November, 2012

Home for the Holidays? Not for Walmart Workers

Yesterday, in an Op-Ed for the Huffington Post, UFCW President Joe Hansen wrote about the struggles that Walmart Associates have long endured: low wages, poor working conditions, and inconsistent schedules.  But the biggest issue these workers are facing right now is retaliation for their bravery to stand up and speak out.  Read Joe’s piece, and see why he is calling for support of the OUR Walmart members who are going on strike this week, to take back the holidays, to get respect on the job, and unite together to stop retaliation from Walmart:

Home for the Holidays? Not for Walmart Workers

Wanted: Store Associates who will work for low pay, poor working conditions, erratic schedules — including working on Thanksgiving Day — and not enough hours to qualify for health care. Associates must be willing to live on public subsidies at taxpayer expense in order to survive. Those who try to speak out or unite as a group to address workplace issues will be silenced and possibly terminated. Please apply within your local Walmart store.

As the six members of the billionaire Walton Family — heirs to the Walmart superchain — prepare to sit down to a sumptuous Thanksgiving dinner with their families, the holiday will be very different for the 1.4 million Walmart associates who work for them. For the second year, Walmart is planning to put profits before its workers by beginning its Black Friday sales at 8 p.m. on Thanksgiving Day, and forcing its workers — many of whom are part-time — to abandon quality time with their own families during a cherished American holiday.

This latest move by the biggest retail employer in our country is the most recent blow to Walmart associates, who are already struggling to survive on an average hourly wage of $8.81, and are punished or fired for sticking together to address the erratic work schedules that do not provide enough hours to support a family or qualify for benefits. The retail sector is the largest industry by employment in the United States, and Walmart’s sheer scale in size means that its practices have an enormous impact on our country’s labor, business, and employment climate. The retail giant’s drive to put profits ahead of its workers has influenced other retailers to do the same, and this low-wage business strategy has, in turn, led to depressed wages across the retail and manufacturing sectors and forced more and more workers to rely on public subsidies at tax payer expense.

It doesn’t have to be this way. A recent study by Catherine Ruetschlin, a policy analyst at Demos, titled “Retails Hidden Potential: How Raising Wages Would Benefit Workers, the Industry and the Overall Economy,” shows that raising wages to $25,000 per year for full-time retail workers at the nation’s largest retail companies (or those employing at least 1,000 workers) would result in improving the lives of more than 1.5 million retail workers and their families who are currently living in or hovering above poverty. A higher wage increase would create more purchasing power for retail workers, which would generate $4 to $5 billion in additional annual sales for the industry, keep prices low for shoppers, and create more than 100,000 jobs.

Walmart — which paid its top six executives $59 million in compensation in the last fiscal year — can afford to pay its workers more. But instead of investing in their workers, the Walton family — whose combined family fortune is estimated to be over $100 billion — has chosen to engage in elaborate stock buybacks that take earned corporate profits and put them back into the hands of shareholders. For Walmart, stock buybacks have been the reason the Walton family’s interest in the company has risen to 51 percent — shifting the control of a so-called public company into the hands of a private family.

The United Food and Commercial Workers International Union is more than familiar with Walmart’s tactics of silencing workers who want to unite as a group to address work-related problems. But as so often happens in our resilient American workforce, employees are taking the lead in changing the Walmart culture themselves.

Last fall, the new employee association, the Organization United for Respect at Walmart (OUR Walmart), was formed by and for hourly associates in Walmart stores to help change the way Walmart does business. In just one year, OUR Walmart has grown from a group of 100 Walmart associates to an army of thousands in hundreds of stores across 43 states. Last month, members of OUR Walmart participated in first-ever strikes and protests in cities across the country — including Chicago, Dallas, the Washington, D.C. area, Miami, Orlando, Seattle, and from Southern California to Sacramento and the Bay area.

It’s time to restore some balance between the wealthy few and the rest of America, and we can start by making sure that our country’s biggest retail employer lets its workers have a voice and a seat at the table. On Thanksgiving Day and Black Friday, these brave men and women will take a stand against the retail giant to protest Walmart’s attempt to silence workers who speak out for change. Will you join us?

Strikes and Protests by Walmart Workers, Supporters Spread

Pico Rivera, California – Workers who set off wave of walkouts in October walk off their jobs once again; one of 1,000 protests in run-up to Black Friday

 As Black Friday nears, Walmart workers and community supporters are beginning 1,000 nationwide non-violent protests leading up to and on Black Friday, including strikes, rallies, flash mobs, direct action and other efforts to inform customers about the illegal actions that Walmart has been taking against its workers.  As part of the protests, Walmart workers walked off the job Tuesday morning in Pico Rivera, just outside Los Angeles, in protest against the company’s attempts to silence workers who speak out for better jobs. In October, the workers in Pico Rivera were the first group of Walmart associates to go on strike in the company’s history.

Last week, the 1,000 protests kicked-off with warehouse workers from Southern California and Walmart workers from San Leandro, Calif., Seattle, and Dallas walking off the job. Workers in the Washington DC area joined them yesterday in going on strike.  Walmart workers from cities across the country have announced additional strikes in Chicago, Dallas, Los Angeles, Miami, Milwaukee, Washington DC, Oklahoma, Mississippi, Louisiana and Minnesota in the upcoming days.

“We’re not trying to shut down business, we are supporting our co-workers who speak out for better working conditions,” said Yesenia Yaber, a two-year Walmart Associate in Chicago, Ill. “These Associates have been speaking out for changes that will help all Associates help our families and make Walmart stores better places for our customers to shop.  Yet, Walmart reacts by attempting to silence them. No one wants to strike, we want to work, but we can’t continue under Walmart’s threats and retaliation.”

Workers’ concerns about wages and staffing have been affirmed by newly uncovered company pay-plans exposed by the Huffington Post, poor sales reports and a new study on the retail industry.  Huffington Post uncovered what reporters call “a rigid pay structure for hourly employees that makes it difficult for most to rise much beyond poverty-level wages.”  Meanwhile, last week’s sales reports show that understaffing, which affects workers’ scheduling and take-home pay, is also having an impact on company sales. Last week’s sales report showed that Walmart’s comp store sales are about half what competitors like Target reported this quarter, continuing a pattern of underperformance by the world’s largest retailer.

“Walmart is doing everything in its power to attempt to silence those who speak out.  But nothing—not even this baseless unfair labor practice charge—will stop us from speaking out,” said Colby Harris, a Walmart associate from Lancaster, Texas, in response to Walmart’s frivolous unfair labor charge and the number of charges filed by workers against the company.  “Unfair labor is working full time and living in poverty. Unfair labor is seeing your health care premiums skyrocket year after year. Unfair labor is being denied the hours needed to support your family. Unfair labor is being punished for exercising your freedom of speech and association. Walmart workers know what unfair labor is—because we endure it every day. So until Walmart listens to our concerns, we will continue to speak out. We will continue to stand up when Walmart attempts to silence those who speak out. We will continue to demand respect.” 

As workers and community supporters call for changes at Walmart, a new report from the national public policy center Demos, shows that better jobs at Walmart and other large retailers would have an impact on our economy.  A wage floor equivalent of $25,000 per year for a full-time, year-round employee for retailers with more than 1000 employees would lift 1.5 million retail workers and their families out of poverty or near poverty, add to economic growth, increase retail sales and create over 100,000 new jobs. The findings in the study prove there is a flaw in the conventional thinking by companies like Walmart that profits, low prices and decent wages cannot co-exist.

“Walmart has forgotten about families,” said Larry Gross, the Executive Director of the Coalition for Economic Survival in Los Angeles, Calif. “Thanksgiving day scheduling, poverty paychecks, and unaffordable healthcare are all evidence of Walmart’s disregard for the 1.4 million workers that keep its doors open and shelves stocked.  We should expect more from the country’s largest employer.”

Walmart workers have been speaking out about the company’s manipulation of hours and benefits, efforts to try to keep people from working full-time and their discrimination against women and people of color, but rather than listening to the concerns facing 1.4 million Walmart workers, Walmart has attempted to silence them. Some workers have also been speaking out about the early start of Black Friday sales – on Thanksgiving Day –which will keep many retail workers from being able to spend the holiday with their families.  Watch a video from Walmart workers on why they’re standing up or follow the conversation on Twitter at #WalmartStrikers.

With so many Americans struggling to make ends meet and Walmart taking in $16 billion in profits and compensating its executives $10 million each, workers and community leaders have been calling on Walmart and Chairman Rob Walton to address the wage gap the company is creating.  At the same time frontline Walmart workers are facing financial hardships, the Walton Family – heirs to the Walmart fortune – are the richest family in the country with more wealth than the bottom 42% of American families combined.

Countless civil rights, immigrant rights, women’s rights and religious groups, including Color of Change, National Alliance of Latino, African and Caribbean Communities, Interfaith Worker Justice, and the National Organization of Women, are organizing their members in support of Walmart workers.  Online, individuals have been adding support and planning protests on their own, starting new Facebook pages, groups and events.  Through the Corporate Action Network, activists are “adopting” stores where they can inform shoppers about the struggles that Walmart workers are facing.

In October, OUR Walmart leaders held the first-ever strikes against the mega-retailer.  At that time, workers walked off their jobs in more than 12 cities and with the support of national and local leaders, held protests at more than 200 stores. Since then, workers have walked off the job in Richmond, CA and Dallas, TX, and support for OUR Walmart, the associate organization calling for change, has continued to grow.

Striking warehouse workers, who move billions of dollars of merchandise for Walmart, joined the call to speak about the retaliation they have experienced for speaking out against unsafe working conditions, including extreme temperatures, broken and unsafe equipment and inadequate access to clean drinking water.  The workers from the Inland Empire, outside of Los Angeles, held a 15-day strike that included a six-day, 50-mile pilgrimage for safe jobs in September.

Energy around the calls for Walmart to change its treatment of workers and communities has been building.  In just one year, OUR Walmart, the unique workers’ organization founded by Walmart Associates, has grown from a group of 100 Walmart workers to an army of thousands of Associates in hundreds of stores across 43 states. Together, OUR Walmart members have been leading the way in calling for an end to double standards that are hurting workers, communities and our economy.

The alleged Mexican bribery scandal, uncovered by the New York Times, has shined a light on the failure of internal controls within Walmart that extend to significant breaches of compliance in stores and along the company’s supply chain.  The company is facing yet another gender discrimination lawsuit on behalf of 100,000 women in California and in Tennessee, and a wage theft class action suit in Chicago. In the company’s warehousing system, in which Walmart has continually denied responsibility for the working conditions for tens of thousands of people who work for warehouses where they move billions of dollars of goods, workers are facing rampant wage theft and health and safety violations so extreme that they have led to an unprecedented $600,000 in fines.   The Department of Labor fined a Walmart seafood supplier for wage and hour violations, and Human Rights Watch has spoken out about the failures of controls in regulating suppliers overseas, including a seafood supplier in Thailand where trafficking and debt bondage were cited.

Financial investors are also joining the call for Walmart to create better checks and balances, transparency and accountability that will protect workers and communities and strengthen the company.  At the company’s annual shareholder meeting in Bentonville, OUR Walmart member Jackie Goebel brought a stadium full of shareholders to their feet applauding her call for an end to the short staffing that’s hurting workers and customer service.  Goebel was one of four Associate-shareholders who proposed a resolution calling for the reining in of executive pay. The resolution received unprecedented support from major pension funds that voted their shares against Walmart CEO and members of the board this June, amounting to a ten-fold increase and overall 1 in 3 shares not held by the Walton family against the company’s leadership.

These widespread problems have also thwarted Walmart’s plans for growth, particularly in urban markets.  Calling the company a “bad actor,” New York City mayoral candidates have all been outspoken in their opposition to Walmart entering the city without addressing labor and community relations’ problems.  This month, the city’s largest developer announced an agreement with a union-grocery store at a site that Walmart had hoped would be its first location in New York. In Los Angeles, mayoral candidates are refusing to accept campaign donations from the deep pockets of Walmart, and in Boston, Walmart was forced to suspend its expansion into the city after facing significant community opposition.

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Making Change at Walmart is a campaign challenging Walmart to help rebuild our economy and strengthen working families. Anchored by the United Food & Commercial Workers (UFCW), we are a coalition of Walmart associates, union members, small business owners, religious leaders, community organizations, women’s advocacy groups, multi-ethnic coalitions, elected officials and ordinary citizens who believe that changing Walmart is vital for the future of our country. 

 

UFCW International President Joe Hansen On the Demos Report and Retail Workers

Washington, DC – The following is a statement issued by United Food and Commercial Workers International Union President Joseph Hansen in response to a new report released today by Demos, “Retail’s Hidden Potential: How Raising Wages Would Benefit Workers, the Industry and the Overall Economy,” which calls on retailers to raise wages:

“One million UFCW members working in retail in the U.S. concur with Demos’ evidence that retailers, workers and the U.S. economy will benefit from retail companies investing in their workforce.

The report outlines that raising wages for full-time retail workers at the nation’s largest retail companies (those employing at least 1,000 workers) would result in improving the lives of more than 1.5 million retail workers and their families who are currently living in or hovering above poverty.   Higher wage increases would create more purchasing power for retail workers, which would generate $4 to $5 billion in additional annual sales for the industry, keep prices low for shoppers, and create more than 100,000 jobs.

“Walmart, for instance, paid its top executives $59 million in compensation in the last fiscal year and can clearly afford to pay their workers more.  The Walton family—whose combined family fortune is estimated to be $100 billion—has chosen to engage in elaborate stock buybacks that take earned corporate profits and put them back into the hands of shareholders.  For Walmart, stock buybacks have been the reason the Walton family’s interest in the company has risen to 51 percent—shifting the control of a so-called public company into the hands of a private family.

“The UFCW calls on retail employers like Walmart to heed this research and lead the way in making sure that retail jobs are good jobs with benefits that can support a family so that more retail workers have a pathway to the middle class.”

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The United Food and Commercial Workers International Union (UFCW) represents more than 1.3 million workers, primarily in the retail and meatpacking, food processing and poultry industries. The UFCW protects the rights of workers and strengthens America’s middle class by fighting for health care reform, living wages, retirement security, safe working conditions and the right to unionize so that working men and women and their families can realize the American Dream. For more information about the UFCW’s effort to protect workers’ rights and strengthen America’s middle class join our online community at http://www.facebook.com/ufcwinternational and https://twitter.com/UFCW.