March 07, 2006
Why Does Everyone Hate Wal-Mart?
For many people these days, it seems, Wal-Mart is at the top of the "hate" list. Some of the grievances against the retail giant include:
*Wal-Mart doesn't give healthcare to half its employees.
*Women claim they are discriminated against when it comes to pay and promotions.
*Wal-Mart buys too many products from China
*Wal-Mart puts small mom-and-pop organizations out of business.
*Wal-Mart doesn't pay its employees enough.
*Wal-Mart is building too many stores.
Oh, and the latest rumor is that Wal-Mart is paying bloggers to portray it positively (John Ruberry has more). I would like to state for the record that I have never been paid by Wal-Mart. In fact, they don't even know I exist!!
Back to Wal-Mart. Why is it the target of so much venom? According to its own Website:
*Wal-Mart employs 1.6 million associates worldwide in more than 3,600 stores in the United States and more than 1,500 international stores.
*76% of our store management started in hourly positions.
*Our average hourly wage for regular full-time associates in the U.S. is $9.68 an hour, almost double the federal minimum wage.
Of course, one wouldn't expect Wal-Mart to badmouth itself on its own Website. However, are they really as horrible as they are being portrayed?
Think about it: How many independent retailers offer more than minimum wage to start? How many offer insurance? How many offer plenty of room for advancement? For many years I worked for an independent pharmacy. I started out at minimum wage (back then it wasn't even $5/hour) and my raises were at my employer's discretion, not on any set schedule. Also, as he was sole proprieter, it wasn't likely that any of us who worked there would rise to great managerial heights there. I also had no insurance coverage.
That was a part-time job while I was in high school and college. I've "moved up" since then, something many Wal-Mart employees can do as well.
If working for Wal-Mart is such a raw deal, why is it that over 25,000 people applied for 300 available jobs at this outlet?
Wages? It's the usual thing: some people think that wages should be regulated. The unions would love to get in on the Wal-Mart racket, and they're the ones making the most noise. It's not so much that they want to help the poor, oppressed 1.6 million Wal-Mart workers, but they look upon it as a cash cow opportunity. Think of how much dues money 1.6 million people can generate! (I found this story about union picketers at Wal-Mart to be sadly funny in its hypocrisy.)
As for the other issues mentioned above, there are going to be complaints about women being discriminated against in the workforce for the forseeable future. There are plenty of retailers who buy from China, and not just Wal-Mart. Blame the government for granting China most-favored-nation trade status, if you must, but not Wal-Mart, as it is simply looking to please its customers by offering low prices. And like any healthy business, Wal-Mart will continue to expand. If a community doesn't want Wal-Mart then they can try to block it from moving in.
Why aren't people complaining about other chain stores, like Target or Kohls?
I think Wal-Mart has become a target for three main reasons: it won't let unions in, it doesn't cater to the elitist classes, and it is successful. Any institution that is a success is subject to envy.
Makes me think about the world view of the US in general.
For more on the Wal-Mart controversy from someone much more qualified than I am to discuss it, read this article by Thomas Sowell.
Show Comments »
Hey, just popping in. We over at Iowa Voice are taking some incoming fire from the liberals over the NYSlimes article from today.
Not one of the writers at Iowa Voice are paid a penny or more from anyone. How many George Soros funded bloggers and 527s are there?
We have a number of posts up. If you'd like to link to any of them, feel free. We don't charge or demand you register like the NYSlimes does.
Also, none of us at Iowa Voice are writing books that will be hyped on Iowa Voice like the NYSlimes reporters who write books that every organ of the NYSlimes then promotes.
Posted by: PCD at March 7, 2006 12:45 PMIt's well known Wal Mart dumps its employees health care costs on state and city governments.
They also use part time employees to replace full timers to get around paying full time benefits.
I'm guilty; I shop at a mega store (Target, same deal mostly), But I think they should be required to give health insurance to all their workers; I'd be willing to pay more for that to happen.
Posted by: paul at March 7, 2006 06:07 PMpaul is right, wal-mart has stiffed their workers for a long time and they continue to ban them from unionizing. i realize many of you people would destroy unions if you could but if these workers would like to unionize and are actively prevented from doing so i'd say they have a legitimate grief.
it's also worth looking at the "wal-mart price" which has wreaked havoc on the american economy. basically, wal-mart buys goods at such a low price that they force american suppliers out of business because they can't afford to meet foreign prices while paying the federal mininum wage. this in turns forces other wholesale purchasers to follow suit to remain competitive and the process sweeps through the economy not only eliminating jobs but worsening the trade deficit.
no one has helped that more than wal-mart.
Posted by: steve at March 7, 2006 09:56 PMI see the libs and union goons have arrived.
What proof do you two have besides union propaganda? I want to see actual proof, not accusations from libs who hype them as facts. I want to see actual facts from you union bozos.
Oh, if you union goons hire pickets, pay them at least as well as Wal-Mart pays their employees, you hypocrites.
Posted by: PCD at March 8, 2006 09:38 AMthat was a bit angry, PCD. what would you like to see proven to you? it helps when you specify the portions of a person's argument which you challenge.
Posted by: steve at March 8, 2006 04:29 PMThe hue and cry about Wal*Mart and health care costs is the one that puts a burr in my butt. My wife works as a tech writing consultant, specializing in financial companies' documentation. She's worked for every major Wall Street outfit there is, and not one of them ever spent a dime on her coverage.
So why should Wal*Mart be required to supply such a perk? Is McDonald's held to the same standard? These are part-timers; high school aged kids and such adults that there may be.
Trained monkeys can stock shelves, people! And I haven't used a manned checkout counter at the local Pathmark in over two years.
Posted by: TC@LeatherPenguin at March 9, 2006 10:23 AMFine, pay for their health care in taxes then. I could care less. I just observe.
Posted by: paul at March 9, 2006 11:47 AMSteve, quite simple, can you back up any of your accusations from other than talking points passed out by the unions or their mouthpieces? I don't think you can.
Posted by: PCD at March 13, 2006 11:09 AM
