Wal-Mart Denounces Health Bill

washington post ^ | 4-7-05 | Michael Barbaro

[TXBSAFH]

Wal-Mart Denounces Health Bill Retailer Says Maryland Could Lose Future Jobs

By Michael Barbaro Washington Post Staff Writer Thursday, April 7, 2005; Page E01

ROGERS, Ark., April 6 -- Wal-Mart Stores Inc. yesterday said approval of a bill that would require it to boost health care spending in Maryland could endanger its plans for growth in the state, including a new distribution center that would employ as many as 1,000.

The company questioned the motivation behind the bill, which is backed by a top competitor and its labor union.

Wal-Mart "will have to rethink its future growth in a state that is willing to pass such a bad business bill," said Nate Hurst, a government relations manager for the company. "This type of legislation, where lawmakers single out one employer, does not create a favorable environment."

[A. Pole]

It's like blaming povery on Walmart because their employees don't make enough to eat out every day of the week.

I would be very inerested in seeing the monthly budget you would have while working for Walmart at $8 per hour in Maryland. Let assume that you have wife working at Walmart and that you have two kids.

I am very curious how frugal and smart you could be. I am sure we might learn from you one thing or two.

[rllngrk33]

Walmart lays off 5001 employees, which will give them 9,999, and moves some of their operations over the border into neighboring states.

I think rather than laying off people, Walmart will outsource a lot of their jobs to contractors. Tires and oil changes to Jiffy Lube, electronics to Best Buy, Circuit City or Radio Shack, etc.

They already outsource their janitorial services, why not the cashiers and stock clerks.

[Steve_Seattle]

State governments - faced with their own budget problems - are increasingly passing laws forcing employers to carry out the states' health care mandates. Thus the legislators can tell people, "WE gave you these health benefits," when it is in fact business that is doing it. It's basically a hidden form of taxation, because the costs of all these health programs are passed on to the consumer. In washington, the legislature just passed a law ordering companies to provide various mental health benefits if they provide other medical benefits. Of course, they flat out lied and said this would have NO (not minimal, but NO) effect on premiums.

[Non-Sequitur]

Walmart does what it says it's going to do. It didn't hesitate a few months ago to shut down a store in Canada when its workers unionized.

Shut down a single store. It didn't pull out of Ontario completely or say it wasn't going to build any more stores ther.

[Laur]

*Yes, the taxpayers of Maryland have to pay for the Walmart worker's health care. That's us, boys and girls! Our Maryland taxes are going to finance the health care Walmart refuses to provide.*

The taxpayers or consumers pay for employee insurance or medical care, anyway -- it's just shifting where it's paid: usually at the checkout counter. But why should a business be IN the business of providing medical insurance in the first place?

[ClintonBeGone]

I am very curious how frugal and smart you could be. I am sure we might learn from you one thing or two.

I have no doubt it would be very difficult to make it on that salary - it that's what they actually pay. I'm not saying it could actually be done. However, it makes no sense to blame it on the employer. It's the minimum wage debate with lipstick. If the employer's primary job was to see that the employees bills get paid, why don't we have automatic deductions from the Walmart bank account for their employees child care, car payments and homeowners insurance. Can't forget the yearly vacation cruise.

[Capriole]

Where your logic fails when you associate one's employer with the responsibility for their healthcare. That same employee would have the same health care requirements regardless of where they worked, or even if they worked. It's like blaming povery on Walmart because their employees don't make enough to eat out every day of the week.

No, eating out every day is a luxury. But if people don't get health care they will suffer and die. People ARE going to get health care, one way or another. And considering the cost of modern health care, they cannot and will not pay for it themselves. If Walmart is not going to offer some kind of health care insurance, the burden will fall on the taxpayers of Maryland. Other big-box employers, like Home Depot and Lowe's, not only pay their employees more but offer health-care plans after just a few months of employment. Their employees do not burden the Maryland taxpayer. Why should Walmart be exempt?

Remember, no one is saying that Walmart has to pay directly, out-of-pocket, for employees' health-care. The state is only asking that Walmart make an arrangement with some insurance carrier and offer it to their employees, with the employer and employee each making a contribution to the plan's premium. They could offer an inexpensive HMO plan, like Kaiser Permanente.

[ClintonBeGone]

Shut down a single store. It didn't pull out of Ontario completely or say it wasn't going to build any more stores ther.

Because the union problem was contained at just one store. It would have made no sense to pull out of the entire province.

[A. Pole]

Medicare is a federal program which requires you be of a certain age (60 or 62) to participate. Medicaid is a federal/state program for poor people.

Thank you for correction. I meant Medicaid - I always confuse these two :)

[quack]

One way or another,you will pay for the healthcare costs.Either by paying taxes to the state or Wal-Mart(insert any business)will raise their prices to compensate for their employees health care.The business itself is not going to eat the costs any more than they would for shipping charges,unemployment comp,SSI,etc.,,It will be factored into the overall retail price of goods or services.

[ClintonBeGone]

Wal-mart is a sum sucking Chicom loving bottom feeder.

Then so are millions of your friend and neighbors, because we all shop there.

[ClintonBeGone]

Thank you for correction. I meant Medicaid - I always confuse these two :)

Remember, we CARE about old people. :) That's my trick.

[Steve_Seattle]

Someone making $8 an hour would probably take home around $7 an hour, giving them about $1,120 a month. Around here, a studio apartment will cost about $620-680 a month, say $650. If you want to own a car, which everyone in FR regards as almost a constitutional right, that would be a minimum of $200 a month for a beater, including gas, insurance, and pro-rated maintenance and purchase costs. So we're left with about $270 a month - $9 a day - for everything else: food, clothing, utilities not covered by the rent, medical, entertainment, housewares, furniture, etc. And this is just for a single person. It doesn't add up. If you had a couple of kids, you'd need a two bedroom apartment, which would be at least $950, leaving you $170 for everything else. No way.

[Bigh4u2]

Yes, they could do that.

But by laying off people, and reducing the tax base, it might make the Maryland legislature think twice.

[ClintonBeGone]

"The state is only asking that Walmart make an arrangement with some insurance carrier and offer it to their employees, with the employer and employee each making a contribution to the plan's premium."

Well, according to its website, Walmart does offer health benefits. Maybe I should reread the article, but where is the problem?

HEALTH BENEFITS
Our health plan covers most major medical expenses. The company contributes to the cost of health benefits and we offer affordable Associate plans. There is no limit for most health coverage. 60% of our Associates tell us they joined Wal-Mart because of our benefits. We also offer:


Dental Coverage
Company-Paid and/or Dependent & Optional Life Insurance
Business Travel Accident Insurance
Long- and Short-Term Disability
Illness Protection Plan

http://www.walmartstores.com/wmstore/wmstores/Maincareers.jsp?BV_SessionID=@@@@1243885771.1112883995@@@@&BV_EngineID=cccgaddeffghgekcfkfcfkjdgoodglh.0&pagetype=careers&template=Careers.jsp&categoryOID=-8247&catID=-8247&subCatOID=-8591&subtemplate=CareersContent.jsp

[ran15]

If Walmart pays so badly, why do the people choose to work there?

We're not talking about the soviet union, where people got assigned to jobs. The people are making the choice that what Walmart is offering is better then the alternatives.. Which is like in places like Europe which put these same restrictions on.. unemployment.

[dfwgator]

I much prefer Wallyworld pay for it then Hillary care.

The problem is inevitably the Wallywords are also going to demand HillaryCare to take healthcare costs off their hands.

[A. Pole]

One way or another,you will pay for the healthcare costs.

I used to be against the national health care system. But seeing the HUGE cost and mess associated with the medical care, crippling disadvantage it imposes on American businesses and MEAGER results when compared with the other developed countries I came to the conclusion that well designed (using the most successful in LONG TERM designs abroad as examples) is better and INEVITABLE.

In a few years we will have it, especially if the free trade/global integration is not reversed. USA will not be able to keep its present system in the emerging world without borders.

[ran15]

That is why poor people gotta do like poor people in the past have done. Live crammed together, not living the good life. While they take training for a job that is in demand.. Gotta have no car, no cable, no computer.. Which should allow them to better focus on higher training anyway.

Which there are many good paying jobs that are in demand.. think welders, plumbers, nurses etc..

If someone tries to make a career out of being a cashier at Walmart, and become a single mother.. well obviously they aren't going to live well. But whose fault is that?

[Balding_Eagle]

or state Medicaid picks up his tab.

You were kind enough to highlight the problem in your posting. Thanks. The State should not be involved in health care at all. They are a big part of the problem.