UFCW | Wal-Mart Shifted $84 Million in Health Care Coverage Costs to New York and Michigan Taxpayers

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Wal-Mart Shifted $84 Million in Health Care Coverage Costs to New York and Michigan Taxpayers

Washington, DC- New York and Michigan taxpayers paid a combined $84 million to subsidize health care costs for Wal-Mart employees and their families because the world’s largest retailer refuses to offer affordable health care. In a study conducted by WakeUpWalMart.com, the figures are part of a report entitled "America Pays, Wal-Mart Saves" that details how taxpayers across the nation paid almost $1.4 billion in 2005 to subsidize health care costs for Wal-Mart’s employees.

The study showed New Yorkers alone paid an estimated $61 in subsidies. "Wal-Mart, which made $11 billion in pure profits last year, wants to pass on the health-care costs to the public," said Steve Phelan of the UFCW at a news conference held at the local union's office in DeWitt, NY.

The conference was part of a new national health care campaign initiative by WakeUpWalMart.com, called "Stop the Wal-Mart Health Care Crisis." The campaign will hold events in 14 states and include rare testimonials from 17 former and current Wal-Mart workers, all calling on Wal-Mart to improve conditions and benefits for other workers and their families.

Michigan's taxpayers also paid millions in subsidies. The study found that Wal-Mart cost that state’s taxpayers over $23 million in 2005. "Every day, the Wal-Mart health care crisis in America worsens. It's time Wal-Mart, a company with $11 billion in profits last year, stops exploiting taxpayers and its employees, and starts living up to its health care responsibilities," said Victoria Collins, president of UFCW Local 876.

The report also estimated that taxpayers' costs will rise to $9.1 billion from 2006 to 2010 if Wal-Mart practices don’t change.

"Since Wal-Mart and other large corporations refuse to act responsibly when it comes to their employees' health insurance, Wake Up Wal-Mart is coordinating a nationwide effort to gain support for additional states to adopt legislation modeled after Maryland's 'Fair Share Health Care' bill," Collins said.

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