Wal-mart draws ire even in poor parts of Brooklyn

Reuters ^ | 02/03/2011 | Bernd Debusmann Jr.

[katiedidit1]

(Reuters) - Wal-Mart's lengthy struggle to open in New York City has hit fresh problems -- a controversial report that said America's biggest discounter does not just sell cheap, it makes neighborhoods poorer.

The report concludes that Wal-Mart, the biggest U.S. private employer, kills jobs rather than creates them, drives down wages and is a tax burden because it does not give health and other benefits to many part-time employees, leaving a burden on Medicaid and other public programs.

The New York City Council will hold a public hearing on Thursday on the impact a Wal-Mart would have but the retailer has declined to attend.

Wal-Mart dismisses the critical report -- released in January by City University of New York's Hunter College Center for Community Planning -- as "randomly selected statements from ... flawed studies."

The report is based on 50 studies of Wal-Mart openings and comes as the company tries to gain a foothold in some of New York's poorest neighborhoods.

"The overwhelming weight of the independent research on the impact of Wal-Mart stores ... shows that Wal-Mart depresses area wages and labor benefits ... pushes out more retail jobs than it creates, and results in more retail vacancies," the report concluded.

[UCFRoadWarrior]

I wonder if the Free Trade Communists who praise Wal Mart so much....are ever going to admit that Wal Mart is one of the biggest supporters of ObamaCare and Socialized Medicine?

[driftdiver]

Just because its in Walmart doesn’t mean its cheaper. Many things are actually more expensive.

How many small businesses are unionized?

[Mayr Fortuna]

Woow... Heyaaaahhhh...

I do expect next a prohibition on NY to have New Yorkers...

Whooowwww...

[ColdOne]

The never ending war against the evil non-union Wal-mart.

[Dahoser]

Union thugs and Mom & Pop business’ are opposed and protesting...would be a loss to Brooklyn if Walmart does not open a store there..how dumb are New Yorkers?

This dumb:

[johniegrad]

how dumb are New Yorkers?

Is that a rhetorical question?

[UCFRoadWarrior]

The decline of America is roughly coincident with the as ascendancy of Walmart. And sealed with Starbucks

---

Only fools and idiots praise Wal Mart for creating 1.5 million low-pay service jobs....while their Free Trade Communism/Free Trade with Communist China agenda cost America 15 million manufacturing jobs?

Starbucks comitted corporate suicide by over-expanding...and charging 5 bucks for two cents worth of coffee

[bwc2221]

Sam Wall is dead and buried. The company is far from conservative and in recent years has contributed far more to Democrats and liberal causes than Republicans and conservative causes.

[driftdiver]

Many large businesses support Obamacare. Mostly because it reduces their costs for providing healthcare to employees.

[Jim Scott]

I find it ironic that Wal-Mart, a retail enterprise that is often a source of employment for the unskilled and that has grown and prospered for almost 50 years by offering basic necessities at low prices to a largely lower-income clientele is berated and harassed by the left, who always claim to be champions of the poor. Of course, to justify opposing Wal-Mart, the left has to downplay the union angle and pretend that not offering full benefits to it's (mostly) part-time workers is a virtual crime against the poor and of course, the usual argument, apparently 'supported' by 'studies' (forgive my cynicism here) that Wal-Mart 'drives out 'neighborhood stores' that either don't really exist due to crime and the poor economy or simply are not competitive and, like any business, cannot sustain their high prices when competition arrives in the form of Wal-Mart. Gee, I thought that the left would be glad to see residents in poor neighborhoods have an opportunity to purchase needed goods at a lower price than the 'local' stores offer them.

However, just as the left opposes school vouchers and would rather see poor kids in failing schools than oppose the powerful teachers unions, so they oppose Wal-Mart to appease the retail unions and too bad if the poor people they pretend to care so much about get hosed in the process. That they can even convince some of these same folks to come out in the cold and protest Wal-Mart speaks volumes about the utter corruption of the political left in America and the hopelessness for those they pretend to 'help' by denying them the opportunity for a better life via saving what little they have by being able to buy necessities at Wal-Mart or obtaining a much-needed job there - or both, in most cases.

[Rearden]

Sam Walton, his name was Walton I believe.

[NonValueAdded]

"The overwhelming weight of the independent research on the impact of Wal-Mart stores ... shows that Wal-Mart depresses area wages and labor benefits ... pushes out more retail jobs than it creates, and results in more retail vacancies," the report concluded.

I can see that as being true but only as far as it goes. Any study based on that alone would be woefully incomplete. WalMart might very well be displacing high paying high benefit union jobs. Furthermore, the economies of scale of a big box store would cause many smaller high-priced retailers out of business.

But what of the increased purchasing power of the community served? How much gets shaved off the average grocery and clothing bills? Where are those savings spent and how many jobs are created or saved as a result.

[driftdiver]

Walmart generally sells cheap crap. So that poor person MAY save a few cents on what they buy, but then they have to buy it again once it breaks.

Many of the items they sell are built to lower specs than the items the competitor is selling.

[RoadTest]

This is a “report” by - — - who? Anonymous?

Maybe the Egyptians targeting reporters are onto something.

[mewzilla]

how dumb are New Yorkers?

FYI, Upstate's mostly made up of red bits. We need our own state :)

[Graybeard58]

Article:

Planned Wal-Mart stores have long met opposition in places such as Chicago, where last year Wal-Mart secured approval to build two new stores after agreeing to use union labor.

scan59;

I don't believe this is true. With regard to the article, Walmart tends to benefit the poor directly with low prices.

Believe the part about union labor. W-M uses whatever labor is available to build new stores, often times that is union labor.

I know what I'm talking about, my wife is in W-M store planning and has hired union laborers on many new sites, not by choice but because that's what's available.

[MrEdd]

The tax burden part is a legitimate bust. They also strain the infrastructure more than they make up for. My theory is that when they have water or sewer problems it should be put on a list with the rest of the problems and fixed as it comes to the top of the list.

[MrPiper]

Walmart generally sells cheap crap. So that poor person MAY save a few cents on what they buy

WM may have a few problems, but please tell me the name of a big box store in the south where I can buy dry beans, beer, guns, bullets and underwear under the same roof!

If you buy cheap crap,, you have no one to complain about but yourself!

I love wally world.

[ViLaLuz]

” is a tax burden because it does not give health and other benefits to many part-time employees”

Yep. I don’t think very many places at all offers these benefits to their part time personnel.

[I still care]

It’s garbage, about driving people out.

In my area, a Walmart anchor store closed. Within two years the almost closed, because without the Walmart, the “little” stores lost way too much trade.