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Walmart Black Friday Strike

Protests at the retail giant could mean steps toward changing its unfair ways

6 Comments

By Chris Scullin

Posted Nov 28, 2012

Wal-mart Stores, Inc., the world’s largest retailer, has long been known for offering extremely low prices on almost anything the American consumer could ever need. There are quite a few methods it uses to accomplish this.

First, it buys in enormously high volume. Walmart has more than 4,000 stores nationwide, including 610 Sam’s Club warehouses. The company buys so many units of a single product that the manufacturer is forced to offer low costs. Also, since the company has so many customers, manufacturers are eager to get their products on Walmart’s shelves. Therefore, Walmart is most often telling the manufacturer what it will pay for products, not the other way around.

Walmart also pressures many of its manufacturers to outsource jobs, with China and Mexico being some of its favorite places to move them. There have also been claims that human rights are not defended at these factories, with working conditions that are deemed unsafe and hours that are unreasonable.

Finally, Walmart saves money by exploiting its in-store workers. The company has a history of discrimination against women, offering full-time workers low wages, cutting benefits, child labor in the U.S. and firing employees who call in sick.

In 1999, Stephanie Odle was fired from Walmart after she complained of gender discrimination, claiming that a male colleague with the exact same job title and duties and much less experience was paid $23,000 more than she was each year.

Mike Michell, a Walmart security guard, was hit by a car as he chased down a woman in the parking lot who was using stolen checks. The person that hit him was the woman’s accomplice. He was injured pretty badly and needed knee surgery. But rather than give him time off to recover, Walmart fired him.

Though the company, whose workers are not unionized, has been doing this for years, workers have finally organized a strike. Beginning at 8 p.m. on Thanksgiving, when the store opened for Black Friday shopping, workers nationwide had planned to protest in front of the stores rather than work their shifts.

The protest was organized by United Food and Commercial Workers Union and a group called OUR Walmart. The group claimed that the strikes were successful, citing 1,000 protests and participation in 100 cities in 46 states. It says there are still hundreds on strike.

Walmart disputed these claims, saying that less than 50 associates participated in the protests, and that less workers missed their Black Friday shifts this year than last year. It also boasted record high sales numbers, claiming to have sold 1.3 million TVs and a quarter of a million bicycles.

No matter which party is telling the truth, this is a step in the right direction. Even though the company was not hurt financially by the strike, and though I doubt there were many people who saw the protests and decided to shop somewhere else on Black Friday (since on this of all days people are shopping for deals), at least it spreads the word that this company needs to change its ways. Its unfair practices are nothing new, and have been covered by news sources regularly. The extremely greedy company will most likely not address any of the problems with its employment practices until it is in its best financial interest to do so.

So if people stop shopping at Walmart, and its profits fall by even a fraction of a percent, I can almost guarantee action will be taken shortly thereafter.

Comments

Teddy @ 11/28/2012 03:54 pm

I like the article however the beginning mentions Walmart selling at extremly low prices and that is a false belief with it's customers. I am a purchaser for a large company and I have a knack for price comparison. Shoprite has better prices in allmost all catergories, Bed Bath and Beyond has better prices on almost all items, P.C. Richards has better prices on electronics (and you can bargain)and they have newer models not some on the way out model Walmart discounts, and P.C. Richards has knowledgable sales people and post service support, something you won't find in Walmart. I understand the consumers appetite for low prices, though you really have to visit other stores to compare, and not just take for granted Walmart has lower prices...Just Because They Say So....

Communit y Cancer @ 11/28/2012 05:55 pm

I tend to agree w/Teddy. The low price illusion perpetrated by Walmart is just that an Illusion. The high profile items with high customer visibility seem to be priced more aggressively than say accessories and many other products. I have found that with groceries Walmart generally will cost me more than some of the other stores in the area, and I am not referring to those that mainly sell generic branded products. Unfortunately, most communities that have been invaded by Walmart have experienced a loss of much of the community's old retail business base, this can particularity profound in those areas where the population is skewed toward the low to middle of the economic scale.

little roar @ 11/28/2012 06:44 pm

When you shop at walmart take notice of all the 6's. Yes the 6's. Their pricing often ends with 6's, and psychologically speaking this naturally seems cheaper. Why? because consumers are so used to seeing $XX.99 for most things, by shifting to .86 or .96, you actually seem much cheaper than you really are.

George @ 11/29/2012 12:47 pm

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Jordan Bertke @ 12/12/2012 07:26 am

What a crock. I'll take this line by line... "The company buys so many units of a single product that the manufacturer is forced to offer low costs." -- Really? Someone is forcing the producer to lower it's cost's because Walmart buys in bulk? The cost is determined by what Walmart is willing to pay for the product, and what the producer is willing to sell it for. Nobody is making the producer to business with Walmart. "Walmart also pressures many of its manufacturers to outsource jobs..." -- There is no basis in fact to support this, and should be treated as speculation. However, if Walmart has determined that it's profits would be higher if manufacturers outsource jobs, wouldn't it make sense from a business standpoint? "Walmart saves money by exploiting its in-store workers." -- I assume that by the 'exploitation' you're referring to, you think Walmart workers are being taken advantage of. How? Has... more
What a crock. I'll take this line by line... "The company buys so many units of a single product that the manufacturer is forced to offer low costs." -- Really? Someone is forcing the producer to lower it's cost's because Walmart buys in bulk? The cost is determined by what Walmart is willing to pay for the product, and what the producer is willing to sell it for. Nobody is making the producer to business with Walmart. "Walmart also pressures many of its manufacturers to outsource jobs..." -- There is no basis in fact to support this, and should be treated as speculation. However, if Walmart has determined that it's profits would be higher if manufacturers outsource jobs, wouldn't it make sense from a business standpoint? "Walmart saves money by exploiting its in-store workers." -- I assume that by the 'exploitation' you're referring to, you think Walmart workers are being taken advantage of. How? Has Walmart taken something from them without their consent? People seem to forget that employment is a two-way street in the sense that efforts and time are given to the employer by the employee in exchange for wages. Wages are set by the employer, and if the employee has issue with them, they are free to ask for a raise or to stop trading their time and effort with the company. "The extremely greedy company will most likely not address..." -- Greed, for lack of a better word, is good. You see greed, and the desire to maximize profits, as something that is immoral. I see it as the basis of our free-market capitalist system, and something to be admired. If Walmart is not in business to make money, what is it is business for? less

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