Wednesday, September 2, 2009

A Response to the CONCERNS REGARDING WAL-MART

A letter from John Bisio, Wal-Mart spokesman, forwarded to us by Worlee Glover:
I am very pleased to have this opportunity to supply the information requested by the list of distinguished ministers on the flyer entitled “Concerns Regarding Wal-Mart.”

Our quest for a store at 83rd & Stewart is not something developed because of the current economic climate, this has been ongoing for over five years. Wal-Mart provides significant cost savings to its customers, and that is why the residents of the 3 zip codes in the 21st Ward spend over $80 MILLION at Walmart stores outside the City of Chicago.

In 2004 when Wal-Mart received approval from the Chicago City Council to build a West Side store, we asked that Wal-Mart be judged by our actions and not our words. I believe we have fulfilled our pledge to Ald. Mitts and the community leaders by building and operating a true store of the community. In addition to providing over 400 jobs, supporting local businesses and community organizations and creating new tax revenues, the store has helped to stimulate an economic revitalization of North Austin that has created over 1,000 additional jobs with the opening of a Food4Less, Bank of America, Harris Bank, CVS, and Menard’s with more to come.

Wal-Mart creates an opportunity for a meaningful career. Anyone dedicated to working hard and willing to learning new skills is eligible for advancement – even though they may not have prior experience or any higher education. Over 75% of Illinois store managers began as hourly associates stocking shelves, pushing carts and cashiering! Walmart’s wages and benefits are very competitive and considered one of the best in the retail industry. The average hourly wage in Chicagoland is $12.00 and hour (does NOT include any management salaries). In addition:

• All associates are eligible for up to $1800 annually for bonus incentives – over $1 Billion in bonuses were awarded to HOURLY associates for 2008.
• All associates receive store merchandise discounts.
• 401(k) contributions – historically about 4% of salary. In 2008, nearly $800 Million was contributed to HOURLY associates’ 401(k) plans.
• In year 1, Walmart Associates earn up to 6 days of sick time and 2 personal days a year.

Over 92% of Walmart associates have health coverage with 50.2% through Wal-Mart’s plan. ALL full-time associates and their dependent children are eligible after 6 months of employment (some after 3 months) and part-time associates and their dependent children are eligible after one year. Wal-Mart associates can choose from more than 50 different health care plan options with premium costs as low as $7.41 per month for single coverage or $20.70 per month for family coverage. Wal-Mart health plans have NO annual or lifetime maximum coverage limits and all catastrophic injuries or illnesses are fully covered.

Unlike most of our retail competitors including those operating under collective bargaining agreements, a majority -- over 60% -- of Walmart’s store associates are full-time employees. As the largest employer in the US of seniors, it should be noted that many of our associates choose to work part-time.

Walmart’s dedication to diversity extends from our board of directors, to our associates; from our suppliers, to our customers; and to every aspect of our business. We have long maintained diversity initiatives, including personnel practices and supplier programs, to help build and retain a diverse workforce and supplier base along with varied community outreach programs. We have worked diligently for the past 5 years to identify and reach out to qualified minority-owned businesses in Chicago who want to sell their products in our stores. Walmart’s locally grown program is a cornerstone of our sustainability mission; and we have excellent working relationships with the Illinois Department of Agriculture and the University of Illinois’ Agriculture Extension Program to identify new local suppliers. We would welcome the opportunity to work with new Illinois African-American farmers.

It is true that the Walton Foundation, a private foundation of the Walton family and not a part of Wal-Mart, is very supportive of school vouchers as they are passionate that every child should have the same opportunity for quality education. That said, Wal-Mart Stores, Inc. and the Walmart Foundation have a long history of supporting education initiatives and in 2008 contributed more than $67 million to support local schools and universities, student scholarships, educational organizations and more.

Our associates have chosen not to have third party representation. In fact, workers at a Canadian store recently organized and when a mediator reviewed the wage and benefits package offered by Wal-Mart, the only wage increase recommended for the collective bargaining agreement was a small increase … to cover union dues so that the associates would not be penalized financially for the unionization of the store!

I encourage you to seek the answers to your questions from EVERY Chicago retailer AND the UFCW -- I believe that you will see for yourself that Wal-Mart wages and benefits compare very favorably to other retailers and collective bargaining agreements.

From our leadership role in sustainability and access to affordable prescription drugs; from raising tax revenues to boosting customer traffic at surrounding stores and creating new jobs, Wal-Mart takes every opportunity to be a good neighbor and to provide economic advancements in communities it serves. Please feel free to call me directly at (312) 943-1955 if I can provide any additional information. I would welcome the opportunity to meet you personally.

Sincerely,


B. John Bisio
cc: Chicago City Council
You can also find a printable copy of this letter here!

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