Archive for category corporate america

Why why why why why?

So, the major problem with American Democracy is that it is representative: we elect people who we feel will represent our views within the legislative body upon which they sit – we do not participate in our democracy directly — we are not always privy to the actual truth. Majority rules, and so depending on where you are and who won your local elections, this means you may not be represented at all.  If your guy lost, then basically, you’re voice remains silent as your elected representative fulfills the needs of most of the people, which could be as little as one percentage point over half, in your district/county/state.

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The reason this is a major problem, it seems pretty clear to me now, is that the majority of Americans are at worst stupid, and at best simply irresponsible, ignorant, gullible, stubborn, and set in their ways.  What always amazes me is the fact that people actually vote against what’s in their own best interest: fiscally, the Republican Party only benefits around 5% of the population.

With Universal Health Care we meet a similar problem.  Many of the people who’s lives would be improved by it, are being lied to and misinformed.  Take this guy, for instance, who if you can believe it, is actually a Senator, Chuck Grassley of Iowa.  He doesn’t even come close to answering the question he’s been asked, and then he lies, repeatedly, to those who he is supposed to be representing:

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Come on Chuck.  LETS BE TRUTHFUL!!

So here are the Top 5 lies about some of our health care options, and the one truth standing in its way:

LIES:

1. Single Payer Health Care is the same thing Socialized Medicine: NOT TRUE

Socialized Medicine doesn’t actually exist, but if it did, it would still be different than Single Payer System.  Under “socialized medicine” the doctors work for the government directly.  Single Payer simply means there is a single fund or insurance company which is making payments aka “centralized payment”:

Single-payer health insurance is a term used in the United States to describe the legislated insurance of individuals by way of centralized payment of doctors, hospitals, and other health care providers and facilities…. The administrator of the fund could be the government but it could also be a publicly owned agency regulated by law

2. Socialized Medicine leads to Socialism: NOT TRUE

We currently have socialized the following industries, and I’m pretty sure most every American, red-blooded or blue, would like to keep it this way: The Police Department, The Fire Department, The United States Postal Service, The Public Education System, The Public Library, and Neighborhood Parks and Recreational Services.

Imagine the outrage if we decided to privatize fire services, and unless you had insurance, your local department, no matter how close or how able, would simply let your house burn down.  And we don’t talk about a government run Fire Department - it has not communalized our way of life, nor taken control of our personal liberties.  It is simply something no American could imagine living without, which is exactly how they feel about health care in the countries where it is free.

3. Universal Health Care would be more expensive than our current system: NOT TRUE

Turns out, we spend more right now, both individually and as a nation, than we would in a government funded option.

A 2003 study examined costs and outputs in the U.S and other industrialized countries and broadly concluded that the U.S spends so much because its health care system is more costly. It noted that “…the United States spent considerably more on health care than any other country…[yet] most measures of aggregate utilization such as physician visits per capita and hospital days per capita were below the OECD median. Since spending is a product of both the goods and services used and their prices, this implies that much higher prices are paid in the United States than in other countries.

Perhaps it has something to do with the $71 Billion that Pfizer raked in last year, or the $61 Billion Johnson & Johnson made on pharmaceutical products alone.

4. Health Care in countries with a Universal System suffers in quality as a result: NOT TRUE

Not only is health care in the United States more expensive than it is in any other “first world” country, it turns out, its also not as good.  I have this argument all the time: “Oh but we have by far the best health care in the world…” or “I’d rather be in a hospital in America than anywhere else….”  Funny.  The World Health Organization disagrees with you.  As do over half of the citizens of Western Europe.

See here.  Or here.  Or here.  Or here.

5. The government wants to create “Death Panels” in order to kill your elderly grandmother or your disabled child: JUST SO NOT TRUE

While a “death panel” more or less already exists, its called an insurance company, this particular piece of nonsense actually stems from a bill, written by a Republican member of Congress mind you, which requested that, part of health care reform would include end of life counseling for those approaching death.  The horrors!

A couple months ago I had the opportunity to see New York Times contributor Jane Brody speak on her newest book, Jane Brody’s Guide to the Great Beyond: A Practical Primer to Help You and Your Loved Ones Prepare Medically, Legally, and Emotionally for the End of Life. As someone who, throughout her entire career has focused on living well and prolonging a healthy life, I can truly say Jane Brody is not the kind of person who would kill your grandma.  She is, however, knowledgeable enough on the subject of death, that I trust her when she says the following: receive End of Life counseling, have a living will and a health care proxy, if you are in a situation where death is a possibility, acknowledge that!

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So if your little old grandma is sitting at home alone, listening to conservative talk radio, clutching her shotgun and trembling in fear for her life, please just bring her a newspaper.  If she can’t see the tiny print, read it out loud to her! Because right now, the people she’s supposed to be able to trust, well they’re lying and it ain’t helping granny out one little bit.

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Weekend Update

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A lot of people responded to the article I wrote a few months ago, Authority to Kill a Minority.  Well I noticed this article recently and I wanted to update you all on the situation of the murder of Oscar Grant, by BART officer,  Johannes Mehserle.

An Alameda County Superior Court judge has ruled there is enough evidence to have former BART police Officer Johannes Mehserle stand trial on a murder charge for fatally shooting Oscar Grant III.

Cell phone video shows Mehserle, 27, shot 22-year-old Grant once in the back as he lay face down on the platform of the Fruitvale BART station early on New Year’s Day. Police had been called to the station to respond to reports of a fight  on a train.

The judge said in his ruling, “Grant and the others may have been loud, uncooperative and argumentative, but these young men did nothing to warrant the use of deadly force.”

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Another update comes to us from Laos, where Samantha Orobator was awaiting trial for smuggling drugs into the country.  After pleading guilty, Samantha was spared the death penalty, and instead convicted to life in prison.  The United Kingdom and Laos, aided by Sweden, are in talks for a prisoner exchange, so that Samantha may be permitted to carry out her sentence in her home.

Samantha Orobator, 20, from South London, admitted attempting to carry 680g (24oz) of heroin on to a flight from Laos to Thailand last August. Campaigners are pressing for her to be returned to serve her sentence in a British jail before the birth of her child, expected in September. But the one-day trial, in Vientiane, the Laotian capital, has not clarified the most puzzling question about the case: how did the Nigerian-born Orobator become pregnant in the notorious Phanthong prison?

The conception may have saved her life. Like other South-East Asian countries, Laos takes an unforgiving attitude to the drug trade and in most cases heroin smugglers face death by firing squad for amounts of more than 500g. Under Laotian law, however, a pregnant woman cannot be executed.

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Texas, Taxes, and Teabagging

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Hasn’t anyone else noticed that the words “Texas” and “Taxes” are practically identical?  It’s as if they were made for each other.  And yet the Lone Star State has always had a strained relationship with the federal government over the levies imposed upon them.  In fact, Texas is so opposed to taxes they are one of only six states that have completely eliminated the state income tax.  So if you live and work in Texas you are already forking over 5-15% less of your income than the average American.  This fact has made the state a haven for businesses and corporations, most notably Fortune 500 companies, of which Texas is base for 58, and the 33 billionaires who make their home there.  If Texas were an independent nation, it would rank as the fifteenth largest economy in the world. In other words, when it comes to the economy, Texans ain’t doin so bad.

Or so they would like us to believe.  In actuality, Texas is suffering, and has been for a long time.  Of the top ten counties in the US with people living below the poverty line, Texas is home to three of them (Starr County, TX for instance has a rate of 47.4%).  The dark red areas of the map below mark counties in which 15.6% - 47.4% of the population lives below the poverty line.  tx_poverty_8

The geographical inequalities on the map are so noticeable its embarrassing.  And yet, despite their already small tax burden, and the obvious need for state-wide services, not to mention the past eight years when we’ve spent our way into a deficit thanks to a native son, Texans went out in the dozens on April 15th to protest something, I’m not sure what.  What ensued was a major blunder by the Texas Governor, Rick Perry, (apparently being a moron is a job requirement), during which he openly discussed seceding from the Union: “We’ve got a great union. There’s absolutely no reason to dissolve it. But if Washington continues to thumb their nose at the American people, you know, who knows what might come out of that.” Idiot.

I think David Axelrod said it best:

“The thing that bewilders me is that this president just cut taxes for 95 percent of the American people”

While they may like to think it, most Texans are not in the top 5 percent.

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Good Locke, Bad Locke, Who Knows?

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There is an old Chinese story, sometimes attributed to Lao Tzu that came to mind this morning as I read about Obama’s third pick for Commerce Secretary, former two-term Governor of Washington, Gary Locke.

There once lived an old farmer who had a weak, ailing horse for plowing his field. One day, the sickly horse ran away to the hills. The farmer’s neighbors offered their sympathy to him: “Such rotten luck!” they exclaimed.

“Bad luck? Good luck? Who knows?” mused the farmer.

A week later, the old horse returned, bringing with it a herd of wild horses from the hills. This time, the neighbors swarmed around the farmer and congratulated him on his good luck. His reply however was the same: “Good luck? Bad luck? Who can tell?”

Sometime later, while trying to tame one of the wild horses, the farmer’s only son fell off its back and broke his leg. Everyone thought this was bad luck. “Bad luck? Good luck? I don’t know,” said the farmer.

A few weeks later, the king’s army marched into the village and conscripted every able-bodied young man living there. The farmer’ s son, who was laid up with a broken leg was let off, for he was thought to be of no use to them.

Now what was this? Good luck or bad luck? Who can tell?

Obama has gotten a lot of flack over his two failed previous Commerce Secretary picks, and in some circles at least, it has brought his once elevated persona down a few notches.  While he’s still pretty popular, his immaculate image has certainly been tainted by the repeated failure in picking the appropriate person for the position. But Locke just may be the perfect man (oxymoron, I know) for the job, the kind worth waiting for if you know what I mean. So in my preferred Top Five format,  let me tell you why:

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1. One word: China. Seeing as we now owe China a couple trillion dollars (literally), its nice to have someone in the Presidential Cabinet who has a “cache” of experience dealing with the mega nation.  Seeing as one of the Commerce Secretary’s main functions is to advocate US business and promote trade with foreign nations, Locke seems like a good choice, considering China is the second largest economy in the world and Gary is a 2nd generation Chinese American who has executive experience trading with the country, as the former governor of a Pacific coast state.  I doubt Bill Richardson or Judd Gregg have these qualifications.

2. He’s moderate; a free-trade Democrat, he has experienced criticism from his own party for his conservative fiscal approach to Washington’s budget problems in 2001: “Democrats criticized Locke for embracing the Republican Party’s no-new-taxes approach to dealing with Washington’s budget woes during and after the 2001 economic turmoil.”  And while he’s not a deep-red republican, he is an addition to what has been called Obama’s Team of Rivals, as he was an early and prominent supporter of Hilary Clinton’s presidential campaign.

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3. He’s literally an Eagle Scout. Locke is about as squeaky clean as they come and will most likely face little to no problems being confirmed as Commerce Secretary.  While the previous two choices brought strong political capital to Obama’s Cabinet (Bill Richardson with the large and growing Hispanic population of the South West; Judd Gregg as an additional Republican member to Obama’s ‘bipartisan’ cabinet), Locke instead represents, what Obama himself describes as, “a tireless advocate for our economic competitiveness and an influential ambassador for American industry who will help us do everything we can, especially now, to promote our industry around the world.”

450gary_locke194. He’s got a great personal story; a bio that fits in perfectly with Obama’s image of change and hope.  Here is his story in his own words:

“100 years ago my grandfather came from China as a teenager and worked for a family as a houseboy in exchange for English lessons, just one mile away from the Governor’s Mansion.  It took our family 100 years to move that one mile; a journey possible only in America.”

Like Obama, he worked hard and helped put himself through school:

He graduated with honors from Seattle’s Franklin High School in 1968. Locke achieved Eagle Scout and received the Distinguished Eagle Scout Award from the Boy Scouts of America. Through a combination of part-time jobs, financial aid and scholarships, Locke attended Yale University, earning a bachelor’s degree in political science in 1972. He then earned a law degree from the Boston University School of Law in 1975.

5. He’s young, fresh, and most importantly, different from what we’ve had in the past.  He fits in well with the current administration (hot wife, cute kids), and did I mention, he speaks Cantonese?  Of the three choices we’ve had, he is by far the best for the position.  Good luck, bad luck… Who knows?locke_family

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My Stadium Can Beat Up Your Stadium

Whats your favorite sports team?  The Panthers?  The Flyers?  The Yanks?  Chances are, you own a little piece of their stadium, whomever your team and assuming you pay your taxes (ie. you are not one of Obama’s Cabinet members).  As a tax paying American you own a large portion of the financial institutions, approximately $150 billion of the banks alone (whether you like it or not) and as a shareholder, you own whatever investments the banks decide to make with your money… again… as if you’re not already giving all your money to your bank.  So for instance: 

Citigroup Inc., targeted by lawmakers for paying $400 million to put its name on the New York Mets’ new ballpark, is among eight banks that may face questioning by Congress for stadium sponsorships.  The banks received a total of $153.4 billion from the $700 billion government bailout of financial firms and are spending a combined $845 million for naming rights.

The new Citi Field is replacing the old Shea Stadium, which was in better shape than the majority of American infrastructure; meanwhile, Citibank has cut 53,000 jobs in the past year.  And they are not alone in their hypocrisy.  Also involved in their own stadium deals are: Bank of America ($140 millions for Carolina Panthers Stadium),  JP Morgan Chase ($66 million for Chase Field in Phoenix), Wells Fargo, PNC, Bank of New York, etc. 

The advertising and promotional deals include insurance power AIG, which will receive 150 billion dollars in the federal bailout while spending 125 million dollars for its logo to appear on Manchester United football uniforms.  ”They should put ‘US Treasury’ on the front of their uniforms,” said Steve Ellis, a member of US watchdog group Taxpayers for Common Sense.

Ohio Democratic Congressman Dennis Kucinich is the only person in Washington whom I’ve heard discuss this so far, but he certainly has a lot to say, and as Chairman of the Subcommittee on Domestic Policy, he has at least somewhat of a right to say it and an audience to say it to:

Stop this aggressive advertising.  We own you essentially and we don’t want you advertising, we want you to use the money to keep employees… how many people can you employ for $400 million

So while the government, essentially, has paid for approximately nine stadiums to bear the names of banks (under the Republican Bank Bailout TARP), it cannot decide on whether or not to invest in jobs and schools and health care and bridges and roads and green industry for our future generations.  And I mean, COME ON, when was the last time you even noticed what stupid corporation your stadium was named after?  Obviously bankers don’t go to football games, or else they might not bother advertising at all.  

 

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Obama v. Limbaugh, Best Week Ever: 2/1-2/6

Miss Andy C.P., the Juliette Lewis to my Melissa Etheridge, has been begging me to “fill her in” on the newest members of the Cabinet, and while I remind her, ever so gently, she could just read the paper, its true that I have been slacking.  So here is my very own Top 5 list (bite me VH1) of this week’s sassiest political moves, featuring four cabinet positions, three senators, two governors, and one very tricky president.


1. Eric Holder confirmed as Attorney General. Despite efforts by a handful of republican senators against Holder, he is voted in with an overwhelming majority, 75-21, and makes history as the first African American to hold this Cabinet post.  Good for Obama, good for the Cabinet, good for the Country; bad for Rush Limbaugh.

Barack Obama: 1; Rush Limbaugh: 0

2. Former Senator Tom Daschle withdraws his nomination for Secretary of Health and Human Services after it is revealed he, until very recently, owed over $100,000.00 in back taxes.  With two decades of service to the nation and a large contingency of allies in the Senate, of which he was once the Minority Leader for several years not too long ago, it is likely Daschle would have been confirmed despite the tax troubles.  His decision to remove himself based on a tarnished image puts more focus on Obama, who apparently did not vet his nominees as well as we were led to believe.  It comes as a major blow to the administration.  Bad for Obama, bad for the Cabinet, bad for sick people around the Country; good for Limbaugh!

Barack Obama: 1; Rush Limbaugh; 1

3. Nancy Killefer withdraws from consideration to be the federal government’s chief performance officer, based on her own taxation confusion.  The new position was designed by the President to ensure that federal agencies were performing at an acceptable level (ahem ahem THE F***ING DMV for instance), and Killefer was chosen for her ability to stay on top of things.  Great pick.  Anyway….bad for Obama, bad for performance, bad for business; excellent for Limbaugh.

Barack Obama: 1; Rush Limbaugh: 2

4. Obama nominates Republican Senator as Commerce Secretary. Now don’t ask me what Commerce Secretary is, cause I haven’t looked it up yet, and there’s no obvious answer (I would imagine he fits somewhere in between the Secretary of Treasury, State, and Homeland Security).  Obama’s first failed cabinet nomination way back in January (New Mexico Governor Bill Richardson who himself withdrew for personal reasons relating to money) left the Commerce post open until his late game bi-partisan move this past Tuesday when he nominated Republican New Hampshire Senator Judd Gregg, who’s name sounds like a drain cleaner.  While New Hampshire’s governor, John Lynch, is a Democrat, he has agreed to Gregg’s request that if he accept the position his seat be filled by a fellow GOP member.  Obama proves his promise of bi-partisanship is real, and though he may not get the 60 seats he was going for, New Hampshire is a pretty Libertarian place, and I’m sure Mr. Lynch will appease both sides with his centrist appointment.  Good for Obama, good for bipartisanship, good move in the right direction for our world; inherrantly bad for Limbaugh.

Barack Obama: 2; Rush Limbaugh: 2

5. Michael Phelps gets caught smoking pot.

I’m not sure who gets a point for this…

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CEOs Gone Wild

I dont even know what to say, so I’m just going to post the article:

Another major American industry is asking for assistance as the global financial crisis continues: Hustler publisher Larry Flynt and Girls Gone Wild CEO Joe Francis said Wednesday they will request that Congress allocate $5 billion for a bailout of the adult entertainment industry.

“The take here is that everyone and their mother want to be bailed out from the banks to the big three,” said Owen Moogan, spokesman for Larry Flynt. “The porn industry has been hurt by the downturn like everyone else and they are going to ask for the $5 billion. Is it the most serious thing in the world? Is it going to make the lives of Americans better if it happens? It is not for them to determine.”

Francis said in a statement that “the US government should actively support the adult industry’s survival and growth, just as it feels the need to support any other industry cherished by the American people.”

“We should be delivering [the request] by the end of today to our congressmen and [Secretary of the Treasury Henry] Paulson asking for this $5 billion dollar bailout,” he told CNN Wednesday.

Flynt and Francis concede the industry itself is in no financial danger — DVD sales have slipped over the past year, but Web traffic has continued to grow.

But the industry leaders said the issue is a nation in need. “People are too depressed to be sexually active,” Flynt said in the statement. “This is very unhealthy as a nation. Americans can do without cars and such but they cannot do without sex.

“With all this economic misery and people losing all that money, sex is the farthest thing from their mind. It’s time for congress to rejuvenate the sexual appetite of America. The only way they can do this is by supporting the adult industry and doing it quickly.”

So far, there has been no congressional reaction to the request.

–CNN’s Chloe Melas contributed to this report

Thank God

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Wal-Mart LOSES, Hurrah!

I got a lot of responses, both positive and critical, to last week’s Wal-Mart article and when I saw this today I knew I had to share it with you guys:

After a five-year battle between company and union, Weyburn, Sask., is now home to the only unionized Wal-Mart in Western Canada.

The retail store in southeast Saskatchewan has been officially certified, according to a 71-page decision from the Saskatchewan Labour Relations Board that was released Monday.

The company, though it plans to fight the decision, has been ordered to begin negotiating a contract with the United Food and Commercial Workers union.

While this is happy news, in all likelihood the store will be closed by next quarter:

Wal-Mart has had two other stores become unionized in Canada, both in Quebec. Shortly after becoming unionized Wal-Mart closed the stores stating they were no longer profitable, which turned out to be a total lie

But its really more about the movement. Hurrah Saskatchewan. I salute you.

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When the Boat Gets a’Rockin’

Barack Obama is no longer the young man with the boyish good looks that [50.3% of] America fell in love with two years ago.  Like so many presidents before him, but more prematurely than most, the stresses of the job have already begun to show, most noticeably in his hair, and he has developed a more refined, presidential look as a result.  While he’s still a cutie, I think the significance of this is more than aesthetic, as it represents the end of the beginning.

The “honeymoon” President-elect Obama has been enjoying since his November 4th victory is in danger of ending.  Despite a recent wave of popular centrist appointments, his love affair with America may be in some danger, as three major crises overshadow his halo.

For starters, there’s Blagojevich (which is pronounced BLA-goy-VICHE).  Remember six months ago when New Yorkers found out their governor was spending tens of thousand of dollars on a “high class” call girl?  Two days later Eliot Spitzer had resigned, packed up his family, and driven off into anonymity. Then there was Governor Jim McGreevey of New Jersey.  He took it upon himself to bow out  of duty in 2004, when it was revealed the man he had appointed his homeland security advisor was also his Israeli lover.  Jim, you and I have similar taste it seems.  Although whenever I think of Israeli men I just think of Eric Bana in Munich… wait, am I getting off topic?  The point is, considering Rod Blagojevich has been caught red-handed in the midst of a scandal of much larger proportions, he should, at the very least, resign.

Then there’s the failure of the Senate to pass an Auto Industry Bailout.  If anyone was paying attention to the election, they might have noticed the area that really won it for Obama was the Mid-West - ok, and Florida… and Virginia… and those big square states out west - but it was most potent in the area referred to as the Rust Belt.  What was once a flourishing region, the manufacturing center of the country, has over time been neglected and become impoverished, and in 2008, looked to Barack Obama to improve their quality of life.  If the Auto Industry fails, however, this is the part of the country that will be hit the hardest, and though at the moment he’s not a senator, not yet a president, it is Obama’s administration that will be affected by the job loss if GM goes down.  In this area alone over one million jobs will disappear.

Finally we have the ugly fact of terrorism, an issue that was not the strongest for Obama in the election, violently reemerging onto the international stage with the recent activity in Mumbai.  This is not a topic I am incredibly strong on myself (Obama and I have that in common in fact!) so I don’t want to delve too much into the how and why, but obviously, and just like Biden warned us, Obama has been faced with an additional crisis.

And people are always asking me: “Why don’t you go into politics?” Ha! This is why… well, this and a few things that happened in college:

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10 Things I Hate About Wal-Mart

As you have probably read or heard or talked about, a Long Island based Wal-Mart employee was killed this past weekend, on Black Friday, by a mob of frantic holiday shoppers.  While this incident probably has as much to do with the desperation of an economically depressed crowd, who stampeded 34 year old Jdimytai Damour to death, it is also a pretty good illustration of why and how Wal-Mart is the worst place in the entire world: people are literally willing to kill each other for discount prices.

So here’s my top ten countdown of reasons why I would rather live without a single material item than promote the evil that is Wal-Mart (most, by the way, can be found in the awesome documentary, Wal-Mart: High Cost of Low Prices):

1. Wal-Mart = most dangerous place to shop

If you think this is the first time someone has been killed in a Wal-Mart, think again.  In fact, Wal-Mart is notorious for the high rate of crime that occurs in its parking lots all across America.

For years, public reports have chronicled the terrible problem of crimes at Wal-Mart stores. Horrific reports of rape, murder, kidnappings, robbery and assault at Wal-Mart stores. For many police officials, the issue of crimes at Wal-Mart stores has been “overwhelming”

In the first seven months of 2005, nearly 100 violent crimes were reported, many of which could have been avoided by the addition of a security guard, extra lighting, or better surveillance systems.  Here are two more great facts:

  • National estimates indicate that almost 1 million criminal/police incidents occurred at Wal-Mart stores in 2004 – or 2 criminal/police incidents per minute in 2004;
  • Wal-Mart could implement roving security patrols at all stores nation-wide at an estimated cost of 4 cents a customer visit.

What makes these crazy pills even harder to swallow is the fact that while Wal-Mart is basically absent when it comes to security outside of their stores, inside, there is not a single area that is not under carefully monitored watch.  This has prevented any type of organizing by employees from taking place,  which brings me to point 2…

2. Working Conditions for Wal-Mart “Associates” are HORRENDOUS

In 2006, Wal-Mart was paying their nearly 2 million full-time hourly Associates an average of $10.11/hour.  At 34 hours per week, with overtime strongly discouraged by the company, the typical Wal-Mart employee was bringing in around $18,000/year.  In addition, with a 75% turnover rate within the first year, they have very few veteran employees who have acquired pay raises over their time with the company.

Wal-Mart employees earn 20% less than what the average retail worker earns, and over $10,000 less than what the average two-person family needs to make its most basic needs

Meanwhile, in 2008 Wal-Mart stood as the world’s largest retailer and brought in $378 billion in sales.  The Walton’s, worth about $23 billion each, have a combined wealth of around $100 billion, or $100,000,000,000.00 and topped the 400 richest Americans list at numbers 4-7.  These figures make them by far the wealthiest family in the US and second in the world.

Yet for some reason, they insist on underpaying their employees, creating unnecessary and expensive legal troubles.  There are so many law-suits against Wal-Mart, listing them all here would take hours, but here are a few examples from the great site, Wal-Mart Watch:

Wal-Mart Violated Worker Rights More than 2 Million Times, Minnesota Judge Rules Wal-Mart violated the law more than 2 million times over a six-year period by denying workers time for breaks and forcing them to work “off the clock” for no pay, a Minnesota judge has ruled. Dakota County District Judge Robert King ordered the company to pay $6.5 million in back pay. In addition, Wal-Mart faces fines as high as $2 billion for the wage-and-hour violations.

Family Leave Laws. Wal-Mart has received numerous fines for violating the Family and Medical Leave Act in locations all over the country — firing workers while on federally protected medical leave. In 2005, Wal-Mart was fined $188,000 by the California Fair Employment and Housing Commission for violating California state law by failing to reinstate a woman after she completed her maternity leave.

Off-the-Clock Work. In 2000, Wal-Mart paid $50 million to settle a lawsuit that involved 69,000 workers in Colorado who had allegedly been forced to work off the clock. In 2002, a federal grand jury in Oregon found Wal-Mart employees were forced to work off the clock and awarded back pay to 83 workers. In December 2005, Wal-Mart was ordered to pay $172 million to 116,000 current and former California workers for violating a 2001 state law that requires employers to give 30-minute, unpaid lunch breaks to employees who work at least six hours. In the United States, Wal-Mart has 53 class action lawsuits over wage and hour violations

Despite - or more likely because of - the numerous legal infractions commited by Wal-Mart, they have completely prevented their Associates from forming any type of union, and have closed entire stores instead of allowing their employees to organize.

3. More employees of Wal-Mart are under federal assistance programs than any other company

Because of the ridiculously low wages and the suprisingly (well, really?) high cost of Wal-Mart’s health care package, they actually encourage their workers to seek public assistance as opposed to covering their children, for instance:

A memo written by Susan Chambers, Wal-Mart Executive Vice President for Benefits, for the Wal-Mart Board of Directors, said: “We also have a significant number of Associates and their children who receive health insurance through public-assistance programs. Five percent of our Associates are on Medicaid compared to an average for national employers of 4 percent. Twenty-seven percent of Associates’ children are on such programs, compared to a national average of 22 percent. In total, 46 percent of Associates’ children are either on Medicaid or are uninsured. Wal-Mart’s critics an easily exploit some aspects of our benefits offering to make their case; in other words, our critics are correct in some of their observations. Specifically, our coverage is expensive for low-income families, and Wal-Mart has a significant percentage of associates and their children on public assistance.” [Susan Chambers Memo to the Wal-Mart Board of Directors; New York Times, 10/26/05]

Costco, in comparison, insures over 80% of their employees and pays nearly $17.00/hour, yet is able to provide the kind of low prices for which Wal-Mart is famous.  The difference?  Lee Scott, Wal-Mart’s CEO brought in $5.3 million last year not including stock options, incentives, bonuses, etc.; Costco’s CEO Jim Sinegal received $350,000.

Wal-Mart, therefore, costs American tax-payers nearly $1,557,000,000,00 annually.  In California alone, the public assistance used by Wal-Mart employees cost $86 million in 2004.

4. Wal-Mart consistently discriminates against minority groups

Wage disputes are not the only law suits Wal-Mart is currently facing.  On top of the fact that they underpay, under-insure, and under-protect their workers, they also openly discriminate when it comes to climbing the proverbial ladder: Edith Arana, an African American woman Associate, was famously told by a manager, “There’s no place for people like you in management.” The best known of these cases is Dukes vs. Wal-Mart, which seeks damages of $11 billion dollars and represents over 1.6 million women who have at some point since 1998 worked for the corporate giant.

Additionally, Wal-Mart is one of a few national retailers that does not provide health care benefits to same-sex domestic partners.  They were recently given a low score of 40 by the Human Rights Campaign, who discouraged their readers from shopping at Wal-Mart until fairer standards were reached.

And who can forget when Wal-Mart attempted to sue their former employee, Debbie Shank, for the $420,000.00 her family collected after she suffered severe brain damage from a traffic collision.

Two years after the accident, Shank and her husband, Jim, were awarded about $1 million in a lawsuit against the trucking company involved in the crash. After legal fees were paid, $417,000 was placed in a trust to pay for Debbie Shank’s long-term care.

Wal-Mart had paid out about $470,000 for Shank’s medical expenses and later sued for the same amount. However, the court ruled it can only recoup what is left in the family’s trust.

The Shanks didn’t notice in the fine print of Wal-Mart’s health plan policy that the company has the right to recoup medical expenses if an employee collects damages in a lawsuit.

5. Wal-Mart destroys local businesses, and in turn, entire communites

Because of their “daily low prices,” which we now know come at the cost of the workers, shoppers, tax-payers, as well as the companies which manufacture the goods and inventors who sell their patents, Wal-Mart has a tradition of destroying the local economies of small-town America.  The low priced goods force competitors to either drop their own prices or try to compete based on other criteria, such as customer service and quality products.  Here are some stats:

  • A study of small and rural towns in Iowa showed lost sales for local businesses ranging from -17.2% in small towns to -61.4% in rural areas, amounting to a total dollar loss of $2.46 BILLION over a 13-year period.
  • In Iowa, retail businesses in several categories experienced a decline of up to 59% over a 13-year period.
  • In Mississippi, local food stores in counties hosting a Wal-Mart supercenter lost sales of up to 17 percent over 5 years
  • For every gain in sales by a Supercenter, there are corresponding losses in sales for local and/or family businesses
  • In Maine, Wal-Mart captured an average $7.8 million from local/family businesses in their host towns during the first year of operation.

6. Imports Products/Exports Jobs:

In 2004, Wal-Mart imported $18 billion worth of goods, making it the countries 8th largest trading partner, ranking it ahead of Russia and Canada.  By constantly requiring manufacturers to drop their wholesale prices, Wal-Mart is actually encouraging the out-sourcing of jobs

China is a godsend for companies like Wal-Mart because low Chinese production costs let it widen profit margins. Wal-Mart can’t really widen profit margins by raising its own prices very much, but it can widen profit margins by lowering costs, and going to China is a great solution for lowering the costs…

7. Uses Sweat Shops, Prison Labor, and Child Workers

…which means the people making the goods in Wal-Mart are for the most part working in sweatshop conditions.

“There have also been reports of teenagers in Bangladesh working in sweatshops 80 hours per week at $0.14 per hour, for Wal-Mart supplier Beximco. In 1994, Guatemalan, Wendy Diaz reported that she had been working for Wal-Mart at $0.30 per hour at age 13.”

It does not take outsourcing, however, for Wal-Mart to violate child labor laws:

  • An internal Wal-Mart audit found “extensive violations of child-labor laws and state regulations requiring time for breaks and meals.
  • One week of time records from 25,000 employees in July 2000 found 1,371 instances of minors working too late, during school hours, or for too many hours in a day. There were 60,767 missed breaks and 15,705 lost meal times.
  • Wal-Mart agreed to pay $135,540 to settle child labor violation charges in January 2005 for allegedly breaking child labor laws in 24 incidents.
  • Wal-Mart has also been fined $205,650 for 1,436 violations of child labor laws in Maine for the period 1995 to 1998. The settlement represents the largest number of citations as well as the largest fine ever issued by the Maine Department of Labor for child labor violations.

8. Loves destroying the Earth:

  • 1999: All new WAL-MART construction halted in state of PENNSYLVANIA due to Environmental Violations
  • 2001: EPA orders WAL-MART to pay $1.0 MILLION fine for Clean Water Violations in: TEXAS, OKLAHOMA AND MASSACHUSETTS
  • 2004: WAL-MART fined $3.1 MILLION by EPA, the largest ever for a retailer, for Clean Water Act violations in TEXAS, COLORADO, CALIFORNIA, DELAWARE, MICHIGAN, SOUTH DAKOTA, NEW JERSEY, TENNESSEE and UTAH
  • 2005: Connecticut EPA orders WAL-MART to pay $1.15 MILLION for Clean Water Act violations in 22 stores

9. Censors its products

Under what they call Product Selection, Wal-Mart dictates what its customers can and cannot buy, and it usually conforms to the standards of, say, the Christian Right.

For example, in 2003, Wal-Mart removed certain men’s magazines from their shelves, such as Maxim, FHM, and Stuff, citing customer complaints regarding their racy content. Later that year, they decided to partly obscure the covers of Redbook, Cosmopolitan, and Marie Claire on store shelves due to “customer concerns” and refused to stock an issue of Sports Illustrated’s swimsuit special because it took exception to one photograph.

Since 1991, Wal-Mart also has not carried music albums marked with the Recording Industry Association of America’s (RIAA’s) Parental Advisory Label (contradictory to the allowance of R-rated movies and video games rated Mature), although they carry edited versions of such albums, with obscenities removed or overdubbed with less offensive lyrics…

In 1999, Wal-Mart announced that it would not stock emergency contraception pills in its pharmacies, not citing any particular reasons except for a “business decision” that was made earlier.The move was criticized by family planning advocates, citing that women in small towns where Wal-Mart pharmacies had little competition would have greater difficulties in obtaining the drug.

Yet despite their obvious attention to detail, Wal-Mart decided to continue selling the notoriously anti-Semetic text, The Protocols of the Elders of Zion, until 2004.

10. Gives practically nothing back to the community, yet donates millions to conservative politicians

And finally, according to Business Week, the Waltons have given less than 1% of their wealth to charity; Bill Gates has given 58%.  In 2005, Wal-Mart employees gave over $5 million to The Critical Need Fund for Associates, set up to help fellow workers in times of crisis, like a hurricane.  The Walton Family gave $6,000.

Meanwhile, in 2004, “led by Sam Walton’s only daughter, Alice, the family spent $3.2 million on lobbying, conservative causes and candidates for last year’s federal elections.”

So next time you go to Wal-Mart to save, just remember what its actually costing….

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