Wal-Mart is the world’s second largest public corporation; the biggest private employer in the world with over two million employees; and is the largest retailer in the world (Fortune Global 500 list in 2013). It is also one of the world’s most valuable companies.
In 2013, Wal-Mart Stores, Inc. realized $469 Billion in total revenue, delivering a staggering $16.9 Billion in net income/profit.
Here’s how Charles M. Holley, Jr., Executive Vice President and Chief Financial Officer of Wal‑Mart Stores, Inc., spins it in Walmart’s 2013 Financial Report:
“Walmart’s commitment to leverage expenses (to reduce operating expenses as a percentage of sales) is the foundation of driving the productivity loop. With the savings from lowering costs, we are able to invest in price, drive greater traffic to our stores and our e-commerce sites, grow sales and deliver strong financial results.”
“These productivity gains are made possible by the innovative ideas and the hard work of our 2.2 million associates worldwide. Their collective efforts in tightly managing costs result in lower prices for our customers, strong profitability and greater value for our shareholders.”
So while Wal-Mart makes approximately $1,929,223.74 in profit per hour, they are content to pay their 2.2 million innovative and hard-working employees at or below poverty wages and won’t provide them with enough work hours to support their families or qualify for benefits. After all, how else would they achieve that strong profitability and greater value for their shareholders?
And speaking of those shareholders, Walmart is still a family-owned business, controlled by the Walton family, who own over 50 percent of Walmart. The Walton Family fortune is now worth a combined total of $150 billion (as of August 2013, according to The Forbes 400 Richest People in America).
How much is enough? How much more do they need?
Can they not give up one full day’s profit to improve the living standards of those hard-working employees that helped them accumulate their $150 Billion fortune?
I doubt it…