Wal-Mart

In: Business and Management

Submitted By workinggurl85
Words 295
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Wal-Mart is the world’s largest retailer. It is bigger than ExxonMobil, General Motors, and General Electric. It does more business in three months than its number two competitor Home Depot does in a year. Just to help you gauge how large Wal-Mart has become it does more business than Target, Sears, Kmart, J.C. Penney, Safeway, and Kroger combined. They provide many jobs within communities because there are 8500 stores in 15 countries under 55 different names. Wal-Mart’s goal is to provide low prices to its customers no matter what the cost, but behind the scenes how is it really to work for Wal-Mart? Wal-Mart has the highest employee turnover rate of industry, over 50% turnover rate the first year. That means approximately 50,000 employee’s turnover per month. Overall Wal-Mart’s business model doesn’t care about the high employee turnover because it’s not a bad thing to them since it lowers their payroll cost and means that fewer employees qualify for benefits. One out of 7 Wal-Mart employees has no health care coverage since associates must wait one year before qualifying for health care coverage. Also a leaked Wal-Mart memo shows that Wal-Mart employees spend 8% of income on health care which is twice the national average. Part of the high employee turnover rate contributes to the fact that most walmart associates earn below the poverty line. The average walmart employee working “full time” at 34 hrs a week and earning $10.11 per hour will earn $17,874.48 per year. The federal government defines poverty for a family of four in the contiguous US is less than $20,000 per year. Sometimes employees need more than this in order to support their…...

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