Walmart Model Negatively Affects Workers in Retail and Beyond

There is growing evidence of the connections among Walmart’s low prices, low wages, and job losses – in retail and beyond. Walmart is the largest private sector employer in the world, so its actions have wide-reaching effects across industries. This article outlines the impact of Walmart’s model for US workers, as does this Demos study. The pattern is similar in other countries. For example, Canada lost 30 000 jobs in July, with large decreases in both retail and manufacturing. As other large, low-wage retailers move into Canada, things will not improve, unless changes are made.  And there are a number of alternative avenues available. As but one example, my colleague at MIT, Zeynep Ton, makes a strong argument about what companies should do, and how treating workers better actually helps the bottom line. Walmart workers and their allies are also playing a leading role in promoting change. Ongoing job losses, poverty wages, and poor conditions cannot be defended – economically or ethically.

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