Thats right stand up for yourselves
As far as the motivation factor, if you paid people $12-14 per hour, gave them full-time employment and decent benefits, you'd see a lot of frowns turned to smiles and much more productive and motivated employees. And it wouldn't even put a dent in their profit margin
It's pretty simple. When I went from a minimum wage retail job up to a call center job that paid way more and gave me benefits I was motivated as fukk to work just like most other people in the same boat. And if the still underperform after the up in pay scale, then you fire their ass.
█ W.D.Y.D. █;2298453 said:Yeah right. The one common denominator at any job I've every worked regardless of pay was that people are lazy and do what they can get away with.
You don't pay people more to motivate them to work harder that's doesn't make sense. You only pay an employee more if they're bringing value to their company, and/or there's the threat of them working for someone else. Walmart has it made, their retail employees overall have low value and few options. Walmart should just cut into their profits out of the kindness of their heart to up the pay of a bunch of workers that are happy to collect a shytty salary? On some hope and dream that it'll somehow motivate those employees to do a better job?
Everything you say about Walmart being scumbags is 1000% correct. However the only way to punish them for their behavior is to refuse to play ball. Don't apply to walmart. I guarantee if all of a sudden people stopped applying that walmart would change their practices. But itwon't happen, people are hardup for money and need jobs. The fact that Walmart is the largest employer despite their habits tells you all you need to know.
What type of republican rhetoric is this....
Huh, Go to school, keep your nose to the grindstone worked for me and folks I knew. Shyt was HARD WORK. I'm an independent by the way. I can't feed into the repub or democrat sucker shyt. Never mattered who was in office I work hard regardless. Don't disrespect my work ethic
nikkas been working hard since the 1700s and it still hasn't transpired into ownership. Every time we tried, it was destroyed by the majority.
My peoples and myself have "ownership". It's called HARD WORK again, saving money sacrificing and not listening to dumb nikkaz complaining about the whiteman while they sit around and do nothing but complain.
Using foreigners is a bad example because the cultural mindset is very different and on top of that, most of their income goes back to their indigenous country and is not truly circulated in the American economy.
Fam, my pops was a foreigner. I am an American. Our money stays in this country. I speak from 100% experience with everything I say. You sound like you talk about what others have told you or what u "think".
People say just go to school and that's the dumbest thing I ever heard. Again. It's only dumb if that's your mindstate. We all fight racism. Myself probably more than others because I had to navigate through alot of bs to get respect and to get ahead. Going to school and succeeding is one thing they couldn't take away from me. My education. Unfortunately most around me in my community wanted to smoke weed, sell drugs and get chicks pregnant before age 18 and drop out. Yeah it's hard when you have no ambition. I don't let anyones lack of getting it stop me from getting it. I can't rely on excuses and blaming anyone else for why I didn't succeed either.
"America is set up to have winners and losers"
No Life is. Difference is I have a winners mindstate and I'm blessed to have it.
Read what I said fam. I'm speaking 100% from experience. I'm a minority. My family came here from the islands. I lived in the east coast around people of various backgrounds. Grew up with them. My mindstate is that of an owner.
I've bought my 1st home before 30. Owned all my cars, never leased or rented. I worked any jobs I could get while going to school and playing sports.
Labeling my mindstate Republican is purely doing nothing but holding you back.
I'm around people. Africans, Mexicans, West Indians, Vietnamese etc. The one thing we all have in common is we want to work hard AND OWN OUR OWN SHYT!!!!!!!!!!!!!!!!!!
These people have no options. Like Doom and some other poster's mentioned Walmart is the only major employer in a lot of cities. I know more than a few Walmart employees that had better jobs, or even jobs in retail that paid a little more and they were eliminated or absorbed when the Walmart opened up. Walmart generates billions and billions of dollars in profit they could increase the wages to $15 dollars an hour and provide decent benefits and still make money in the long run. You want an example of a company that treats their employees better and still posts considerable profits,ask Costco. So you can miss me with that.
█ W.D.Y.D. █;2300073 said:And it's their fault that they have no options. That's the bottom line.
You can sit here and make excuses for it, blame Walmart and talk about how they could pay their workers $15 a year. But they don't have to and they aren't going to. Walmart isn't going to reward people for making poor decisions.
No matter how you slice it, if your only option in life is to work at Walmart...you bear the lion's share of the responsibility. No one can force a person to apply to Walmart.
And if Costco (also a lot of unskilled labor) has better treatment, go work at costco instead of walmart.
█ W.D.Y.D. █;2298453 said:Yeah right. The one common denominator at any job I've every worked regardless of pay was that people are lazy and do what they can get away with.
You don't pay people more to motivate them to work harder that's doesn't make sense. You only pay an employee more if they're bringing value to their company, and/or there's the threat of them working for someone else. Walmart has it made, their retail employees overall have low value and few options. Walmart should just cut into their profits out of the kindness of their heart to up the pay of a bunch of workers that are happy to collect a shytty salary? On some hope and dream that it'll somehow motivate those employees to do a better job?
Everything you say about Walmart being scumbags is 1000% correct. However the only way to punish them for their behavior is to refuse to play ball. Don't apply to walmart. I guarantee if all of a sudden people stopped applying that walmart would change their practices. But itwon't happen, people are hardup for money and need jobs. The fact that Walmart is the largest employer despite their habits tells you all you need to know.
█ W.D.Y.D. █;2300073 said:And it's their fault that they have no options.
What type of republican rhetoric is this....
Huh, Go to school, keep your nose to the grindstone worked for me and folks I knew. Shyt was HARD WORK. I'm an independent by the way. I can't feed into the repub or democrat sucker shyt. Never mattered who was in office I work hard regardless. Don't disrespect my work ethic
nikkas been working hard since the 1700s and it still hasn't transpired into ownership. Every time we tried, it was destroyed by the majority.
My peoples and myself have "ownership". It's called HARD WORK again, saving money sacrificing and not listening to dumb nikkaz complaining about the whiteman while they sit around and do nothing but complain.
Using foreigners is a bad example because the cultural mindset is very different and on top of that, most of their income goes back to their indigenous country and is not truly circulated in the American economy.
Fam, my pops was a foreigner. I am an American. Our money stays in this country. I speak from 100% experience with everything I say. You sound like you talk about what others have told you or what u "think".
People say just go to school and that's the dumbest thing I ever heard. Again. It's only dumb if that's your mindstate. We all fight racism. Myself probably more than others because I had to navigate through alot of bs to get respect and to get ahead. Going to school and succeeding is one thing they couldn't take away from me. My education. Unfortunately most around me in my community wanted to smoke weed, sell drugs and get chicks pregnant before age 18 and drop out. Yeah it's hard when you have no ambition. I don't let anyones lack of getting it stop me from getting it. I can't rely on excuses and blaming anyone else for why I didn't succeed either.
"America is set up to have winners and losers"
No Life is. Difference is I have a winners mindstate and I'm blessed to have it.
Read what I said fam. I'm speaking 100% from experience. I'm a minority. My family came here from the islands. I lived in the east coast around people of various backgrounds. Grew up with them. My mindstate is that of an owner.
I've bought my 1st home before 30. Owned all my cars, never leased or rented. I worked any jobs I could get while going to school and playing sports.
Labeling my mindstate Republican is purely doing nothing but holding you back.
I'm around people. Africans, Mexicans, West Indians, Vietnamese etc. The one thing we all have in common is we want to work hard AND OWN OUR OWN SHYT!!!!!!!!!!!!!!!!!!
Do you have a mortgage? If that is the case then you do not own your home and if you equate owning a home and cars to ownership then nikkas been owning shyt since the 1700s but it is so much deeper than that. I tell you what. Get with some of your hard working friends and position yourselves to buy a block of prime real-estate and get back at me....
That's one example of ownership that I am referring too, something that generates perpetual wealth...
You came over here and grinded and that's great but you patting yourself on the back like you the only one that ever worked hard. I know a gang of nikkas that worked hard all they life and they barely got a pot to piss in.
Examples, my Grandma, Aunts, and a few of my uncles. Now granted that was a different era but the collateral damage was passed down to me.
Your fam came over here and got it in, ok, cool, but its millions of nikkas that have a mortgage and own their cars and the money spent on that directly effects who exactly? It damn sure aint us we cause don't own any banks to finance shyt... Shiit, I bought my first house in the hood from hustle money at the age of 20.... I been grinding, but I am way too smart to still be a thousandaire and I have had plenty of white folks throw salt my way and try to impede my progress.
Negroes scream about the white man because it is a reality. There is nothing in history that dictates that black people can obtain any aggregate wealth such as banks, prime real estate, Insurance Conglomerates, Shipping Vessels, Oil Rigs, Mineral Contracts, etc, etc, etc,....
That is ownership. Do you own the land that your house sits own?
Do you have a mortgage? If that is the case then you do not own your home and if you equate owning a home and cars to ownership then nikkas been owning shyt since the 1700s but it is so much deeper than that. I tell you what. Get with some of your hard working friends and position yourselves to buy a block of prime real-estate and get back at me....
That's one example of ownership that I am referring too, something that generates perpetual wealth...
You came over here and grinded and that's great but you patting yourself on the back like you the only one that ever worked hard. I know a gang of nikkas that worked hard all they life and they barely got a pot to piss in.
Examples, my Grandma, Aunts, and a few of my uncles. Now granted that was a different era but the collateral damage was passed down to me.
Your fam came over here and got it in, ok, cool, but its millions of nikkas that have a mortgage and own their cars and the money spent on that directly effects who exactly? It damn sure aint us we cause don't own any banks to finance shyt... Shiit, I bought my first house in the hood from hustle money at the age of 20.... I been grinding, but I am way too smart to still be a thousandaire and I have had plenty of white folks throw salt my way and try to impede my progress.
Negroes scream about the white man because it is a reality. There is nothing in history that dictates that black people can obtain any aggregate wealth such as banks, prime real estate, Insurance Conglomerates, Shipping Vessels, Oil Rigs, Mineral Contracts, etc, etc, etc,....
That is ownership. Do you own the land that your house sits own?
I'm not gonna disrespect your discourse, but to me ownership is anything that is mine. Something I have that I can sell without anyone saying anything about it.
I have a home I mortgage. Also have a spot I own outright that I'm trying to sell.
I've Owned vehicles since my teens. I've flipped them and sold them since then. Other than taxes( that none of us regardless of color) can escape from I've pocketed all of that $.
Nothing about what I said is "patting myself on the back". Sorry if it makes you insecure but I only stated the truth.
Things are possible. I've experienced alot of hardship in my life as well and didn't have much. I started out not having anything really. We worked and grinded for every cent. That's why my tone is the way it is. I could sit back and have a defeatist attitude but it never got me anywhere. If you have the knowledge to know what the game is, that will only help you play better.
I'm a black man. My pops told me from a young age I was born with 2 strikes against me. I've lived life with that in my head everyday. It still doesn't make me bitter and blaming anyone for my shortcomings because i already know what it is.
If you know people who grinded and worked hard their whole lives and saved and they don't have a pot to piss in, you need to find out why. Something is clearly not adding up.
I'm not gonna disrespect your discourse, but to me ownership is anything that is mine. Something I have that I can sell without anyone saying anything about it.
I have a home I mortgage. Also have a spot I own outright that I'm trying to sell.
I've Owned vehicles since my teens. I've flipped them and sold them since then. Other than taxes( that none of us regardless of color) can escape from I've pocketed all of that $.
Nothing about what I said is "patting myself on the back". Sorry if it makes you insecure but I only stated the truth.
Things are possible. I've experienced alot of hardship in my life as well and didn't have much. I started out not having anything really. We worked and grinded for every cent. That's why my tone is the way it is. I could sit back and have a defeatist attitude but it never got me anywhere. If you have the knowledge to know what the game is, that will only help you play better.
I'm a black man. My pops told me from a young age I was born with 2 strikes against me. I've lived life with that in my head everyday. It still doesn't make me bitter and blaming anyone for my shortcomings because i already know what it is.
If you know people who grinded and worked hard their whole lives and saved and they don't have a pot to piss in, you need to find out why. Something is clearly not adding up.
I am solid at math and there is a variable in this equation that won't allow us to solve......But I'll agree to disagree
One simply cannot have a discussion about Walmart's wages without someone bringing up Costco. It seems to be de rigeur, like tipping your waiter, calling your mother on her birthday, and never starting your thank you notes with the words "Thank you". So lets get it out of the way before the supper gong goes.
Obviously, there's a pretty pleasing narrative for labor activists:
A Sam's Club employee starts at $10 and makes $12.50 after four and a half years. A new Costco employee, at $11 an hour, doesn't start out much better, but after four and a half years she makes $19.50 an hour. In addition to this, she receives something called an "extra check"a bonus of more than $2,000 every six months. A cashier at Costco, after five years, makes about $40,000 a year. Health benefits are among the best in the industry, with workers paying only about 12 percent of their premiums out-of-pocket while Wal-Mart workers pay more than 40 percent.
In response to this post, Matt Yglesias says that Costco's margins are lower than Walmart's, so pretty clearly, there's room for them to lower the margins and give the money to the workers. Quite possibly so, but I'm not actually sure how well this argument really works. It would be a good argument in the case of, say, steel plants or automakers, where the business models are all about the same. But Walmart is not just a poor man's Costco. They're very different businesses, with very different labor models, demographics, and revenue streams. And those things work together: the fact that Costco is doing great with a given labor model or profit margin does not therefore mean that Walmart could easily follow the same course. With depressing regularity, you see pundits and activists asking "Why can't Walmart be more like Costco", which is a little like asking why Malcolm Gladwell can't be more like Michael Jordan. I mean . . . um . . . where do I even start?
How about with some basic figures about Costco and Walmart? I, er, just happen to have a handy little table right here. Just something I threw together, you know. No trouble at all.
What do you notice? Costco has a more highly paid labor force--but that labor force also brings in a lot more money. Costco's labor force, paid $19 an hour, brings in three times as much revenue as a Walmart workforce paid somewhere between 50-60% of that. (There's a bit of messiness to all these calculations, because of course both firms have employees who don't work in stores--but that's the majority of their workforce, so I'm going to assume that the differences come out in the wash.)
This is not because Costco treats its workers better, and therefore gets fantastic productivity out of them, though this is what you would think if you listened to very sincere union activists on NPR. Rather, it's because their business model is inherently higher-productivity. A typical Costco store has around 4,000 SKUs, most of which are stacked on pallets so that you can be your own stockboy. A Walmart has 140,000 SKUs, which have to be tediously sorted, replaced on shelves, reordered, delivered, and so forth. People tend to radically underestimate the costs imposed by complexity, because the management problems do not simply add up; they multiply.
One way to think about this is Thanksgiving dinner: how come you, who are capable of getting a meal on the table 364 nights of the year, suddenly find yourself burning things, forgetting the creamed onions in the microwave, and bringing the mashed potatoes to the table a half an hour late? Because when you're cooking sixteen things instead of four, it is not the same as cooking four four-item meals. There are all sorts of complex interactions involving things like heating times and oven space, and adding more people to the problem, while probably necessary, itself multiplies the complexities.
Walmart has tried to reduce ("rationalize") the number of SKUs, but they were forced to backtrack and restore over 8,000 items to their stores. That's because most Costco shoppers are opportunity shoppers--they buy whatever is on sale at the moment, and supplement with frequent trips to the grocery store. Many Walmart shoppers, on the other hand, rely on the store for the majority of their needs--it has to be everything to everyone. That's really expensive, and it requires a lot of labor to keep track of all of those SKUs, figure out where to shelve them, etc. Walmart uses a lot more labor per sale than Costco does because it sells more than one kind of gum, and not always by the 24-pack.
You know how your husband hates going to Costco because you have to stand in line for twenty minutes? That's another part of Costco's low labor costs. Except for its very busiest days, like Black Friday, Walmart keeps more registers open, which speeds your passage through line, but also wastes expensive worker time standing at the checkout and waiting for people to come by. Again, this is not just some idiosyncratic decision that the stores have made because, well, people are different: customers will wait in line at Costco because they don't go there very often. At Walmart, which is many peoples' grocer, clothier, and auto supply shop, long lines would cost them a lot of business.
Costco's higher revenues are also a function of their demographic. Costco shoppers have an average income of $85,000--not surprising, because Costco tends to locate itself in affluent suburbs. Walmart shoppers are what the firm calls "value driven shoppers" which is to say, there's not a lot of spare money lying around the house, just waiting for an opportunity to buy a 6-lb wheel of Camembert. Value driven are very price conscious, and willing to forgoe things like service or artful displays in order to shave an extra 50 cents off the weekly shaving cream budget. If you've been wondering why Walmart seems serenely unworried that last Friday's labor action will touch of a boycott, this is why. If you took all the people in my twitter feed expressing excitement about a new era of labor organizing last Friday, I'd be very surprised to learn that they had spent as much as a thousand dollars between all of them at a Walmart last year.
Meanwhile, to speak more directly to Matt's point, Costco's margins are lower than Walmart's because they're basically a grocer with a sideline in televisions and kitchen gadgets. Margins are very slim in the grocery business: it's a big part of peoples' budgets, it's not particularly fun shopping, and people have a good sense of what the prices would be because they shop very frequently. Plus the losses to shrinkage and spoilage are very high. On the flip side, no matter how bad a recession gets, people still buy groceries, so those margins are pretty safe; if that weren't the case, we'd have lost all our grocers, along with our national dignity, in 2009.
Costco is doing very well for a grocer, but very poorly for a department store, the category to which Walmart technically belongs. Target, the store that is most like Walmart (albeit with a younger, more upscale demographic), has a profit margin of 4.1%.
One final thing that's worth pointing out is that Costco doesn't even make money selling the groceries and the six person hot-tubs. Their annual membership fee revenue exceeds their net profit--which is to say that the actual business of selling stuff is operating at a loss. They're charging you an annual fee to buy stuff at or near cost. That's a model that works really well with their basically affluent customer base, and not incidentally, a model that allows you to worry a bit less about your cost of sales. Sam's Club tries to do the same thing, but caters to a lower-income clientele and makes a lot less money despite having more stores.
The point of all of this is to say that while it might be true that Walmart could make more money by adopting Costco's labor model, there's no particular reason to think that this would be so. The differences in their labor models are not just some sort of personal preference, or ideological choice*; they're responses to the way that labor needs to be deployed to do the quite different things that these stores do. We say that "they're competitors" because they do compete with eachother in some markets, for a handful of SKUs. But very few people could replace their trips to Costco with visits to Walmart, or vice versa. Despite the superficial similarities (cheap stuff in large store) they're really very different, and you can no more graft one's labor model onto the other than you can buy a single pack of gum in the Costco checkout.
This is, of course, a separate question from whether a union should force Walmart to change its labor model; I'm merely addressing Matt's claim that there's obviously plenty of room for Walmart to lower margins, and more importantly, the rather fatuous argument that they should obviously do it voluntarily because it's better for everyone--the evergreen platitudes that I have wearily begun thinking of as the "Costco Shows it's Possible" story. Matt thankfully does not make that argument, but by God, everyone else does, so I'm afraid I've got a bit of pent up steam on the subject. Costco shows it's possible to be Costco and pay the wages that Costco pays. They have not demonstrated that it is possible to be Dollar General while doing the same.
I don't necessarily have much of a takeaway here--other than "Megan has accumulated a lot of factoids about Walmart and Costco that she would like to inflict upon her audience"--though I supposed I'd argue that before you decide whether this will be on net a good thing, you'd want to know whether changing the labor model would mean changing the business model--whether emulating Costco's admirably high pay would also mean emulating its extremely lean staffing models. That's something you need to know before you decide whether unionizing would, on net, make Walmart's 1.3 million US associates better off.
* So actually, Costco's labor model is partly an ideological choice; its founder and longtime CEO, James Sinegal, was a fairly committed progressive who paid himself a very modest salary. (He did, of course, own a good bit of stock). There is some question about whether this is going to continue long term; Sinegal overrode his executives on a bunch of stuff related to compensation. One signal to pay attention to: the incoming CEO makes more than twice what Sinegal did, though his mid-high six-figure salary still pales in comparison to the CEO of Walmart.
But whether or not Sinegal's ideology mattered, he would have had a hard time paying those kinds of salaries in a Walmart style operation, which is much more labor intensive, so that each extra dollar of wages cuts more deeply into the bottom line.
Walmart, the nations largest private employer, plans to begin denying health insurance to newly hired employees who work fewer than 30 hours a week, according to a copy of the companys policy obtained by The Huffington Post.
Under the policy, slated to take effect in January, Walmart also reserves the right to eliminate health care coverage for certain workers if their average workweek dips below 30 hours -- something that happens with regularity and at the direction of company managers.
Walmart declined to disclose how many of its roughly 1.4 million U.S. workers are vulnerable to losing medical insurance under its new policy. In an emailed statement, company spokesman David Tovar said Walmart had made a business decision not to respond to questions from The Huffington Post and accused the publication of unfair coverage.
Labor and health care experts portrayed Walmarts decision to exclude workers from its medical plans as an attempt to limit costs while taking advantage of the national health care reform known as Obamacare. Among the key features of Obamacare is an expansion of Medicaid, the taxpayer-financed health insurance program for poor people. Many of the Walmart workers who might be dropped from the companys health care plans earn so little that they would qualify for the expanded Medicaid program, these experts said.
Walmart is effectively shifting the costs of paying for its employees onto the federal government with this new plan, which is one of the problems with the way the law is structured, said Ken Jacobs, chairman of the Labor Research Center at the University of California, Berkeley.
For Walmart, this latest policy represents a step back in time. Almost seven years ago, as Walmart confronted public criticism that its employees couldn't afford its benefits, the company announced with much fanfare that it would expand health coverage for part-time workers.
But last year, the company eliminated coverage for some part-time workers -- those new hires working 24 hours a week or less. Now, Walmart is going further.
Have you worked at Walmart? The Huffington Post wants to know about your experience. Send us an email here.
Walmart likely thought it didnt need to offer this part-time coverage anymore with Obamacare, said Nelson Lichtenstein, director of the Center for the Study of Work, Labor and Democracy at the University of California, Santa Barbara. This is another example of a tremendous government subsidy to Walmart via its workers.
In pursuing lower health care costs, Walmart is following the same course as many other large employers. But given its unrivaled scale, Walmarts policies tend to influence American working conditions more broadly. Tom Billet, a senior consultant at Towers Watson, a professional services firm that works with large companies to develop benefit plans, said other companies are also crafting policies that will exclude some part-time workers from medical coverage.
Billet portrayed the growing corporate interest in separating out part-time workers as a reaction to another aspect of Obamacare -- the new rules that require companies with at least 50 full-time workers to offer health coverage to all employees who work 30 or more hours a week or pay penalties.
Several employers in recent months, including Darden Restaurants, owner of Olive Garden and Red Lobster, and a New York-area Applebees franchise owner, said they are considering cutting employee hours to push more workers below the 30-hour threshold.
In the past, firms were less careful about monitoring whether someone was full- or part-time, Billet said, noting that some of his clients were planning to track workers hours more carefully. I expect health plans like Walmarts wont be uncommon as firms adjust to this law.
For Walmart employees, the new system raises the risk that they could lose their health coverage in large part because they have little control over their schedules. Walmart uses an advanced scheduling system to constantly alter workers shifts according to store traffic and sales figures.
The company has said the scheduling system improves flexibility and efficiency. But in recent interviews with The Huffington Post, several workers described their oft-changing schedules as a source of fear that they might earn too little to pay their bills. Many said they have begged managers to assign them additional hours only to see their shifts cut further as new workers were hired.
The new plan detailed in the 2013 "Associates Benefits Book" adds another element to that fear: the risk of losing health coverage. According to the plan, part-time workers hired in or after 2011 are now subject to an Annual Benefits Eligibility Check each August, during which managers will review the average number of hours per week that workers have logged over the past year.
If part-time workers hired after Feb. 1, 2012, fail to reach the 30-hour threshold, they will lose benefits the following January, according to the book. Part-time workers hired after Jan. 15, 2011, but before Feb. 1, 2012, must work at least 24 hours a week to retain coverage and will also be subject to an eligibility check each year. Those hired before 2011 arent subject to the minimum hours requirements or eligibility checks.
As for full-time workers under the plan, those who lose hours and slip to part-time at any point during the year will see their spouses health coverage dropped immediately. Those workers will also lose their dental and life insurance policies in the following pay period, according to the plan.
Some Walmart workers who are excluded from the companys health care plans are likely to become eligible for Medicaid under the Obamacare expansion, which aims to replace a patchwork of standards now set by individual states with one minimum federal threshold -- income below 133 percent of the federal poverty line, which for an individual currently comes to $14,856. However, the Supreme Court ruled earlier this year that the decision to expand the program is voluntary for the states. At least eight states, including Texas, have said they will not expand the program, which would leave Walmart workers there with one less option.
Part-time workers who lose their Walmart insurance but earn too much to qualify for Medicaid should be able to buy insurance through the health care exchanges to be established under Obamacare -- essentially, online marketplaces offering an array of health care plans.
For workers who do qualify for health coverage under Walmart's new policy, the latest package represents an upgrade over previous plans. Walmarts health plans began covering 100 percent of spine and heart surgeries this year at select hospitals and medical centers. They also include a smattering of preventative care services required by Obamacare.
But the companys plans still leave many workers facing significant financial distress in the event of major illness. Under the new policy, one major offering, the so-called Health Reimbursement Account Plan, costs nonsmoking workers $34.80 a month -- a seemingly affordable sum. Yet it comes with an annual deductible of $2,750, a hefty expense given that half of Walmarts hourly workforce earns no more than $10 an hour.
While a shifting of Walmart employees to Medicaid rolls may increase the burden on American taxpayers, it is likely to be a better deal for the workers themselves.
The packages Walmart is providing for low-income people arent offering very much coverage except for catastrophes, said Linda Blumberg, a senior fellow at the Urban Institute, a left-leaning think tank. Its likely theyll be better off going with a government-sponsored plan.