespread customer dissatisfaction with its inability to keep shelves stocked, likely thanks to not hiring enough full-time workers. Other stores follow a different model, with Costco paying workers $21.96 an hour and seeing profits rise 19 percent in the first quarter of the year. WinCo, a small Idaho-based grocery store chain, beats Walmart’s prices while paying more than $11 an hour and offering generous benefits.
Perpetually low wages aren’t unique to the retail sector, and they have also sparked widespread protests and strikes in the fast food industry, which have spread to nearly 60 cities.
This article was originally printed in ThinkProgress on October 21, 2013. Reprinted with permission.
About the Author: Bryce Covert is the Economic Policy Editor for ThinkProgress. She was previously editor of the Roosevelt Institute’s Next New Deal blog and a senior communications officer. She is also a contributor for The Nation and was previously a contributor for ForbesWoman.