Summary Of Walmart Shut 5 Stores Over Labor Activism

The article titled “Walmart Shut 5 Stores Over Labor Activism” on CBS News describes how Walmart is raising suspicions after closing five stores in the same day for “plumbing” problems. According to the article by authored by Aimee Picchi, all five stores shutdown on the same day, all for the same reason and for the same estimated amount of time. The company estimated the temporary shutdown will extend up to six month and no prior notices were given to the employees, which raises a question about the credibility of the reason for the closure. There are several speculations on why Walmart decided to shut down these stores without providing advance notice to the employees and with all products still in the store. Some argue that there were many employees in these stores who were pro-union and the first to go on strike in 2012. According to Picchi, “Walmart has targeted this store because the associates have been among the most active associates around the country
9). This points to the fact the company is willing to lose stores instead of having employees that might influence others. The main reason that push Walmart to raise its minimum wage is the increasing pressure by labor activists who were rallying across the nations for the past 3 years. Additionally evidences show that most working families at Walmart rely on public aid to support themselves while the company shareholders are enjoying billions of dollar in profit every year. According to the financial facts released by Walmart Corporation, for the fiscal year ended January 31, 2015, Walmart net sales were 482.2 billion and the company was ranked first on fortune 500 list of the world’s largest companies by the amount of revenue. This also shows that Walmart can afford to pay its employees the livable wage of $15 an