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Corporate Greed vs. Public Good, Where America Shops

By Jane Birnbaum
Behind the yellow smiley-face of the all-American Wal-Mart myth is a company that is the largest foreign importer in the nation, where workplace policies may mean workers need two jobs and depend upon public support to get by.

Betty Fought loved her job as a Wal-Mart greeter, one of the smiling employees who welcome shoppers in the nearly 3,000 U.S. stores of the world’s largest retailer. Working full-time again at 60 after strokes disabled her husband Edward, an electrician, Fought twice stopped suspected shoplifters at the Aberdeen, Wash., store. She personally supplied and washed the towels she used to wipe carts in which some customers had carelessly diapered their babies.

But when Fought fell while pushing carts and became disabled, managers for Wal-Mart—the nation’s largest private employer, founded in 1962 in Rogers, Ark., by retailing titan Sam Walton—stopped being so friendly. The Foughts waited so long for workers’ compensation they had to take out a second mortgage which, along with other bills, at one point left them living on $18 a month.

“It was a surprise the way they treated me,” 66-year-old Fought says today. She had to go to court to win workers’ compensation. Then, according to her lawyer, Wayne Lieb—a leader among Washington State workers’ compensation lawyers—Wal-Mart arbitrarily stopped payments more than three months before her state pension kicked in this year, again leaving the couple without income. “You see how Wal-Mart advertises care and concern for people,” Fought says. “But the minute I needed disability, there was a fight. They were hypocritical—treating people the way they treated me is not Wal-Mart’s image.”

Experiences like Fought’s led Washington State last December to take the unprecedented step of decertifying Wal-Mart’s self-insured workers’ compensation program. (Wal-Mart has appealed the ruling and is managing its program with state supervision.) As a greeter, Fought personified Wal-Mart’s caring image—yet her actual experience is just one of many events illuminating the distance between Wal-Mart’s image and what it really means to work for Wal-Mart, shop at it and live near it.

In 1999 and 2000, a Cone Inc./Roper Poll survey rated Wal-Mart as the nation’s top “good corporate citizen”—more a testament to savvy marketing than actual fact, says Robert Ross, sociology professor at Clark University. “People hold Wal-Mart in high regard because of its advertising that it delivers convenience and low prices,” he says. “The happy face bounces around and they have this great gimmick of smiling retirees as you walk in and you can buy cheaper stuff there. Some consumers don’t know the facts about Wal-Mart, and it’s hard for the facts to get through, because people don’t like paying attention to uncomfortable facts. And people who know just focus on the lower prices.”

For those who care about “uncomfortable” facts, here are some about Wal-Mart. Read More

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