Fly on the Wal: Undercover at Walmart

[BryanP]

Interesting read.  A bit over the top with "ra ra, aren't they great", but still, a good read. 

[cassandra and sara's daddy]

Sure, now.  4 months later it'll take you 15 minutes to travel that last mile.  I've seen it happen.

you trying to say it'll bring that much development in 4 months?  our economy could use it

[41magsnub]

I don't have a problem with Wallmart.  They provide a lot of jobs to folks that IMHO are pretty much otherwise unemployable due to not having marketable skills.

I personally dislike shopping there as my faith in humanity is somewhat shaken each time by a large number of the shoppers.

[Manedwolf]

I personally dislike shopping there as my faith in humanity is somewhat shaken each time by a large number of the shoppers.

Yes.

For goodness sake, I don't care how little money you have, especially if you're covered in bling, you can make your towed-along assemblage of kids look better than third-world refugees with filthy faces.

[Marnoot]

Happens at least once a week, but you gotta do what you gotta do.

[makattak]

I have no problems with Walmart.

In fact, as an economist, I love Walmart: the force of competition unleashed.

However, this is the most salient part of the article:

I found myself reaching an inescapable conclusion. Low wages are not a Wal-Mart problem. They are an industry-wide problem, afflicting all unskilled entry-level jobs, and the reason should be obvious.

In our free-enterprise system, employees are valued largely in terms of what they can do. This is why teenagers fresh out of high school often go to vocational training institutes to become auto mechanics or electricians. They understand a basic principle that seems to elude social commentators, politicians and union organizers. If you want better pay, you need to learn skills that are in demand.

The blunt tools of legislation or union power can force a corporation to pay higher wages, but if employees don't create an equal amount of additional value, there's no net gain. All other factors remaining equal, the store will have to charge higher prices for its merchandise, and its competitive position will suffer.

This is Economics 101, but no one wants to believe it, because it tells us that a legislative or unionized quick-fix is not going to work in the long term. If you want people to be wealthier, they have to create additional wealth.

To my mind, the real scandal is not that a large corporation doesn't pay people more. The scandal is that so many people have so little economic value. Despite (or because of) a free public school system, millions of teenagers enter the work force without marketable skills. So why would anyone expect them to be well paid?

Some people need to be beaten over the head with this until they understand it.

[Scout26]

I have no problems with Walmart.

In fact, as an economist, I love Walmart: the force of competition unleashed.

However, this is the most salient part of the article:

I found myself reaching an inescapable conclusion. Low wages are not a Wal-Mart problem. They are an industry-wide problem, afflicting all unskilled entry-level jobs, and the reason should be obvious.

In our free-enterprise system, employees are valued largely in terms of what they can do. This is why teenagers fresh out of high school often go to vocational training institutes to become auto mechanics or electricians. They understand a basic principle that seems to elude social commentators, politicians and union organizers. If you want better pay, you need to learn skills that are in demand.

The blunt tools of legislation or union power can force a corporation to pay higher wages, but if employees don't create an equal amount of additional value, there's no net gain. All other factors remaining equal, the store will have to charge higher prices for its merchandise, and its competitive position will suffer.

This is Economics 101, but no one wants to believe it, because it tells us that a legislative or unionized quick-fix is not going to work in the long term. If you want people to be wealthier, they have to create additional wealth.

To my mind, the real scandal is not that a large corporation doesn't pay people more. The scandal is that so many people have so little economic value. Despite (or because of) a free public school system.

Some people need to be beaten over the head with this until they understand it.

Perxactly, you won't make Wall St. CEO wages if you drop out of hih skrwel.   

[Racehorse]

Also, Target is still way better at opening enough cashier lines than Wal-Mart. I'm not sure what it is about the company, but they just aren't very good especially at express lines. Costco vs. Sam's Club is the exact same. In one, you're only in line briefly even if they look long, in the other, it feels like you're standing there for hours.

I think the issue here is mainly one of training. The cashiers at Walmart are not trained very well. Sometimes I have to tell them how to work their registers. They just don't know what they're doing. At Target and Costco, the lines are usually just as long or longer, in my experience, but the cashiers at least know enough to ring up a sale without having to call a manager, so the lines move a lot faster. At Walmart any variation from the norm, even an unfamiliar vegetable, can result in a 5-10 minute wait.

Maybe turnover is higher at Walmart, which exacerbates the training issue. I don't know. But there's definitely a difference.

That said, I still go to Walmart, primarily because it's cheaper and it's closer to my house. I can deal with the annoyances if it saves me some money.

[coppertales]

Walmart is like any other store to me.  I go there for specific items that I know are a little cheaper.  I probably would shop there more if they would fix their checkout problem.  It seems the checkers in the express lanes cannot count as there are usually full carts checking out there.  In their defense, most of the idiots with the full carts are, most likely, illegals, who can't read english so they don't know any better.  There is a Walmart in the town I am going to retire to so I may get a job as a greeter or something.  I can't sit on the porch drinking martinis every day.....chris3

[41magsnub]

Walmart is like any other store to me.  I go there for specific items that I know are a little cheaper.  I probably would shop there more if they would fix their checkout problem.  It seems the checkers in the express lanes cannot count as there are usually full carts checking out there.  In their defense, most of the idiots with the full carts are, most likely, illegals, who can't read english so they don't know any better.  There is a Walmart in the town I am going to retire to so I may get a job as a greeter or something.  I can't sit on the porch drinking martinis every day.....chris3

Coppertales future picture:

Warning...  mildly NSFW or lunch
http://forums.macrumors.com/showthread.php?t=103917

[Gewehr98]

WalMart provides a service few others can, at prices few others can.

YMMV, of course, but the cashiers and sales associates at my local Wally World are courteous and professional.  They run the gamut from kids out of high school to retirees like myself.

I shop there frequently, and am under no illusions that what I'm buying didn't come from China.

Fact is, the computers that folks like to bash Chinese goods on via forums like APS have a plethora of Chinese parts inside.

It would do good to remember that the next time you go, "China?  Icky-poo!"  It makes you look, well...

In the meantime, Walmart's stock is climbing, while nearly everything else, save for McDonald's, is dropping as the economy tanks.

I'm not too sure about this, either:

Perxactly, you won't make Wall St. CEO wages if you drop out of hih skrwel.   

I'd wager there aren't going to be as many exorbitant Wall St. CEO wages and golden parachutes now that the cat is out of the bag. 

[makattak]

In the meantime, Walmart's stock is climbing, while nearly everything else, save for McDonald's, is dropping as the economy tanks.

Are there two more quintessentially modern American companies than Wal-Mart and McDonald's?

Perhaps the other companies should look at their business model: give the people what they want but, most importantly, give it to them cheap. (This was Rockefeller's model as well.)

Also note- I dislike most McDonald's food, but I recognize its value. No matter where I go, I know I can go to a McDonald's and get some safe sustenance. They also recognize market trends and react (see McDonald's response to the "gourmet coffee" trend).

Add to it that McDonald's is different when you go to other nations: they change to satisfy the demand there (a McDonald's in Japan would be familiar to Americans, but still have many different attributes- not to mention many different foods).

[Werewolf]

Walmart! You just plain can't argue with SUCCESS!
Walmart is the 800Lb gorrila that most retailers can only dream about becoming. It is the largest revenue generating retailer in the world with revenues that exceed 2/3 of the national GDP's on the planet.

That said:

Walmart! The land of temptation and evil!

My wife cannot go there without spending twice what she planned. I used to get on her about that until I went one day with plans to just pickup an air conditioning filter. Walked out of there having spent $180 on this that and the other thing.

Evil!
EEEVILLLLL! I say! 

[Uncle Bubba]

Add to it that McDonald's is different when you go to other nations: they change to satisfy the demand there...

When I was sent to West Germany to labor for Uncle's Army in '81 it was a good but strange feeling to be able to go into the McDonald's in Bamberg and get a burger and a beer. Definitely different for this country boy, whose home county'd been dry until his senior year of high school.

[Balog]

You might try re3ading the article before concluding it's nothing but hyperbole.

I read the article, and it had some good points. But it's obviously a highly biased and inaccurate portrayal. I felt the same way towards it as I do to articles claiming all military personnel are glorious heroes. Doesn't mean I hate vets, but we're just people like anyone else; some good, some bad. Saying "Walmart employees are all super friendly and competent and cheerful" is foolish because you're making a huge generalization about a LOT of people.

[roo_ster]

...Saying "Walmart employees are all super friendly and competent and cheerful" is foolish because you're making a huge generalization about a LOT of people.

Well, if he said that, you would be correct in your conclusion.  Thing is, he wrote something a bit different:

During my few subsequent days as a Walmartian, everyone at every level was friendly and decent toward me.

That dependent clause at the beginning of the sentence modifies the clause at the end.

[Gewehr98]

I haven't done McDonald's in over 15 years, after a particularly nasty bout of food poisoning that would probably make Jack in the Box diners envious.

Doesn't mean they're not successful, just that I have no desire to eat there anymore.

As for varying menu items at different regional McDonald's franchises, I discovered quite by accident that the McDonald's in Songtan, Korea puts a fried egg on their Big Macs. 

[Headless Thompson Gunner]

I read the article, and it had some good points. But it's obviously a highly biased and inaccurate portrayal. I felt the same way towards it as I do to articles claiming all military personnel are glorious heroes. Doesn't mean I hate vets, but we're just people like anyone else; some good, some bad. Saying "Walmart employees are all super friendly and competent and cheerful" is foolish because you're making a huge generalization about a LOT of people.

Then perhaps I misread the article.  To me it sounded like he was describing his experience with Walmart, and the specif people and policies and events he saw at that particular store.  He makes inferences about what he saw and what it might mean.

His writing style is a bit lacking, but it's an interesting and informative read nonetheless.

[Don't care]

.

[makattak]

Wal-Mart has it's strengths, as well as it's flaws.

It's cost control, vendor, inventory, and distribution capabilities, are second to none.

However, a number of instances of corporate malfeasance have been legitimately documented and reported in respectable media sources.
Lawful, but unethical matters of closing stores that the employees chose to unionize, obtaining products from sweat shops overseas, or change locations to avoid paying local property taxes, after tax abatements expire, is bad enough; but clearly unlawful matters of wage and position discrimination cases based upon gender, unpaid employee hours for work performed under the guise of saving overtime, stores changing locations to avoid paying local property taxes, clearly show that the corruption is not isolated and in most cases, directed from corporate executive management.

Profit is king at Wal-Mart. If it's not careful, legislation under this country's current mood to penalize irresponsible corporate entities, will worsen the problem for not only the corporation and employees, but the consumer as well.

Wow, nearly your entire list of infractions has to do with wise choices AVOIDING taxes...

Soooo... a good business is the one that looks for as many taxes as it can pay?

I suppose that's "patriotic"?

[Headless Thompson Gunner]

Lawful, but unethical matters of closing stores that the employees chose to unionize, obtaining products from sweat shops overseas, or change locations to avoid paying local property taxes, after tax abatements expire, is bad enough; but clearly unlawful matters of wage and position discrimination cases based upon gender, unpaid employee hours for work performed under the guise of saving overtime, stores changing locations to avoid paying local property taxes, clearly show that the corruption is not isolated and in most cases, directed from corporate executive management.

I'm not sure how unethical a lot of that is.  Discrimination and withholding earned wages ain't cool, but stuff like trying to avoid unions or taxes sounds reasonable and prudent to me.  I want the companies I invest in to do that kind of thing.  I want the stores I shop in to keep their costs down and sell me the goods I want cheaper.

And what's so gawdawful about profit?  I like profit, personally.  I have a certain respect for others that know how to achieve it reliably and consistently.

[Manedwolf]

Also note- I dislike most McDonald's food, but I recognize its value. No matter where I go, I know I can go to a McDonald's and get some safe sustenance.

Heh. Check your local health department reports. You might be a bit surprised.

I think the worst violation to date was the McDonalds at the Field Museum in Chicago. The fail report included employees changing the expiration dates on milk, and "raw sewage in the food preparation area".

[Stetson]

Amish are mighty thin on the ground in DFW.

Not germaine to the topic but the farmers market downtown is best for fresh fruits and vegetables.  Will be exploring butchter shops this next weekend.

[makattak]

Heh. Check your local health department reports. You might be a bit surprised.

I think the worst violation to date was the McDonalds at the Field Museum in Chicago. The fail report included employees changing the expiration dates on milk, and "raw sewage in the food preparation area".

Alright, perhaps I should have said: I know I have a better chance of safe food than some other random restuarant. I'm aware there are always exceptions. Even to the preceeding statement.

[cassandra and sara's daddy]

raw sewage in food areas means a backed up sink