I wrote this for a school assignment about 3 years ago. I went back and reread it only to find that everything in this paper is still an issue. How can we resolve the tyranny of Walmart? By simply not shopping there- that's how.
Take a Closer Look
From the outside, Wal-Mart seems like a wonderful place, there are letters on the walls from teachers, thanking that particular Wal-Mart for donating a certain item to the teacher’s classroom, there are aisles of advertised savings, and friendly associates greeting people as they enter the front door. Unfortunately, when a closer look is taken at the dark side Wal-Mart has swept under the rug, what can be revealed is that this big-box store is not a gentle giant, but truly a malicious monster. That yellow smiley face, meant to represent great times shopping and saving money, becomes a constant reminder that not everything about Wal-Mart contains happiness. Wal-Mart is detrimental to America because of the unfair treatment towards workers, the negligence of the environment, and the blatant disrespect for America’s economy.
Employees are entitled to a certain amount of rights. These rights include: breaks, being paid for all time worked, and a chance to climb the ladder of growth within the company. Unfortunately, Wal-Mart has been unfair and has frequently denied these rights to their employees. According to the documentary, “WAL-MART: The High Cost of Low Prices” There have been many instances where employees were forced to work through their breaks and lunches; employees have even been forced to work past their scheduled shift without pay for the overtime. These instances have sparked many lawsuits through the past decade, resulting in Wal-Mart having to pay at least 50 million dollars, per suit. Though spokes-people for Wal-Mart claimed they did nothing wrong in these cases. Another example of the unfair treatment was spoken of in the same documentary, when female employees explained how obtaining promotion to a manager level and beyond was not possible if the employee was of female gender (Greenwald 1). Employees deserve to be given these simple rights, and be paid according to the time they work.
Another unfair business practice Wal-Mart has been guilty of pertains to the lack of eligibility for health care benefits. According to the Burt Flickinger, who happens to be employed by Strategic Marketing, a consulting firm; it has been estimated that Wal-Mart spends seventy percent less on all benefits, which includes health care, per employee (D’Innocenzio, Kabel 1). For example, Wal-Mart employees are often hired on a part time status to keep the company from having to offer any benefits. With a part time position, an employee would be considered well beneath the poverty level, and would indeed qualify for medical and other government assistance. For instance Stephen Dalton said, “…US employees on minimum wages are denied healthcare benefits and forced to apply for welfare handouts.” (Dalton 1). This business practice alone keeps Wal-Mart’s already fat pocketbook even fatter. The taxpayer is the one who ends up footing the bill for the employee medical benefits; taxpayer dollars fund the welfare system. Wal-Mart is the biggest chain store in America, with the amount of profit they bring in, they should at least take care of the people who keep the business running smoothly for them.
Wal-Mart has also been found guilty of negligence towards the environment. Wal-Mart has polluted parts of America with their improper placement of fertilizer bags outside their stores. These bags are being placed too close to drainage systems that run into storm drains that connect with streams and rivers which are used for drinking water (Greenwald 1). Another example of the destruction to the environment that Wal-Mart has produced was in 2004, when according to the Justice Department officials, Wal-Mart paid 3.1 million “…to settle Environmental Protection Agency and Justice Department charges that it had violated the Clean Water Act by allowing excessive storm-water runoff from 24 of its construction sites.” (“Environment” 1). With the amount of Wal-Mart stores being built around the United States, they are certainly are capable of causing large amounts of damage to the environment surrounding them.
There are approximately four thousand Wal-Mart stores in the United States. Each one of these stores consumes mass amounts of electricity water and natural gas. These resources cause greenhouse emissions that are breaking down the atmosphere. Evidently claims have been made that Wal-Mart is planning to cut their greenhouse emissions by 20 million metric tons by the year 2015, according to the New World Digest (“Global Environment” 1). However, Wal-Mart’s track record proves that even though a statement has been made the promise may never be fulfilled.
Not only is Wal-Mart ruining the environment, but they are also breaking down America’s economy. Sam Walton opened the first Wal-Mart store in 1962, to bring savings and American products to the American people all under one roof. After his death, the company slowly started bringing more and more products made over-seas into the stores. In fact now, most of the products sold at Wal-Mart are from China, Honduras and India. Outsourcing is one of the leading causes of America’s ailing economy. According to the Los Angeles times, Wal-Mart is planning to increase their workforce up to 3 million workers over the next five years. Susan Chambers who is the executive vice president for human resources with Wal-Mart implied that, “New employees will be hired mostly outside the U.S.” (“Business Briefing” 1). This statement shows that Wal-Mart only cares about the money they can save, and not what they are doing to America.
Wal-Mart is a business; therefore they should have to pay taxes. With a net worth such as this company has, one would think that in any city that has a Wal-Mart, there would be new streets, lush green parks, and that music and art would still be a large part of the school curriculum, from their tax contribution alone. What a misconception. According to the Wall Street Journal, Jesse Drucker states that Wal-Mart has found a way to side step having to pay their taxes. Wal-Mart does this by setting up real estate investment trusts, which own the land that the actual Wal-Mart building is built on. The Wal-Mart building then pays the rent to the investment trust and the rent becomes a tax right off. Therefore, the money that is being paid becomes tax free, thanks to an old tax loophole (1). This data proves that not only does Wal-Mart avoid paying into the economy, but by not paying taxes, they are taking away from the communities in which they reside.
The time is now for all of America to take a closer look. Wal-Mart is taking away from America in every possible way. They are taking advantage of, and mistreating their employees. They are poisoning the environment with their careless practices. Lastly, they do not care what they are doing to the country’s economy. The effect Wal-Mart is having on America is more of a hurt than a help. Sure, money may be saved, but at what cost?
Works Cited
"BUSINESS BRIEFING / RETAIL; Wal-Mart to hire, mostly overseas.” Los Angeles Times.
1 Oct. 2010, Los Angeles Times, ProQuest. Web. 23 Oct. 2010.
D'Innocenzio, Anne and Kabel, Marcus. "Critics question Wal-Mart's initiatives. " Deseret
News. 29 Oct. 2005, ProQuest Newsstand, ProQuest. Web. 21 Oct. 2010.
Dalton, Stephen. "Unhappy shopper: [Final 1 Edition].” The Times 4 May 2006, ProQuest
Newsstand, ProQuest. Web. 21 Oct. 2010.
Drucker, Jesse. “Wal-Mart Cuts Taxes by paying rent to itself.” Wall Street Journal. 1 Feb.
2007. Web.25 Oct. 2010.
"Environment: Wal-Mart Settles Water Issue." Facts On File World News Digest: n. pag.World
News Digest. Facts On File News Services, 1 July 2004. Web. 23 Oct. 2010.
"Global Environment: U.N. Climate Treaty Talks Resume; Other Developments." Facts On File
World News Digest: n. pag. World News Digest. Facts On File News Services, 22 July 2010. Web.23 Oct. 2010.
Walmart: The High Cost of Low Prices. By Robert Greenwald. Dir. Robert Greenwald. Brave
New Films, 2005. DVD.
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