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View Diary: Wal-Mart CAPS Wages. Media Swallows Cover Story. (9 comments)

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  •  It isn't just healthier employees but cheaper (0+ / 0-)

    It's always about cheaper at Wal-Mart.

    From Susan's memo:

    [M. Susan Chambers, Wal-Mart's executive vice president for benefits] wrote that "the cost of an associate with seven years of tenure is almost 55 percent more than the cost of an associate with one year of tenure, yet there is no difference in his or her productivity. Moreover, because we pay an associate more in salary and benefits as his or her tenure increases, we are pricing that associate out of the labor market, increasing the likelihood that he or she will stay with Wal-Mart."

       The memo noted that Wal-Mart workers "are getting sicker than the national population, particularly in obesity-related diseases," including diabetes and coronary artery disease. The memo said Wal-Mart workers tended to overuse emergency rooms and underuse prescriptions and doctor visits, perhaps from previous experience with Medicaid.

       The memo noted, "The least healthy, least productive associates are more satisfied with their benefits than other segments and are interested in longer careers with Wal-Mart."

    emphasis mine

    I completely disagree with the productivity of a long-time employee versus a new one who has no clue.

    However, Wal-Mart has all kinds of tricks it uses to keep an employee from becoming eligible for benefits (not just health care). It starts with classifying the employee as a temp who receives nothing including tenure. Then to a part-time employee who has to wait two years for the chance to enroll, to waiting for open enrollment, to not allowing the employee to change their health plan but once a year, and more.

    The health plans they offer too are more likely the cause of Wal-Mart employees using the emergency room in higher percentages (rather than medicaid as blamed by Susan) as the main health benefits offered are more catastrophic than health oriented. What Wal-Mart won't do to throw the responsibility on anyone else is fathomless and apparently includes tossing their very own employees under the bus Wal-Mart is driving (that alone is a good reason to avoid them).

    Wal-Mart is all about facades and not even pretty ones.

    "Talk is cheap. Listening is priceless." -- Me (I think)

    by CSI Bentonville on Tue Aug 08, 2006 at 02:40:37 PM PDT

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