6 Bad Things That Have Happened to Greedy Walmart Recently

http://www.alternet.org/labor/6-bad-things-have-happened-greedy-walmart-recently



1. Walmart agrees to a settlement in a massive wage theft lawsuit. Last week, Walmart and Schneider Logistics, Inc., agreed to a $21 million settlement for a decade’s worth of federal and state labor violations at a Walmart warehouse at Riverside County, CA. The violations had affected 1,800 workers who loaded and unloaded boxes of goods on their way to Walmart. These employees sued the Walmart and Schneider because they often worked for less than minimum wage, without required breaks, benefits or overtime compensation. While Walmart tried to claim it had no knowledge of these conditions, a judge ruled that the presence of up to two-dozen Walmart managers at the warehouses made them both aware and liable for the conditions at the warehouse.

***SNIP

2. Government begins prosecution of Walmart for illegally firing workers. Speaking of lawsuits, Walmart is facing another one — this time with the government of the U.S. of A. Back in November, the National Labor Relations Board found that the corporation violated the rights of dozens of workers when it “unlawfully threatened, disciplined, and/or terminated employees” for both “having engaged in legally protected strikes and protests” and “in anticipation of or in response to employees’ other protected concerted activities.” The trial began for nearly 70 workers in Oakland, CA on Monday. If Walmart is found liable, workers may receive back pay, reinstatement and a reversal of disciplinary actions.

***SNIP

3. Portland becomes first city to divest from Walmart. Joining other investors fed up with the corporation’s abuse of workers’ rights, Portland, Oregon has become the first city to divest from Walmart. As part of its adoption of socially responsible investment principles this past fall, Portland’s city council decided to discontinue its investment in the corporation. Portland’s Commissioner Steve Novick stated in a press release, “I’m hopeful other cities and states take note and adopt similar investment principles to hold companies accountable and align our investment policies with our values.” The last of Portland’s Walmart bonds will mature in April 2016, at which point the city will have rid $36 million invested in the company.

4. Walmart blames weather on poor first quarterly sales. Walmart’s sales for the first quarter of the year are weak, with the stock down 3 percent in pre-market trading and customer traffic falling 1.4 percent. Like last year, Walmart blamed its weak sales on bad weather. But labor advocates blame its low pay, which doesn’t allow for its own employees to shop there. They also point to customer dissatisfaction with the store that it is often understaffed and therefore chaotic. John Marshall, a financial analyst for United Food and Commercial Workers, which backs the OUR Walmart campaign, wrote in a statement:

Does cold weather hurt a company that derives most of its sales from the grocery and consumables category? Many analysts understand that inclement weather typically results in an increase in food-at-home purchases as consumers stock up on groceries and other consumables. In fact, by late March, as weather patterns were normalizing, Credit Suisse analysts declared an end to the “weather benefit,” citing a decline in the Nielsen Supermarket Sales index from its above normal growth levels during the previous three months.