I can’t believe Walmart: The High Cost of Low Price has been out for so long and I’ve only just now caught even a small portion of it. It wasn’t as if I loved Wal-Mart for anything more than the convenience of being able to stop in, grab what we need and get out quickly – but after seeing what I’ve just seen, I will be opting for a little inconvenience instead of trading at Wal-Mart ever again.
Consider this day, the day I begin my personal boycott of Wal-Mart and all they stand for.
Take time to read just a handful of key points that are addressed in this documentary and consider actually buying, watching or downloading the film to see for yourself. Put faces and names with these points and keep them in mind the next time you wish to make a stop by Wal-Mart in sheer convenience.
From The Film ”Wal-Mart; The High Cost of Low Price”
· In 2003 Wal-Mart posted 240 billion dollars in sales, but cost tax payers a total of $1,557,000,000 to support its’ under-paid employees with welfare and medicaid.
· Wal-Mart imported 18 billion dollars in goods from China alone in 2004.
· Lee Scott, Wal-Mart CEO, earned $27,207,799 in 2005, while the average Wal-Mart hourly employee was paid $13,861
· The cost for a Wal-Mart factory worker to assemble an average toy car is 18 cents, while the retail cost at Wal-Mart for that item is $14.95. [Assuming additional shipping charges, raw materials and stocking for a total cost of $1, the profits to Wal-Mart on a piece of plastic is at least 1400 %.]
· Tax abatement/taxpayer subsidies for Wal-Mart amount to hundreds of millions of dollars per year, at all levels of government. Wal-Mart encourages its’ employees to go on government assistance programs [to compensate for its' lack of adequate pay and benefits]. A UC Berkeley study concluded that in California alone, Wal-Mart costs state tax payers 86 million dollars a year, and up to 25 million dollars to county taxpayers. [This drain to taxpayers to supplement underpaid and under-insured employees, went to such expenses as; Medicaid, welfare, food stamps, health care, income tax credits and housing subsidies, because workers cannot survive on their hourly pay]
· Wal-Mart is currently fighting employee lawsuits in at least 31 states for hundreds of millions of dollars, due to lost pay/non-payment of overtime. It has spent hundreds of millions of dollars to settle class action lawsuits, “cheating people out of overtime on 40+ hours a week” in various states throughout the nation.
· Racial and sexual discrimination exist as a systemic practice through this organization, as documented by many lawsuits and public cases. Unfair or unlawful hiring practices have also come to light, such as the hiring of illegal immigrants for less than minimum wage pay, as after-hours cleaning persons.
· Overseas hiring practices in places such as China, Bangladesh and Honduras, have been exposed in many investigations consistently revealing illegal, inhumane and immoral practices on the part of Wal-Mart factory management.
· In Bangladesh, 189,000 women are on the known payrolls, working a documented 7 days a week, with 14 hour days, making 13-17 cents an hour. Many were shown asleep and exhausted at their sewing machines and other manufacturing stations.
· In China, workers make less than $3 a day for 15 hour days, working 7 days a week. Workers were routinely told by management to lie to inspectors about their working conditions, pay, living conditions and hours worked per week. Many were even given false pay stubs to show to these inspectors, and those who did not “lie well” for the company were harassed or fired. Worker paychecks had automatic deductions taken out of their weekly earnings to pay for crude, dormitory-style housing. They were forced to pay these deductions whether or not they lived at the company dormitories, so of course, most are forced to live there, and this does not include the cost of utilities such as electricity. Living conditions of the employees are less than minimal and unthinkable under US standards – with bunk beds, no place to wash or even hang laundry, little to no storage, few to no windows in tiny buildings that have no security, forced to wash their clothes on the floor in small plastic tubs. Many workers are made to work with little to no ventilation and other minimal facilities, in super-cramped factory areas surrounded by as many as hundreds of other workers in long rows, working as fast as they can under the eyes of abusive management. One worker was quoted as saying to Americans, “These profits you make and the wonderful life you have, are the sweat and tears and overtime-working of the Chinese people”.
· In Honduras, an interviewed manager and loyal, career employee of Wal-Mart, speaks of being fired after bringing to light revelations of widespread worker abuse in every single factory he visited there. He said he was fired for performing his job, and that no actions were taken by Wal-Mart to correct the human rights abuses they regularly forced upon their indigenous workers, once those facts were reported.
· The estimated value of the Wal-Mart jet fleet is $125,350,000. Such jets are routinely used by top executives to visit those store locations, the movie explained, within which any hint of forming an employee union is mentioned. Employees who attempt to form unions or improve conditions are “profiled” by managers, harassed, fired and held under surveillance.
· The top 5 members of the Walton family, the original proprietors of the now world-wide Wal-Mart chain, are worth an estimated 102 billion dollars. Ten billion of that would promote adequate wages and health care for all U.S. Wal Mart employees. The Walton family has given an estimated 1% of their wealth to charity, but made 3.2 million in political contributions in 2004 alone. The Walton family received a federal tax cut of $91,500 for every hour of the 2004 tax year.
· There is a Wal-Mart employee program called, “The Critical Need Fund” into which employees may donate a portion of their pay in order to assist fellow employees in times of crisis, such as in the case of hurricane or tornado victims. Into this fund, employees paid a sum of 5 million dollars in 2004 alone, whereas the Walton family donated only $6000.
· A facility exists for the Walton family to escape to, in the event of a collapse of society or an apocalyptic-style, world war scenario. It is composed of vast wooded grounds, hi-tech equipment and an extensive underground system of tunnels and rooms. Included in this facility are a helicopter pad, satellite up-link dishes, and a highly fortified chain-link fence with barbed wire, surrounding the entire complex.
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{ 14 comments… read them below or add one }
Disgusting, isn’t it?
I’ve refused shopping at sprawl-mart for years unless absolutely necessary. Where I live, we’ve had little alternative – but now, like a light shining down from the heavens, we have a Super Target!
I’m more than perfectly thrilled to be shopping there – yes, they’re a little more pricey on some stuff, but it’s so worth it to me. Even something so simple as their accessories or simple shirts are so much higher quality.
Last summer? Get this… I bought FIVE dresses there, Mossimo brand, and paid no more than $5 each because they were on clearance. These dresses got worn constantly through the remainder of the summer, they always looked amazing and never lost shape, threads, hems, or seams… can’t say as much for Wal-Mart stuff – the very first shirt I bought from there (many many many moons ago) literally fell apart at the seams after the first washing, and I refused, no matter how “bargain” to never do that again. I used to drive 30 mins to a Target because I loved them so much and now, thankfully I don’t have to go more than 3 mins away!
All that said – the stuff in the documentary was even more infuriating when I learned about it a while back. I’m hoping and praying that Target doesn’t have the same shame or I don’t know what I’ll do! LOL
Correction – I refused to EVER do that again… not “never”. LOL
FTA: “Lee Scott, Wal-Mart CEO, earned $27,207,799 in 2005, while the average Wal-Mart hourly employee was paid $13,861 ”
I just wonder how much Mr. Scott wins now, and, of course, how much an average employee wing during this crisis.
“In Honduras, an interviewed manager and loyal, career employee of Wal-Mart, speaks of being fired after bringing to light revelations of widespread worker abuse in every single factory he visited there.”
This sound familiar to me, but I don’t really know why… Oh, yeah.. this happens all the time!
Okay, I was just at WalMart this past weekend and now I feel totally dirty.
Target is opening a store near here soon. It’s about twice the drive, but I’ve heard much nicer things about their management.
My husband worked at Wal-Mart for two years – he was one of the new immigrants that they hire for outrageously low wages. Then he got a job at another company making good money, and then the recession hit, he got laid off and…guess where we shop now? It’s evil. Wal-Mart has driven prices so low that their employees have no choice but to shop there from the low wages, and have driven other companies out of business and I believe have affected wages in the U.S. as a whole – and by driving down wages, we must shop at Wal-Mart! Once my husband and I are out of school and he is employed again I will go back to shopping at better stores (I refused to shop at Wal-Mart for the longest time), but until then…
I only get prescriptions at Walmart due to the $4 generics I can’t get elsewhere. On the rare occassion I’d decide to buy a few grocery items I’d spend double or triple what I’d spend at Winn Dixie or Piggly Wiggly.
I have a cousin with a Christian Bookstore. When the Left Behind series was first out and popular they ordered their books but were told by the publisher they couldn’t sell them until a certain date. Walmart had them on the shelves a couple days before that and were selling the books for $14 which is $5 less than other stores were told to sell them for. Reason, Walmart sells popular items for less than their actual cost to lure you in the store knowing once you’re there you’ll probably buy more than that 1 item.
GUYS! Put those facts into context-
China makes all our shit. EVERYBODY imports from China.
Laborers in the factories are in PISS-POOR country’s and 18 cents/hour is a god-send for these people where say the next best factory pays 4 cents/hour. Adults AND children there need to work to survive; and there it’s either prostitution or factory work no matter what age. These country’s need to develop and companies like Walmart are helping that along. REMEMBER it was not long ago when America was in it’s own industrial age with children working in poor conditions for next to nothing just help support their family.
CEO’s get paid well. You need to keep your best man happy and staying with the company. There is a lot of competition out there and that’s a wonderful thing.
Petty things like racial discrimination happen everywhere and it’s not going to stop soon. But think… if Walmart REALLY discriminated so awfully against minorities that it is a major arguing point against them, could they have achieved such success.
Also, the people who are collecting welfare are only working part-time hours. They are lazy and find it easier to collect a check from the Gov and stay home a few days than to work hard and get a full-time position. The average pay for a FULL-TIME employee is over $10/hour. But some people just can’t put in the effort to work 40 hours. You get paid for the WORK you do.
Every point made in that DVD is based on some fact and the producer obviously puts them into the context of ‘evil Walmart’. But please check your own facts and stop following this corporate-hating cult our generation has become.
Winning is good! We are NOT all equal. Some people loose.
The fact is people like Walmart and they like paying less for their shit. Whats so wrong with their success?
My husband refuses to shop at Walmart and ops to support the local guy. I see his point but when times are tough, I end up at walmart. However it seems like Target is competing more with Walmart and I do agree their merchandise is of better quality.
Food Stamps are nice and handy if you want some fast meals.*:’
careers employment may be necessary for building your career track’”,
Food Stamps are great and i wish that there were more of them.;;:
we can always avail of food stamps if we can’t afford great food.`:
Nice post. I was checking continuously this blog and I am impressed! Very helpful information specially the last part I care for such information a lot. I was looking for this particular info for a very long time. Thank you and best of luck.
Excellent commentary on a subject that we need to examine; how much does Wal-mart cost each one of us?