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UncoveringWalmartsUnfairLaborPractices

ByBradAdams

AccordingtotheBureauofLaborStatistics,theworkingpoorisdefinedbysomeone
whoworks27weeksorlessinayear.Workingpoorcanalsobeextendedtopeoplemakingvery
lowwages.InWalmartscase,workingpoorissomeonewhoworkstotheirgreatestextent.
Walmartisknownforitsunfairlaborpractices,includingcappingworkinghoursat34perweek,
justbelowwhenthebenefitsofbeingafulltimeworkerkickin.Thesebenefitsincludehealth
insurance,multiplebathroombreaks,therighttoformunions,amongotherbasicneeds.
Walmartregularlyseesturnoverratesashighas44%peryear,meaning44%oftheir
employeeswillleavebeforeoneyearofwork.Costco,ontheotherhand,regularlyseesturnover
ratesaslowas6%peryear.1Thisstarkdifferenceinemployeeretentionliessolelyinthewages
andbenefitsthatthecompaniesgivetotheiremployees.Walmartpaysanaverageof$8.81per
hour2 ,whereasCostcopaysanaverageof$21.00perhour.3 TheaverageWalmartworker,
workingthemaximum34hoursperweek,willmake$15,576peryear,beforeessentialexpenses
likehealthinsurance.TheaverageCostcoworker,working40hoursperweek,willmake
$43,680,withhealthinsuranceprovidedbythecompany.ThismeansthattheWalmartworker
willspendaminimumof$2,676peryearonhealthinsuranceinthestateofCalifornia4,lowering
theirincometo$12,900.
Howcantwopeople,workinginthesameindustry,havesuchadifferenceinsalary?
HowcanWalmart,whichreported$485billioninrevenuein20145,payitsworkerssomuchless
thanCostco,whichreported$116billioninrevenue6?
Variousworkersrightsmovements,includingtryingtoformunions,arefrownedupon
andoppressedbyWalmart.7Ontheotherside,over15,000Costcoworkersareinsomesortof
union,andsuccessfullyarguefortheirrightsonmanyoccasions.8 Walmartwillcontinuetohave
theupperhandonitsemployeesuntiltheyaregiventhechancetoformaunion.
Inconclusion,ifWalmartraisedtheaverageshoppingtrippriceby46centseach,they
wouldbeabletoprovidetheiremployeeswithalloftheservicesandwagesthatCostcoprovides

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totheiremployees.9Peopleslives,peoplesshoppingexperiences,andWalmart'sturnoverrate
couldbesignificantlyimprovediftheyimplementedtheseimprovements.

Lutz,Ashley."Here'sHowMuchAWalMartPayIncreaseWouldCostShoppersPerTrip."
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