Wal-Mart takes a step forward while the people take two steps back.
For many the idea of a new store opening in their home town sounds pretty cool, especially if this particular store supplies affordable and practical goods. Taking a trip to a store where you can buy everything from a night stand to a head of lettuce, a one stop shop if you will, sounds like a good idea. So why are the residents of the city of Oakland very displeased with the arrival of Wal-Mart? With a little help from Google I soon discovered Wal-Mart is not what it appears to be.
In 2001, the biggest lawsuit ever was filed by 500,000 Wal-Mart women employees, accusing the retailer of systematically discriminating against women employees. If you think that sounds bad, in Colorado 69,000 employees filed a suit stating they were forced to work off the clock without pay. According to former employees, they were penalized by their superiors if they spoke out against working for no pay. The case was reportedly settled for $50 million. Doesn’t look too good for the retailing giant. Unfortunately these aren’t isolated instances, so far 39 class action suits have been filed against Wal-Mart in 30 states.
Off the clock working and discrimination practices are not where it ends. Did you know that the majority of Wal-Mart’s employees have no healthcare insurance? One would think that Wal-Mart, the largest corporation in the world, with $285 billion in sales and more than $10 billion in profit a year would be able to provide its workers with adequate health care packages.
Some would argue that Wal-Mart not only provides inexpensive goods, but more importantly, it creates jobs that are so desperately needed. With the opening of Wal-Mart in east Oakland, 400 new jobs have been created. However, the average annual wage of an employee working full time at Wal-Mart is $17,114, an amount that is well below the poverty line for a family of four. The ramification of insufficient wages and poor health care packages means a higher dependence on state programs that are funded by the general public through taxes.
Just recently Wal-Mart donated $1 million dollars to the relief efforts of Hurricane Katrina. Wal-Mart’s PR team has been working hard to let us know the corporation is attempting to do its part. Unfortunately Wal-Mart has decided to pay its hourly workers only 3 days worth after a store has closed, whereas businesses like Harrah’s Entertainment Inc., who has 3 casinos in Mississippi and New Orleans, has pledged to pay their employees for at least 90 days to give workers time to recover. It has also been reported that small mom and pop businesses, who don’t have the funds and resources to recover as quickly, will try to continue to pay their employees as well.
The lack of social responsibility is disheartening. To see corporations such as Wal-Mart, who have the capability to take good care of their employees, cut corners by providing substandard wages and benefits as well as engaging in unjust labor practices in order to reach the bottom line is sad. Just recently some major cities like San Jose have adopted “Living Wage Ordinances”, which require county employers to pay wages that are above federal or state minimum wage. It sets the standard for all businesses and makes it clear that exploitative practices are not welcomed. For the sake of our community’s welfare it wouldn’t hurt to think twice about bringing stores like Wal-Mart in our towns. With a negative track record a mile long it is no wonder Oakland residents detest Wal-Mart’s presence.
In 2001, the biggest lawsuit ever was filed by 500,000 Wal-Mart women employees, accusing the retailer of systematically discriminating against women employees. If you think that sounds bad, in Colorado 69,000 employees filed a suit stating they were forced to work off the clock without pay. According to former employees, they were penalized by their superiors if they spoke out against working for no pay. The case was reportedly settled for $50 million. Doesn’t look too good for the retailing giant. Unfortunately these aren’t isolated instances, so far 39 class action suits have been filed against Wal-Mart in 30 states.
Off the clock working and discrimination practices are not where it ends. Did you know that the majority of Wal-Mart’s employees have no healthcare insurance? One would think that Wal-Mart, the largest corporation in the world, with $285 billion in sales and more than $10 billion in profit a year would be able to provide its workers with adequate health care packages.
Some would argue that Wal-Mart not only provides inexpensive goods, but more importantly, it creates jobs that are so desperately needed. With the opening of Wal-Mart in east Oakland, 400 new jobs have been created. However, the average annual wage of an employee working full time at Wal-Mart is $17,114, an amount that is well below the poverty line for a family of four. The ramification of insufficient wages and poor health care packages means a higher dependence on state programs that are funded by the general public through taxes.
Just recently Wal-Mart donated $1 million dollars to the relief efforts of Hurricane Katrina. Wal-Mart’s PR team has been working hard to let us know the corporation is attempting to do its part. Unfortunately Wal-Mart has decided to pay its hourly workers only 3 days worth after a store has closed, whereas businesses like Harrah’s Entertainment Inc., who has 3 casinos in Mississippi and New Orleans, has pledged to pay their employees for at least 90 days to give workers time to recover. It has also been reported that small mom and pop businesses, who don’t have the funds and resources to recover as quickly, will try to continue to pay their employees as well.
The lack of social responsibility is disheartening. To see corporations such as Wal-Mart, who have the capability to take good care of their employees, cut corners by providing substandard wages and benefits as well as engaging in unjust labor practices in order to reach the bottom line is sad. Just recently some major cities like San Jose have adopted “Living Wage Ordinances”, which require county employers to pay wages that are above federal or state minimum wage. It sets the standard for all businesses and makes it clear that exploitative practices are not welcomed. For the sake of our community’s welfare it wouldn’t hurt to think twice about bringing stores like Wal-Mart in our towns. With a negative track record a mile long it is no wonder Oakland residents detest Wal-Mart’s presence.
posted by San Jose Silicon Valley NAACP @ 11:26 AM
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