Wal-Mart Says 'Looking' at Support of Federal Minimum Wage Rise

[Redfairen]

Source: Bloomberg

Wal-Mart Stores Inc. (WMT), the largest private employer in the U.S., said it’s looking at supporting an increase in the federal minimum wage, breaking with business and industry groups that oppose such a measure.

Wal-Mart is weighing the impact of additional payroll costs against possibly attracting more consumer dollars at its stores, David Tovar, a company spokesman, said today in a telephone interview. Increasing the minimum wage means that some of the 140 million people who shop at the chain weekly would “now have additional income,” Tovar said.

In the mid-2000s, Wal-Mart backed an increase in the federal minimum wage that eventually took effect in 2007. Asked whether Wal-Mart would support another raise in the federal minimum wage, Tovar said: “That’s something we’re looking at. Whenever there’s debates, it’s not like we look once and make a decision. We look a few times from other angles.”

.......

"If it’s a level playing field for all employers, and we and everyone else can compete on equal footing, then we’re OK with whatever legislation is decided for that particular jurisdiction,” Tovar said.

Read more: http://mobile.bloomberg.com/news/2014-02-19/wal-mart-says-looking-at-support-of-federal-minimum-wage-rise.html

[Iliyah]

1. It's been debunked

Walmart is too greedy and selfish to do such a thing. On the other hand Gap will raise its wages to $9.00, which in California wouldn't be much of the raise.

[okaawhatever]

2. You missed the part about whether it would increase their sales. They may back it, but not because

they give a crap about their employees, but because they will make more money off of the fact that people will have more disposable income. Income they will spend at Wal Mart. Just like Wal Mart not being against food stamps. Not only are food stamps for their employees part of their business model, they're the number one recipient of food stamp sales.
Same with the wage. They will have to pay more, but they will receive more in sales. They're doing the math to decide which is better for the stock holders. Employees not so much.

While I don't want people to think Wal Mart isn't evil because of this move, I'll support anyone with deep pockets staying out of the fight. There's a reward there for the Democrats. With the Arkansas Senate race being as close as it is, having the state's big employer not in direct opposition to Democratic policies will help as well. Democrat Mark Pryor is one of the Senate seats that may be flipped this year.

[BumRushDaShow]

3. The same Wally World that threatened D.C.

when the city, after much hullaboo trying to get a "living wage" (plus special rates targeted at retailers like Wally World) passed and signed, finally compromised and enacted a law increasing the minimum wage to $11.50/hr?

Am guessing the Waltons are thinking that maybe "$10.10" is better than "$11.50"?