Why Wal-Mart Sucks, Pt. 1

Here's a pretty good list to start:

1. Environmental Damage

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

* "$3.1 Million Penalty Is Largest for Storm Water Violations at Construction Sites"
* "The Department of Justice and the U.S. Environmental Protection Agency, along with the U.S. Attorney's Office for the District of Delaware and the states of Utah and Tennessee, today announced a Clean Water Act settlement for storm water violations at Wal-Mart store construction sites across the country...In addition to paying a $3.1 million civil penalty to the United States, Tennessee and Utah, Wal-Mart has agreed to spend $250,000 on an environmental project that will help protect sensitive wetlands or waterways in one of the affected states, which are California, Colorado, Delaware, Michigan, New Jersey, South Dakota, Tennessee, Texas and Utah."
* Source: Press Release, U.S. Environmental Protection Agency/Department of Justice, May 12, 2004.

2. Buying American

WAL-MART Imported $18 BILLION from CHINA in 2004

• "The world's largest retailer, Wal-Mart Stores Inc, says its inventory of stock produced in China is expected to hit US$18 billion this year [2004], keeping the annual growth rate of over 20 per cent consistent over two years."
• Source: Jiang Jingjing, "Wal-Mart's China Inventory To Hit US $18B This Year," China Daily, November 29, 2004.

3. Executive Pay

Lee Scott earnings for 2005: $27,207,799

• Data computed from Wal-Mart Stores 2005 Proxy Statement; includes long-term incentives awarded in 2005 and contemporary value of stock options.

4. Average Worker Pay

Average WAL-MART Hourly Sales Employee Earnings: $13,861

• "On average, Wal-Mart sales clerks -- "associates" in company parlance -- pulled in $8.23 an hour, or $13,861 a year, in 2001, according to documents filed in a lawsuit pending against the company."
• Source: Anthony Bianco and Wendy Zellner, "Is Wal-Mart Too Powerful?" Business Week, October 6, 2003. Primary source information on 2001 wage data is from the testimony of Dr. Richard Drogin, in Dukes v. WM.

5. Poverty level

Federal Poverty Level Family of Four - $17,650

• Source: U.S. Department of Health and Human Services, 2001 Federal Poverty Guidelines

6. Walton Family Wealth. What have they done besides being Sam's kids?

HELEN WALTON: $18.0 BILLION
ALICE WALTON: 18.0 BILLION
JOHN WALTON: 18.2 BILLION
ROB WALTON: $18.3 BILLION
JIM WALTON: $18.3 BILLION

• Source: David Armstrong and Peter Newcomb, ed., "The 400 Richest Americans,", Forbes, September 24, 2004.

7. Walton Family Charitable Contributions

The WALTON FAMILY Has Given LESS THAN 1% of Their Wealth to Charity
Bill Gates has given 58%

• Source: Business Week, "The 50 Most Generous Philanthropists" [PDF file], November 29, 2004.

8. Walton Family Political Contributions (so they can avoid those pesky estate taxes) Wouldn't want any future Waltons actually have to make something of themselves, would we?

The WALTON FAMILY Made $3.2 MILLION in Political Contributions 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. That's more than double what it spent in the previous two elections combined, public documents show...a USA TODAY review of public documents reveals a small-town Arkansas family emerging as a political juggernaut on tax issues, extending Wal-Mart's influence over U.S. society even more."
• Source: Jim Hopkins, "Wal-Mart Family Lobbies For Tax Cuts," USA Today, April 5, 2005.

Why Wal-Mart Sucks, Pt. 1