Preview

Wal-Mart: But We Do Give Them A 10 Percent Employee

Powerful Essays
Open Document
Open Document
1510 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Wal-Mart: But We Do Give Them A 10 Percent Employee
Case Study: Wal-Mart

June 12, 2012



This case study is based upon the case article by Peter A. Stanwick and Sarah D. Stanwick titled; 'Wal-Mart: But We Do Give Them a 10 Percent Employee Discount ', in which addresses the ethical issues facing Wal-Mart. According to Stanwick and Stanwick (2009, p. 409), the culture "has created a number of twenty-first-century problems for Wal-Mart."

Summary

The authors ' viewpoint is that of the Wal-Mart employees are not all treated equally according to proper business ethics. Examples of labor law violations and consequent lawsuits were provided for the six areas in violation of the law that Wal-Mart was found guilty for repeatedly committing. The author 's are suggesting Wal-Mart believes that by giving a 10% employee discount is sufficient for the employees. It is also suggested that rather than treating every employee fairly and equally, it is more cost effective to address any lawsuits on an individual basis.

Problems Specified in the Case

This case study addresses the ethical issues facing Wal-Mart; off-the-clock-work, sexual discrimination, health benefits, the role of unions, the use of undocumented
…show more content…
413). Wal-Mart used unethical tactics for lowering operational cost, such as making new employees wait before enrolling in the health benefits plan for up to six months. Additionally, there was no health benefits program for those who retired from the company, (p. 413). For those employees who could not afford higher premiums, their deductible was up to three times the deductible amount, (p. 413). Wal-Mart rejected the idea that these methods were to lower costs. Wal-Mart did recommend to save on health benefits by reducing the level of contribution in the employees 401(k) retirement programs, and "hire more part-time employees and try to discourage unhealthy people from applying," (Stanwick & Stanwick, 2009, p.

You May Also Find These Documents Helpful

  • Good Essays

    In “Up Against Wal-Mart” by Karen Olsson, she finds the truth about how Wal-Mart treats its customers and more importantly how the million dollar company treats its employees. In this essay, Olsson strongly believes that Wal-Mart keeps its stores understaffed and their employees overworked and underpaid, with minimal options for reasonable benefits.…

    • 603 Words
    • 3 Pages
    Good Essays
  • Better Essays

    As an organization goes global, there is a new set of social and ethical issues that arise. In this instance, the organization, Wal-Mart, is considered the giant of retail and one of the largest companies in the world. It has grown as a staple in America as well as on an international platform, touching base in countries such as Japan and China. Wal-Mart is the largest retailer and the largest company in the history of the world in the way it conducts business operations. Wal-Mart management has implemented ways to overcome the challenges that present the ethical and social responsibilities with regard…

    • 1060 Words
    • 5 Pages
    Better Essays
  • Better Essays

    In opposition to this argument, Mallaby claims that critics of Wal-Mart are oblivious if they think Wal-Mart is the worst corporation when it comes to the way that employees are treated. He believes that it depends on what other corporations Wal-Mart is compared to and gives an example of this stating that “Wal-Mart opened a store in Glendale, Arizona, last year, it received 8,000applications for 525 jobs,” suggesting that not all people think that Wal-Mart mistreats its employees and that their benefits or wages do seem appealing to many (Mallaby 621). Though Mallaby does not discuss unions, Olsson targets this topic and mentions that Wal-Mart quickly rids of unions in order to keep opposition away. Commenting on the unions at Wal-Mart, Olsson says, “To protect the bottom line Wal-Mart is as aggressive at fighting off unions as it is at cutting costs” (Olsson 615). Wal-Mart has a main goal of fighting costs to make them lower than their competitors; therefore, fighting off unions is of utmost importance to Wal-Mart. Wal-Mart does not want any opposition and does not want to lose to its competitors. Expanding the issue of working conditions to international relations, Mallaby shows how Wal-Mart: The High Cost of Low Price, the new anti-Wal-Mart movie circulating among activist groups, exploits the mistreatment of the Chinese workers that work for Wal-Mart.…

    • 1246 Words
    • 5 Pages
    Better Essays
  • Better Essays

    Each and every organization that exist have or should have a code of ethics in which they follow. The ethics of an organization governs how they will reply to both an internal and external stimulus. Walmart is one of the largest organizations in the world, that’s why it was chosen for this essay. Furthermore, they deal with lots of external social pressures that influence their ethics. They have had more than their fair share of lawsuits because they was sued 4,851 times in the year 2000 alone Willing, R. (2001, August 13). Lawsuits a volume business at Wal-Mart. USA Today. Whenever an issue arises they always fall back on their code of ethics to figure out the best possible solution. These issues are relevant to organizational and personal decisions and it will be explained how later in this paper. The relationship between legal and ethical issues will also be covered.…

    • 836 Words
    • 3 Pages
    Better Essays
  • Good Essays

    When you hear the words low prices it is hard not to think of Wal-Mart. The company that revolutionized discount shopping. But what happens behind the scenes? How is it that the world’s largest retail chain can offer so many deals? In the last 20 years the anti-Walmart campaign seems to continuously be on the minds of many. Sebastian Mallaby and Karen Olsson share radically different views on the ethics of the Wal-Mart Corporation. In “Up Against Wal-Mart” we are forced to believe that Wal mart is a vicious company that shows no remorse when firing employees and cutting their benefits. The author produces factual information and eyewitness accounts pointing to these horrible deeds that the large corporation run by money hungry businessmen have cheated many employees out of proper wages, proper benefits and even their jobs. While Sebastian Mallaby depicts Wal-Mart like the average American company. In his article “Progressive Wal-Mart. Really.” He states that while Wal-Mart is responsible for many questionable deeds, they are merely doing what they have to in order to survive.…

    • 1238 Words
    • 4 Pages
    Good Essays
  • Good Essays

    The essays “Up Against Wal-Mart” by Karen Olsson and “Progressive Wal-Mart. Really” by Sebastian Mallaby portray Wal-Mart to two completely different lights. Olsson shames Wal-Mart for its poor health benefits, the meager pay Wal-Mart employees receive, and the managers who purposely fail to schedule enough workers. Mallaby, on the other hand, commends Wal-Mart on how much money the franchise saves customers.…

    • 722 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Up against Wal-Mart

    • 1555 Words
    • 7 Pages

    Karen Olsson believes that Wal-Mart, the world’s largest retailer company, under pays their employees for the amount of work they do daily. They do not offer good working conditions for their employees or enough medical benefits to support themselves and their families. Sebastian Mallaby says that Wal-Mart is not wrong for the way that they run their business; he feels as though Wal-Mart does their consumers a favor by keeping the wages low and offering “low prices” (620). It’s just business! They have to do what it takes to remain the world’s top retailer and continue to, “enrich shareholders, and put rivals out of business” (620). Karen Olsson and Sebastian Mallaby both address the topic of big business in today’s economy, but I find Karen Olsson’s argument to be the most persuasive because she has more information and quotes to support her opinion and views of the way that Wal-Mart treats their workers, while Sebastian Mallaby’s article is quite the opposite. Their opinions are very different but they share common interests which are: Wal-Mart, their customers, and their workers.…

    • 1555 Words
    • 7 Pages
    Better Essays
  • Good Essays

    In “Why Wal-Mart is good” Steve Maich makes a number of statements supporting Walmart and its expansion, while Liza Featherstone disagrees with “Down and Out in Discount America” and supports her own statements citing Walmart’s various evils. The authors primary disagree not only over the various values that are key to the Walmart debates, but also of important factual information.…

    • 679 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Labouring the Walmart Way

    • 326 Words
    • 2 Pages

    2 One of the most frequent complaints about Walmart, which employs 1.4 million people worldwide, is its failure to pay workers a living wage. Store employees are paid 20-30 percent less than the industry average, making many of them eligible for social assistance. It is estimated that American taxpayers fork out $2.5 billion a year in welfare payments to Walmart employees (Head, 2004). Because the retailer hires hard-to-place workers, like recent immigrants, seniors, and single mothers, its employees are often afraid they will not find work elsewhere. The kind of work Walmart does offer is gruelling: stores are intentionally understaffed-the strategy behind the company's legendary productivity gains-so that existing employees will work harder (Head, 2004). It is alleged that systemic discrimination against women within the corporation has denied the majority of Walmart workers the chance at promotion, a charge that is now the subject of the largest civil-rights suit in U.S.…

    • 326 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Walmart policies prohibit personal relationships with other employees and includes an alcohol and drug free work place. Discrimination and harassment prevention for employees in the work place as well as guidelines for wage and hour employees to be compensated for all hours worked.…

    • 680 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Walmart Impact On Society

    • 1218 Words
    • 5 Pages

    As the largest retailer in America, Walmart has been called “one of the most impactful organizations in the history of humanity” (Roberts 1); however, we must ask ourselves what type of impact Walmart is making. Because they are such a large corporation, Walmart has the power and ability to greatly influence our society either for the good or for the bad, and most people agree that their impression on our current society is a negative one. There is lots of controversy over the ethical and economic repercussions our country faces because of Walmart. It is evident to most people that Walmart negatively impacts communities, treats employees unfairly, and facilitates child labor in American and abroad.…

    • 1218 Words
    • 5 Pages
    Good Essays
  • Good Essays

    Wal-Mart is the largest retailer in the world, employing over 2 million people in 10,800 stores, with over $469 billion dollars in sales last year alone (Hess, 2013). The “Big Box” company always seems to be in the spotlight, good or bad, most anyone you talk to has an opinion. Wal-Mart has sparked many controversial topics such as below poverty level wages, the bullying of small businesses, effects on the environment and unaffordable health care, to name a few. However, since their inception, one thing is for sure; Wal-Mart is a money making machine.…

    • 880 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Low Wage Work in America

    • 1031 Words
    • 5 Pages

    As well known to all Americans Wal-Mart pays low wages. They often hire people for 30 hours a week rather than 40 hours a week and provide minimal health care benefits. For the past few years, issues concerning the company have become important as well and have begun dominating the news. In particular, Wal-Mart treatment of its employees has raised many issues in public and business discussions. Wal-Mart refers to its employees as associates a term intended to bestow a more lofty status than the term employees. Many different employee-related issues with respect to Wal-Mart have been the focus of much news coverage, the company has been accused of hiring too man part-time workers; offering jobs that are actually dead-end jobs; paying low wages and poor benefits; forcing workers to work off the clock, that is to work overtime without overtime pay; and taking advantage of illegal immigrants. There are also issues with regards to gender discrimination against women, who occupy most jobs at the company. Coupled with these allegations of employee mistreatment, the company which currently is not unionised has fought unions and unionization everywhere it locates.…

    • 1031 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    Walmart is the largest well known American market leader in the renewable energy sector. But the company has faced a lot of challenges from various parties who criticized them in various contexts. History shows the corporation mistreatment of their employees, suppliers and for its environmental impacts. When a person steps into Walmart the first thing they encounter is an employee greeting them. Look around and that individual will find that the shelves are always stocked and there is an employee in almost every department maintaining a clean area. Although the store may be a little unorganized and crowded at times, the person will still make their way to the department that has the low priced goods. The way that the departments are laid out, anybody can sometimes be enticed to purchase items that are not on their list. People look for a cashier that does not have many customers, and people wait in line. Some may wait for five minutes, others many wait for twenty. Once that individual have finished paying and walk towards the same people that greeted them prior to their shopping, they leave the premises, that person does not think for a second about the exploitation and the unethical business practices involved in this multi-billion dollar corporation. That rise of an Americanize consumer culture has also generated familiar tensions around labor, inequality and workplace rights.…

    • 1897 Words
    • 5 Pages
    Powerful Essays
  • Satisfactory Essays

    Ethical Issues In Walmart

    • 452 Words
    • 2 Pages

    The ethics statement of Wal-Mart is functioning as a lead and source for ethical decision making. Along with this, it supplies with a secret and unidentified reporting system. It used to lead a long-lasting ethics education and…

    • 452 Words
    • 2 Pages
    Satisfactory Essays

Related Topics