Wal-Mart began a commitment making a change in the consumer’s lives. As the family owned store grew into a large corporation to the delight of the stockholders and future beneficiaries. Unemployment rate falls, competition for retail worker rises, and stronger spending by consumers could affect increased wages. As Wal-Mart announces rising the pay from $8 to $10 by 2016, could be a PR move to precede the President Obama’s to increase the federal wage. If we challenge the world’s largest retailer to embrace a moral duty to the employees, these changes could help eliminate a portion of its unethical standards seen today. The first Wal-Mart store opened in 1962 in Rogers, Arkansas, dedicating to making a difference in the lives of their customers. Sam Walton’s visionary leadership, along with generations of associates focused on helping customers and communities save money. As a family owned store growing at an incredible growth, which became publicly traded company in 1970 as the first stock was sold at $16.50 per share. By 2014 Wal-Mart can be found in 27 countries. The economy has grown with the help of Wal-Mart employment opportunities. The employees were paid at a low wage that they needed public assistance to help survive. Wal-Mart grew into a large corporation which benefits the likes of the stockholders and as a family owned business benefits the future heirs of the company. The unemployment rate has fallen which is a sign of a decline in the labor market while Wal-Mart pledges to increase their lower paid workers. Competition for retail workers would be placing pressure on employers to increase the competitive market. Stronger spending supported by improved consumer confidence could have an effect from the increase wages. One of the changes we could see is the starting pay which will provide opportunities for raises based on performance. This means Wal-Mart would attract good, dependable workers. The economy will continue to boom which the stores needs to stay competitive. Consumer confidence would rise as the increasing wages would force total spending in the economy leading to a greater economic growth. If these modest wage increases catch on, they will make a tremendous difference in the lives of the workers, who can barely scrape by. According to Hyacinth Mascarenhas,
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Unfortunately, $10 an hour is not enough to raise many workers out of poverty, especially when there is no assurances that the employees will normally get the hours the employees need to maintain full-time status. Another issue is that Wal-Mart wages not only hurt its workers, it hurts our economy as well. However, a Forbes article has information that many states have increased their minimum wage to $10 an hour, because President Obama has stated he wants to raise the federal minimum wage from $7.25 to $10.10. It makes one wonder if Wal-Mart is just getting ahead of the state-mandated wage increase in order to make Wal-Mart to look good in the eyes of the consumer. According to an author, Robert Prowse; an article in the East Tennessean News, stated “Wal-Mart’s policy of discrimination had received the largest class action lawsuit in history, as Wal-Mart had been accused of discrimination against women, minorities and people with disabilities.” Low-wages are not good for any worker and women are especially hurt as they usually paid well under their male counterpart. Female workers are not provided real opportunities and are disproportionately placed in lower-paying
Unfortunately, $10 an hour is not enough to raise many workers out of poverty, especially when there is no assurances that the employees will normally get the hours the employees need to maintain full-time status. Another issue is that Wal-Mart wages not only hurt its workers, it hurts our economy as well. However, a Forbes article has information that many states have increased their minimum wage to $10 an hour, because President Obama has stated he wants to raise the federal minimum wage from $7.25 to $10.10. It makes one wonder if Wal-Mart is just getting ahead of the state-mandated wage increase in order to make Wal-Mart to look good in the eyes of the consumer. According to an author, Robert Prowse; an article in the East Tennessean News, stated “Wal-Mart’s policy of discrimination had received the largest class action lawsuit in history, as Wal-Mart had been accused of discrimination against women, minorities and people with disabilities.” Low-wages are not good for any worker and women are especially hurt as they usually paid well under their male counterpart. Female workers are not provided real opportunities and are disproportionately placed in lower-paying