Walmart declares its three-part plan of helping jumpstart the US economy sooner than Washington can. According to a press release, the world’s largest retailer and private employer plans on hiring more than 100,000 veterans within the next five years. In addition, Walmart will be spending $50 billion in buying American-made products in the next ten years.
But aside from helping the US economy, Walmart’s decision is said to have originated from the need to re-establish its reputation after it got involved in a case of bribery that took place in Mexico. There was also the deadly fire in Bangladesh that destroyed a factory where Walmart imported the clothes its sells from.
Will the Plan Click?
Although it generates $444 billion annually, Walmart has long been criticized for its low-paying jobs and in buying habits in the US. But the retailer emphasizes that it plans to highlight career opportunities. It must be remembered that the retail industry supports one in every four jobs in the country so this plan can affect the US overall economy.
President and CEO of Walmart US says they have conducted a thorough analysis of the current situation and thus have come up with a detailed plan to help out. The choice of hiring veterans was in an effort to provide livelihood and an escape for soldiers who have come back from Afghanistan and Iraq.
Economists believe that while all other companies are trying to lay off employees and cutting on operation costs, this move by Walmart somehow puts Americans at ease. This means that the extent of the forthcoming fiscal cliff wouldn’t be too scary to think about.
Interviewed consumers say that at least there is something good to look forward to despite the large budget cuts and the tax increase.
Walmart does not Answer Issue on Wages
Although Walmart’s plan of helping the US economy is grand, it continues to dodge questions on wages. Apparently, most of its employees are using bad credit loans online to make up for overlooked bills and other emergency expenses. If this continues, its employees would be working to pay off debts instead of bettering their lives.
Although there are debt counseling services, nothing would be better than improving its employees’ wages. Labor unions are actively calling for such change but so far, nothing has been done about it. According to representatives of labor unions, the opening of more job opportunities will only pave the way for more unsatisfied employees to strike against this retail giant.