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What if Walmart paid its workers a living wage?

What if Walmart paid its workers a living wage?

(2:02) If Walmart paid its employees a living wage, how much would prices rise? Marketplace reporter Krissy Clark traces how big-box stores make billions from food stamps.

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Guest: (1322 days ago)

Why doesn't WalMart just raise its prices 1.4% anyway, to make another $4.8bn? Is this incredibly successful capitalist company stupid, or happy to throw away such easily obtainable free money? Or have they heard of price elasticity of demand?

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Why doesn't WalMart just raise its prices 1.4% anyway, to make another $4.8bn? Is this incredibly successful capitalist company stupid, or happy to throw away such easily obtainable free money? Or have they heard of price elasticity of demand?

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Guest: (1322 days ago)

The value of my wages are based on my ability to purchase items. If min wage increases and the cost of items increase to cover the extra expense incurred by the employer. Then my purchasing power decreases and I would want my employer to increase my wages. Remember the povery line is a measure of money needed to afford the necessities of life. So if all the min wages went up so would the poverty line because the cost of all the necessities of life would have increased. So if my employer is not able or willing to increase the wage I receive it would mean an increase in min wage is a decrease in my wages.

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The value of my wages are based on my ability to purchase items. If min wage increases and the cost of items increase to cover the extra expense incurred by the employer. Then my purchasing power decreases and I would want my employer to increase my wages. Remember the povery line is a measure of money needed to afford the necessities of life. So if all the min wages went up so would the poverty line because the cost of all the necessities of life would have increased. So if my employer is not able or willing to increase the wage I receive it would mean an increase in min wage is a decrease in my wages.

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Guest: Sat (1322 days ago)

minimum wage needs to be adjusted for inflation, every fu*kig year.

end of discussion.

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minimum wage needs to be adjusted for inflation, every fu*kig year.

end of discussion.

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Guest: (1322 days ago)

Scam video. They pick the cheapest item in the store to add the 1.4% increase to in order to show you it only increases by a penny. If you raise all the prices, on average, in the store by 1.4% you will also increase that $500 TV by $7 which could be $7 more than all their competitors.

Each Walmart has different prices for the same product. Those prices are probably determined by the supply/demand curve for each geographic area. If Walmart thought they could sell exactly the same amount if they increased their prices 1.4%, they would have done that already. Since they don't do it, they are probably being pressured by their local competition.

The video also assumes that 100% of the food stamps given to the employees are spent at their place of employment. You should not make that assumption when only 13% of the food stamps are actually spent at Walmart.

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Scam video. They pick the cheapest item in the store to add the 1.4% increase to in order to show you it only increases by a penny. If you raise all the prices, on average, in the store by 1.4% you will also increase that $500 TV by $7 which could be $7 more than all their competitors.

Each Walmart has different prices for the same product. Those prices are probably determined by the supply/demand curve for each geographic area. If Walmart thought they could sell exactly the same amount if they increased their prices 1.4%, they would have done that already. Since they don't do it, they are probably being pressured by their local competition.

The video also assumes that 100% of the food stamps given to the employees are spent at their place of employment. You should not make that assumption when only 13% of the food stamps are actually spent at Walmart.

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Guest: politics=corruption (1322 days ago)

Wal-Mart CEO Mike Duke's 2012 pay of $23.2 million was 1,034 times more than the company's average worker.

The article below show how Walmart can afford to give all it's employees a 50% pay increase.

LINK

Here's an idea, pay your workforce a decent wage and make less profit !!

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Wal-Mart CEO Mike Duke's 2012 pay of $23.2 million was 1,034 times more than the company's average worker.

The article below show how Walmart can afford to give all it's employees a 50% pay increase.

LINK

Here's an idea, pay your workforce a decent wage and make less profit !!

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Guest: (1321 days ago)

The CEO's income is unrelated to this being a scam video. It's a biased opinion video that uses math strategically to give you the impression that they only need to raise product's price a penny to pay their employees a living wage. That is completely false.

They don't pay all of their workers the same as the CEO because they are not worth paying that much. A CEO can make or break a company but a cashier making about $9 can quit and the company would go on exactly as before.

Regarding purposely making less profit, since they are a publically held company, they are legally obligated to maximize their profits for the benefit of their investors. If you want to start a company and give all your profits to the employees, go ahead. Once you go public, you will have corporate governance directed and controlled by a board of directors, managers, shareholders, creditors, auditors, regulators, and some other stakeholders.

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The CEO's income is unrelated to this being a scam video. It's a biased opinion video that uses math strategically to give you the impression that they only need to raise product's price a penny to pay their employees a living wage. That is completely false.

They don't pay all of their workers the same as the CEO because they are not worth paying that much. A CEO can make or break a company but a cashier making about $9 can quit and the company would go on exactly as before.

Regarding purposely making less profit, since they are a publically held company, they are legally obligated to maximize their profits for the benefit of their investors. If you want to start a company and give all your profits to the employees, go ahead. Once you go public, you will have corporate governance directed and controlled by a board of directors, managers, shareholders, creditors, auditors, regulators, and some other stakeholders.

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Guest: politics=corruption (1320 days ago)

It's not false to say that a percentage increase on a product will cost an extra penny when in fact it does.

I am not saying that a checkout person should be paid 23 million, I was just indicating the dissparity in wages between the person at the top and the person at the bottom. A checkout person can also make or break the company, if all the checkout employees quit do you think the CEO could step in ?

Are you saying corporate governance requires companies to employ their employees on slave labour wages?

Put yourself in these people's shoes, they get up each day, they work each day, they contribute to the TAX system and yet you think that's it's right that these people should not get a decent living wage.

I would gladly pay the extra penny if I knew that the money went to paying employees a wage that allows them a decent living.

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It's not false to say that a percentage increase on a product will cost an extra penny when in fact it does.

I am not saying that a checkout person should be paid 23 million, I was just indicating the dissparity in wages between the person at the top and the person at the bottom. A checkout person can also make or break the company, if all the checkout employees quit do you think the CEO could step in ?

Are you saying corporate governance requires companies to employ their employees on slave labour wages?

Put yourself in these people's shoes, they get up each day, they work each day, they contribute to the TAX system and yet you think that's it's right that these people should not get a decent living wage.

I would gladly pay the extra penny if I knew that the money went to paying employees a wage that allows them a decent living.

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Guest: (1320 days ago)

I'm positive the CEO of walmart has the skills to do the job of a checkout person. However, it's doubtful the checkout person has the skills to do the job of the CEO. The CEO job is more difficult than you realize and there are so few people qualified to run a large business that they are recruited by offering high paying salaries to encourage them to leave their current company and work for them. The board of directors agree on those salaries so it's not like the CEO is dictating his/her own pay.

That extra penny you're willing to pay is just on a box of the cheapest food sold at Walmart. If they have to increase their prices 1.4%, that's higher than the entire US inflation rate for 2014 (1.1%) and would more than double the inflation. LINK

The average single person spends $294.34 per month on groceries. At 1.4%, that is an additional $4.12 per month (imagine a whole family). And this increase is just on the food. What about TV's, clothing, toilet paper, etc. That's where the big expenses come in. LINK

I'm already in those people's shoes. I get up each day, I work each day, and pay my taxes.

This video was also wrong calling those people slaves. Slaves are forced to work whereas these employees are welcome to quit any time they want. If they are not happy with the working conditions or their salary, they can go elsewhere. You say there are no other jobs, well then that means Walmart is offering an employment service that nobody else is doing. If Walmart was not in town, what would those people do for income.

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I'm positive the CEO of walmart has the skills to do the job of a checkout person. However, it's doubtful the checkout person has the skills to do the job of the CEO. The CEO job is more difficult than you realize and there are so few people qualified to run a large business that they are recruited by offering high paying salaries to encourage them to leave their current company and work for them. The board of directors agree on those salaries so it's not like the CEO is dictating his/her own pay.

That extra penny you're willing to pay is just on a box of the cheapest food sold at Walmart. If they have to increase their prices 1.4%, that's higher than the entire US inflation rate for 2014 (1.1%) and would more than double the inflation. LINK

The average single person spends $294.34 per month on groceries. At 1.4%, that is an additional $4.12 per month (imagine a whole family). And this increase is just on the food. What about TV's, clothing, toilet paper, etc. That's where the big expenses come in. LINK

I'm already in those people's shoes. I get up each day, I work each day, and pay my taxes.

This video was also wrong calling those people slaves. Slaves are forced to work whereas these employees are welcome to quit any time they want. If they are not happy with the working conditions or their salary, they can go elsewhere. You say there are no other jobs, well then that means Walmart is offering an employment service that nobody else is doing. If Walmart was not in town, what would those people do for income.

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Guest: Sat (1320 days ago)

if that's how you feel, you must think that this lady is an idiot LINK

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if that's how you feel, you must think that this lady is an idiot LINK

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Guest: (1319 days ago)

Yes, that lady is an idiot. The laws are clear that the employer needs to make up the difference between what the employee gets after tips and the minimum wage. If that doesn't happen, then that's part of the employee's problem too. They should say something but they don't because they are scamming the system. They do not claim a huge portion of their tips so they can avoid paying their fair share of taxes and so they can qualify for more food stamps. She ignores these facts.

So then what about a real estate agent that goes a couple months without selling a house. They don't get the draw and gets zero pay. Oh the horror. Such slavery.

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Yes, that lady is an idiot. The laws are clear that the employer needs to make up the difference between what the employee gets after tips and the minimum wage. If that doesn't happen, then that's part of the employee's problem too. They should say something but they don't because they are scamming the system. They do not claim a huge portion of their tips so they can avoid paying their fair share of taxes and so they can qualify for more food stamps. She ignores these facts.

So then what about a real estate agent that goes a couple months without selling a house. They don't get the draw and gets zero pay. Oh the horror. Such slavery.

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Guest: Sat (1318 days ago)

you sir have now convinced me that you are an idiot.

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you sir have now convinced me that you are an idiot.

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Guest: ABCDEFGHI (1320 days ago)

You are totaly wrong to suggest a CEO can make or break a company, there are plenty of well trained and well positions who would take that job strait away if a CEO quit, not only that but a CEO does not make decisions without the knowledge and approval of the board of directord, a CEO simply steers a company into a group of decisions from which he presents to the board. If say the CEO of walmart quit tomorow I guarentee there profits for that day/week/month would not change one bit, infact they would have him replaced before their already pre-determined emergancy plan would need to be implemented, however, if all the cashiers and floor workers quit, the company would not make a penny, it would struggle to recruit and train enough people in time to save themselvs from becoming heavely compramised finanntialy. The issue is that the people at the bottom are "unliklely " to be organised enough to orcastraite this type of mover sot the CEO and board of directors can get away with paying them well belowe ther worth.

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You are totaly wrong to suggest a CEO can make or break a company, there are plenty of well trained and well positions who would take that job strait away if a CEO quit, not only that but a CEO does not make decisions without the knowledge and approval of the board of directord, a CEO simply steers a company into a group of decisions from which he presents to the board. If say the CEO of walmart quit tomorow I guarentee there profits for that day/week/month would not change one bit, infact they would have him replaced before their already pre-determined emergancy plan would need to be implemented, however, if all the cashiers and floor workers quit, the company would not make a penny, it would struggle to recruit and train enough people in time to save themselvs from becoming heavely compramised finanntialy. The issue is that the people at the bottom are "unliklely " to be organised enough to orcastraite this type of mover sot the CEO and board of directors can get away with paying them well belowe ther worth.

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Guest: (1320 days ago)

"There are not a lot of people who have the skills that are needed to be an effective CEO" LINK

If you think you have the same skills a typical Walmart CEO has, apply for his job and see if the board of directors agree. Good luck with that.

If all the cashiers and floor workers quit, the company would not make a penny. That might actually be a good thing for them in the long run. The reason the employees don't get paid a high salary is there are hundreds of thousands of people wanting those jobs and are willing to do it for the salaries offered. If everyone quit and nobody replaced them because the salary was too low, Walmart would have no choice but to offer a more competitive wage to attract workers to their company. However, there is no incentive for Walmart to pay more because they have workers willing to do that job for the amount they currently earn.

An example of this is a garbage collector. It's a brainless job requiring no formal eduation but they make an average of $43,000/year. If those Walmart employees want more money, have them collect trash for a living instead. LINK

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"There are not a lot of people who have the skills that are needed to be an effective CEO" LINK

If you think you have the same skills a typical Walmart CEO has, apply for his job and see if the board of directors agree. Good luck with that.

If all the cashiers and floor workers quit, the company would not make a penny. That might actually be a good thing for them in the long run. The reason the employees don't get paid a high salary is there are hundreds of thousands of people wanting those jobs and are willing to do it for the salaries offered. If everyone quit and nobody replaced them because the salary was too low, Walmart would have no choice but to offer a more competitive wage to attract workers to their company. However, there is no incentive for Walmart to pay more because they have workers willing to do that job for the amount they currently earn.

An example of this is a garbage collector. It's a brainless job requiring no formal eduation but they make an average of $43,000/year. If those Walmart employees want more money, have them collect trash for a living instead. LINK

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Guest: politics=corruption (1319 days ago)

Why do you use such offensive derogatory language to describe decent hard working people who collect your rubbish?

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Why do you use such offensive derogatory language to describe decent hard working people who collect your rubbish?

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Guest: Sat (1320 days ago)

ok nameless guest who could be someone who doesn't want to post with his username beecause someone else might start to verbally abuse him, but what do you think about legal bribery?

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ok nameless guest who could be someone who doesn't want to post with his username beecause someone else might start to verbally abuse him, but what do you think about legal bribery?

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Guest: (1320 days ago)

Legal bribery sounds like an oxymoron. Bribery, by definition, is illegal.

What do you think about jumbo shrimp?

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Legal bribery sounds like an oxymoron. Bribery, by definition, is illegal.

What do you think about jumbo shrimp?

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Guest: Sat (1320 days ago)

a shrimp that is unusually large.

nevertheless, the phrase exists:

"""The commission, whose work is continuing, has subpoenaed a number of state legislators for details of how they operate. It has not accused anyone by name. But it found instances of “deplorable conduct, some of it perfectly legal yet profoundly wrong; some of it potentially illegal.""" ; LINK

but you haven't answered the question

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a shrimp that is unusually large.

nevertheless, the phrase exists:

"""The commission, whose work is continuing, has subpoenaed a number of state legislators for details of how they operate. It has not accused anyone by name. But it found instances of “deplorable conduct, some of it perfectly legal yet profoundly wrong; some of it potentially illegal.""" ; LINK

but you haven't answered the question

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Guest: (1319 days ago)

If something legal is undesireable and you wish to have that made illegal, you need to contact your representative and senator and advise them of your dissatisfaction so they can change those laws. This is how democracy works.

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If something legal is undesireable and you wish to have that made illegal, you need to contact your representative and senator and advise them of your dissatisfaction so they can change those laws. This is how democracy works.

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Guest: Sat (1318 days ago)

the problem is that the theory doesn't match the reality and that process you just mentioned doesn't work.

What gets laws changed is money, lobby, corruption and legalised bribery.

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the problem is that the theory doesn't match the reality and that process you just mentioned doesn't work.

What gets laws changed is money, lobby, corruption and legalised bribery.

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Guest: Casey (1317 days ago)

Well, if what you say is true, the only thing I can think of is revolution.

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Well, if what you say is true, the only thing I can think of is revolution.

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Guest: Sat (1317 days ago)
Latest comment:

it's what we've been saying all along.

the current global "democratic" political system is unrepairable.

it's called representative democracy.

We need something like the system Switzerland has, but with all the kincks ironed out, and you know that the current powers will never go for that.

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Latest comment:

it's what we've been saying all along.

the current global "democratic" political system is unrepairable.

it's called representative democracy.

We need something like the system Switzerland has, but with all the kincks ironed out, and you know that the current powers will never go for that.

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Guest: Mr. Blair M. Phillip (1322 days ago)

Wages, benefits, paid time off and pensions don't cause inflation. Corporations set the price,"they beleive" the market can continue to provide a continually increasing profits from....not workers wages. For at least the last 20 years, workers wages have stagnated or gone down. Has inflation continued to rise? You bet!

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Wages, benefits, paid time off and pensions don't cause inflation. Corporations set the price,"they beleive" the market can continue to provide a continually increasing profits from....not workers wages. For at least the last 20 years, workers wages have stagnated or gone down. Has inflation continued to rise? You bet!

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iknowlessthanyoudo iknowlessthanyoudo (1321 days ago)

But who would support Congress after they tick-off Wal-Mart?

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But who would support Congress after they tick-off Wal-Mart?

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