Wal-Mart’s Negative Effects on Society

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Wal-Mart’s Negative Effects on Society

Akif USKUPLU
GLS 470 Writing Research Paper
Jennifer Zoller
March 17, 2012

ABSTRACT

This paper represent, Wal-Mart, the biggest retailer in the world, has caused damages on society. First of all, it does not act fair to employees, and it avoids paying proper wages. Its wage policy is far from fair. The workers are pushed to work with lower wages, and it pushes the workers to work over time without extra payment. On the same time it has unfair insurance policy. It does not like to give full coverage insurance to its employees. To achieve this policy, Wal-Mart usually prefers to hire part-time workers. In addition, it causes sex discrimination in managerial positions, and it acts antiunion. Usually, female workers work in lower levels, but in managerial positions there are mainly male workers occur. Secondly, This giant causes damages on towns. It reduces employment in towns and overall retailer activities. When a Wal-Mart is opened in a town, it becomes a monopole in this town. It may cause to close the other small retailers. Furthermore, It may kill the down towns because it is located far from city centers, so people don’t go city centers any more. Thirdly, Wal-Mart has affected national economies. It avoids paying some taxes, and fewer wages causes crises. Moreover, money goes out of communities because mainly Wal-Mart exports the products from China. These are just several negative sides of Wal-Mart; this giant causes more than these. Wal-Mart shows us being the biggest retailer is not enough to be fair. In this paper all of these problems are explained deeply and showed with lots of examples.

Wal-Mart’s Negative Effects on Society
With $405 billions sales and 2.2 million employees Wal-Mart Company is the biggest retailer in the earth. The first Wal-Mart was opened in 1962 by Sam Walton, after ten years, this store became a chain, and grew to 276 stores in eleven states. The first super center was opened in 1988. It has been growing non-stop. People addict to Wal-Mart. It is really difficult to live with out this giant chain. Consumers can find every type of products and services, and these products and services are cheaper than the other companies. When people become more addict to Wal-Mart, the families of Walton open one more Wal-Mart in our society. Now it has more than 4,300 stores in America and more than 8.000 in the world. It operates in 28 countries and under 60 different banners. These all numbers show that how Wal-Mart biggest company is. Although being the biggest retailer, Wal-Mart causes three major devastating effects on society, which are damage to employee, towns and national economies.

Employee Rights
The first effects that Wal-Mart has had on employee rights are very devastating. It pays less than comparable retailers. It is the biggest retailer in history, but it avoids from paying enough to employees. According to Noble, always being cheap mean is paying less money to your workers (as cited in Bianco, 2006). One way to reduce prices is reducing the salaries. If a company pay less money to its workers, that company can get power to reduce products’ or services’ prices. The documentary “The High Cost of Living” shows that in South Africa, employees’ of Wal-Mart get just 54 dollars a month, and it is not even enough to take care half of family (The High Cost of Living, 2005). Similarly, according to the High Cost of Living, girls, who come from the country sides are pushed to work 11 hours a day and just for fifty eight dollars (Greenwald, 2005). Its mean Wal-Mart hires the people, who don’t have power to quite job or ignore the wage. Furthermore, Wal-Mart wages to its workers far from enough to support a family effectively. According to Nytimes, Each year Wal-Mart pays...
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