Asda/Wal-Mart - They Really Hate Their Staff

Via an email alert from Wal-Mart Watch (Asda's parent company):

Today's lead story on CNN.com is about former Missouri Wal-Mart employee Debbie Shank. Debbie used to stock shelves at night for Wal-Mart. Now she owes Wal-Mart almost $500,000.

Tell Wal-Mart not to take her money:

http://action.walmartwatch.com/debbieshank

The 52 year-old was a Wal-Mart employee when she was left "brain damaged, disabled and penniless" from a car accident seven years ago. But after the Shank family received a settlement from the trucking company at fault, Wal-Mart demanded reimbursement for every cent it had paid for Debbie's medical bills - plus interest and legal fees.

Last week, the U.S. Supreme Court refused to hear Debbie Shank's case, leaving her family no choice but to pay Wal-Mart $470,000. Now her family doesn't know how they're going to be able to afford Debbie's nursing home bills.

To make things worse, the $470,000 exceeds the remaining $277,000 in Debbie's trust from the settlement, which means Wal-Mart may even go after the donations given to the Shank family for Debbie's care, including the money you helped raise in November. This is just wrong.

Wal-Mart may have won the lawsuit, but the Shank family has already lost enough. The company claims that it has to collect the money for the good of all Wal-Mart employees. But, in this particularly egregious situation, surely the largest company in the world run by the wealthiest family in the United States can give this family a break.

Write to Wal-Mart executives and ask them to tell Lee Scott to do the right thing and let Debbie Shank keep her money:

http://action.walmartwatch.com/debbieshank

This company already has a reputation for treating its employees poorly, and this tragic situation exposes the company's pure heartlessness. The Shank family is living most people's worst nightmare - and Wal-Mart is only making it worse.
Debbie's husband, Jim, told reporters:

"She's 52 and she's going to live a life in a nursing home. I just got a call today from the head nurse, and (Debbie) hasn't eaten in a couple days and she's talking about wanting to die," Shank said. "It makes the visits hard."

... "Be a human being; don't be a corporation," Shank said, "for the sake of one lady who is going to be miserable for the rest of her life. Take your victory. Let us pay some bills and get some quality of life."

Capitalist bastards.

OFT Claims Supermarkets Involved in Price Fixing

The UK's big four supermarkets and dairies colluded to keep the price of dairy goods artificially high, the Office of Fair Trading has claimed.

The alleged deal led to consumers overpaying for milk, cheese and butter by an estimated £270m, the OFT said.

It accused Asda, Tesco, Morrisons, Sainsbury's and processors including Dairy Crest and Arla of involvement. The supermarkets denied the claims.

Question is, is anyone really surprised?

Wal-Mart Curbs Rights to Free Association

Surveillance. Harassment. Indoctrination. Human rights abuses. I could be talking about China, Iran, North Korea or (whisper it quietly) the UK. But no, I am referring to the bastard of all corporate bastards, Wal-Mart - the parent company of the Asda chain.

A report was released by Human Rights Watch detailing the lengths that Wal-Mart will go to in order to keep their workforce from organising and campaigning for better conditions. According to The Guardian, the report reveals that:

Wal-Mart...has elaborate tactics to stop staff from coming together to fight for better conditions. The company is accused of focusing security cameras on areas where staff congregate and shifting around loyal workers in "unit packing" tactics to ensure votes for union recognition are defeated.

Store managers at Wal-Mart also receive 'tool boxes' to enable them to "remain free in the event union organisers choose your facility as their next target". In what is clearly an orchestrated effort by the company to crack down on any hint of an organised workforce, managers are also advised to phone a special 'union hotline' if they suspect members of staff are organising.

The lengths that they go to to ensure that staff do not unionise is remarkable. Members of staff are rounded up and forced to watch propaganda that highlights the perils of a unionised workforce. Videos presented by Paul French & Partners besiege the viewer with various 'facts' about the disruption caused by union members and leave staff in no doubt that unionisation is a bad thing. As Carol Price, author of the report, explains:

"Wal-Mart's aggressive and sophisticated anti-union strategy is based out of its headquarters. This is not a store-by-store problem - the violations are a direct result of the company's philosophy."

Historically, Wal-Mart has always had an issue with unions. As The Guardian reports:

In a breach of US law, Wal-Mart has allegedly banned union organisers from distributing flyers outside its stores and has confiscated literature found on the premises. Since Wal-Mart began in 1962, there has only been one successful formation of a union - among meat cutters in Texas seven years ago. The department was subsequently shut down - an act ruled illegal by US labour authorities.

Wal-Mart's subsidiary in the UK has already seen a shift in tactics towards union members. They have already been fined £850,000 for offering illegal inducements to staff to disown their union. There is no doubt whatsoever that Asda will try to follow the same policies of the parent company, and we can expect many more examples of union busting in the future. However, the findings of this report might just start a backlash against the unfair practices of a company that is the largest company in the latest Fortune 500 rankings. It is time to up the pressure on Asda and force them to change their business practices. It is only by hitting them where they hurt that we can make an example out of Wal-Mart and send a warning to all corporations that the workforce has rights that need protecting.

Read the full report here.

From Wal-Mart Watch...........

Dear Friend,

Next time you talk on the phone, you may want to say “Hello” to Wal-Mart.

After all, recent news stories revealed they've been wiretapping phone conversations between their own PR staff and a New York Times reporter. Think about that for a second: Wal-Mart can't even trust its own spokespeople to "stay on message" with the media.

What’s more, Wal-Mart spies also intercepted text messages from people with no connection to the company at all.

Who knows who else they're listening to?

America's news reporters need your help. Send a letter to the editor of your local paper, and warn them that if they talk to someone from Wal-Mart, someone else might be listening.

http://action.walmartwatch.com/WarnThePress

Wal-Mart has always been about control -- control of their employees, control of their suppliers, control of government officials, and control of their image. That's why they've assembled a massive corporate intelligence operation, headed by a former CIA official.

Why is Wal-Mart so paranoid? If they go to such lengths to monitor and control their employees, what are they trying to hide from news reporters?

Right now, other reporters are surely working on their own stories about Wal-Mart -- maybe even in your community. Make sure they know by warning your local newspaper about Wal-Mart's wiretapping.

http://action.walmartwatch.com/WarnThePress

Thank you for your help, and remember to be careful what you say. Wal-Mart may be listening.

Sincerely,

David Nassar

P.S. You can find excepts of the article and links to the full text here:

http://action.walmartwatch.com/WalMartIsWatching

For All You Asda Fans

Remember, Wal-Mart is Asda's parent company:

NEW YORK (Reuters) - A U.S. watchdog group has called on Wal-Mart Stores to put a stop to what it says is worker abuse at a factory in the Philippines that makes apparel for the retailer.

The Worker Rights Consortium said the Chong Won factory, which primarily makes clothing for Wal-Mart supplier One Step Up, has engaged in labour rights violations including forced overtime and minimum wage violations. The WRC has 167 U.S. college and university affiliates.

The WRC has accused the factory's management of colluding with government agents in violence against striking workers and said it based its charges on an on-site investigation from October 28 to November 2. WRC said it notified Wal-Mart in November.

Another reason not to shop at Asda.

Wal-Mart Face Prosecution For Discrimination

From Wal-Mart Watch:

Dear Friend,

Wal-Mart may have the best legal team money can buy -- but even the fanciest of corporate lawyers can't stop the largest class-action lawsuit in U.S. history.

Thanks to the determination of current and former Wal-Mart employees, their dedicated counsel and the judicial wisdom of the 9th Circuit Court of Appeals, the world's largest employer will face allegations that it actively discriminated against its female employees. This case could cost them close to $20 billion.

This is a historic day for all of us who believe that women deserve equal pay, equal promotions and equal treatment at work.

Tell your friends and family that Wal-Mart's day in court has come:

http://action.walmartwatch.com/dukesvwalmart

The charges against Wal-Mart are severe -- but not surprising. They claim that Wal-Mart:

* Advances male employees more quickly than female employees;
* Denies female employees equal job assignments, promotions, training and compensation; and
* Retaliates against those who oppose Wal-Mart's unlawful practices.

Wal-Mart did everything in its power to keep this case out of court. Filed originally in 2001, yesterday's ruling upheld the 2004 class certification of Dukes v. Wal-Mart -- and exhausted the corporate giant's options to appeal.

Only two real choices remain for Wal-Mart: settlement or trial. Not surprisingly, they will continue to take the cowardly approach and appeal again. Any settlement could be enormous, and a loss at trial could amount to damages in the billions of dollars -- including what the company could be forced to pay to equalize inequitable salary scales. So they will avoid the inevitable for as long as possible, forcing millions of women to wait.

But there is more at stake than settlement numbers. Shareholder anger and damage to the Wal-Mart brand could cost the company far more than the punitive damages from a lawsuit.

Make Wal-Mart pay for its disgraceful treatment of women. Spread the word about the Dukes v. Wal-Mart case:

http://action.walmartwatch.com/dukesvwalmart

This case only confirms what many of us have claimed for years: Wal-Mart must fundamentally change the way it treats its employees, and set an example for labor practices worldwide.

The facts remain:

*Women comprise only 37.6 % of Assistant Managers, 21.9% of Co-Managers, and 15.5% of Store Manager positions at Wal-Mart.
*About 65% of hourly employees are women, compared to about 33% of management employees.
*From date of hire until being promoted into an Assistant Manager position it took on average 4.38 years for women, compared to 2.86 years for men. To reach Store Manager, the average male needed 8.64 years compared to 10.12 years for a female.

The numbers don't lie. Spread the word about Wal-Mart's immoral business practices, and the tremendous consequences behind yesterday's ruling:

http://action.walmartwatch.com/dukesvwalmart

For the past 25 years, Wal-Mart built its empire on the backs of its exploited employees. Now they'll have to justify it.

Sincerely,

David Nassar
Wal-Mart Watch

Wal-Mart Update

Dear Friend,

Here we go again.

Just last week, the state of Wisconsin launched an investigation into charges that Wal-Mart fraudulently puts the organic label on products that don't meet USDA standards for these sorts of items. It's another example of how Wal-Mart says one thing and does another.

Surprise, surprise.

Wal-Mart's dishonesty hurts consumers, suppliers, and investors who believed Wal-Mart's hype that they were moving into the growing market for organic food. And it's not just Wisconsin -- this sort of shell game could be happening in your own back yard.

It's time to stop them -- and that's where you come in.

We've identified the person at the USDA who handles product marketing and has the power to launch a nation-wide investigation of Wal-Mart. She can help us get to the bottom of this, but we have to get her attention first. Let her know that Wal-Mart's organics program is all sizzle and no steak:

http://walmartwatch.com/pages/write_the_usda

Whether you shop organic or not, this issue matters to you. Time and again, Wal-Mart says one thing and then does another. To them "standards" and "customer care" are nothing more than a PR smokescreen -- all that really matters is profit, and that's why we have to stay vigilant.

When we released the Chambers memo we proved that Wal-Mart executives know their healthcare plan isn't affordable to a large portion of employees. When we identified the hired PR guns running a fake "grassroots" campaign on the web, it became clear that Wal-Mart has to pay people to support the company.

It's time to take action again and pressure the USDA to look into Wal-Mart's organic labeling and get the truth that we all deserve. Take a moment to read up on the case and send an email here:

http://walmartwatch.com/pages/write_the_usda

As the new executive director of Wal-Mart Watch, I am determined to bring change to America's largest retailer. Your support and commitment is the only way we can make that possible.

Thank you,

David Nassar

Executive Director

Big Supermarkets Likely to Escape Punishment

With the release of the interim report by the Competition Commission, it would appear that once again the supermarkets are going to escape censure. Despite the evidence to the contrary, it looks likely that it will be business as usual for the big four. Meanwhile, the workers at the bottom of the chain, will continue to be hurt by the tactics of Tesco, Sainsbury's, Asda and Morrisons.

According to The Guardian, the report claimed that

there was little evidence that the grocers were using their muscle to squeeze suppliers' profits and that food and drink manufacturers, and wholesalers, were in "reasonable shape".

And yet, it is clear that the policies of companies like Tesco, are really hurting the food producers, as well as damaging the high street. By developing out-of-town sites, the big supermarkets are doing a great deal of damage to town centres all over the country. With their huge, free car parks enticing shoppers away from the fee charging car parks in the town centres, it is little wonder that shoppers have turned in droves to these monolithic, temples of consumerism. And now, with the introduction of mini versions of these stores appearing in high streets, small, independent traders are really starting to feel the squeeze.

As I said at the top of the post, those at the bottom of the chain get hurt the most. Perhaps the best example of how the producers are being squeezed, is in the dairy sector. In 1995, the proceeds from milk sales were divided as follows:

As you can see, the farmer received a large chunk of the sales from milk, approximately 24.5p from an average selling price of 42.1p. The retailers, on the other hand, received a pretty small amount of income in comparison. However, there is a massive shift in the figures for 2005:
Although still receiving the largest chunk, the farmers have seen their share drop from 58% in 1995, to 36% in 2005, a drop of 22%. Meanwhile, the retailers have seen their share jump from 3% in 1995, to 31% in 2005, a massive 28% increase. The processors have, however, remained pretty static in their share, hovering around the 33-39% mark. As you can see, it is the farmers at the bottom of the chain who are clearly being squeezed. In fact, the NFU dairy chairman Gwyn Jones claims that:

farmers are losing an average of 2p a pint.

Furthermore, Sir Stuart Hampson, chairman of Waitrose owners the John Lewis Partnership, has claimed that if the trends are not reversed, the UK could be importing milk by 2011. This would, naturally, be disastrous for farming in the UK (not to mention the subsequent impact on the environment). And it is not only the farmers who are being hurt by the actions of the giant supermarkets.

Only last month, War on Want reported that Tesco, Primark and Asda were guilty of exploiting the workforce in Bangladesh. The workers producing the garments for these corporations work 80 hours per week in dangerous conditions, all to enable the 'savings' to be passed onto the consumer. War on Want also reported that starting wages at the factories were as little as £8 a month, barely one third of the living wage in Bangladesh. Without this exploitation of the workforce, the large corporations would not be able to maintain their competitive edge. They need to squeeze costs wherever possible, and the savings normally hit the workforce rather than those that sit on the board.

In such circumstances, it is hard to blame the consumer. After all, there are many low income families out there who rely on Tesco's prices to ensure meals are on the table. However, there is always a price attached to anything that is purchased. That price is felt by those who work in the factories, or plough the fields, to enable those that control the capital to continue their growth. Furthermore, the situation may seem harmless to some, but imagine if this situation is taken to its logical conclusion. If we allow ourselves to sleep walk into a society that is dominated by one retailer what would that look like? There would be nothing to stop a solitary retailer raising prices and squeezing the consumer. Why would have nowhere else to turn to to provide for our needs. We would have no choice but to accept the prices the supermarket sets. And, in such circumstances, it would not be unrealistic to expect the supermarket to mark up it's prices as high as possible. In short, we would all be losers.

Unfortunately, no matter how many enquiries are instigated, it is unlikely that the picture will ever change. The government is totally enthrall to their capitalist masters, and they are hardly likely to bite the hand that feeds them. It is up to the workers to unite against those that control the capital and force change. We cannot, and must not, rely on the politicians to force this change, they have too much to lose. The continued exploitation of the proletariat must end, the consequences of their continued dominance are too frightening to contemplate.

Tesco - Every Little Hurts

Next time you consider buying cheap clothes from Tesco, think twice. From the BBC:

Textile workers in Bangladesh get paid as little as five pence an hour to make cheap clothes for UK companies Tesco, Asda and Primark, a report says.

The mainly female workers regularly spend 80 hours per week in "potential death trap" factories, according to anti-poverty group War On Want.

Of course, the UK government will do little to combat this, after all, they are eager to reduce 'red-tape' (or regulation). Which makes Blair's apology for slavery sound even more hollow.

To read more, visit War on Want or read their report 'Fashion Victims'.

Wal-Mart Punished for Abusing Staff

About time too. Remember that Wal-Mart also look after Asda in the UK - these tactics will be hitting these shores, of that there is no doubt.

Losses Continue for Wal-Mart

After the announcement of a drop in profits by Wal-Mart recently, there is more bad news for the giant retailer. It has suffered a massive loss of $465m (£246m) in Japan, a five-fold increase in losses. Perhaps we are witnessing the slow decline of the company behind Asda in the UK, we can only continue to shun Wal-Mart and its subsidiaries and watch the corporation slowly die.

Wal-Mart Discloses Profit Fall

Good news for all of you who hate Wal-Mart (or Asda, if you are British). The company has announced its first drop in profits in 10 years. Although still recording obscene levels of profit, the company has reported a decrease on the same period last year (down from $2.8bn to $2.08bn). The company blamed tough competition in Germany as well as a rise in petrol prices:

Some of the same issues affecting our customers - higher utility costs and gas prices - are impacting many corporations, including Wal-Mart.

So said Chief Executive Lee Scott. Mmm, gas prices you say?? Best press Bush into invading another oil rich country I think.

This is, however, a small drop in the ocean. While it is always encouraging to know that a union busting company like Wal-Mart is capable of being hit where it hurts, it is not being hit nearly hard enough. Everyone can do their bit to hit Wal-Mart by refusing to buy goods at Asda and Wal-Mart and encourage the company to take a more reasonable approach to union membership.

Wal-Mart Watch

In light of the recent developments surrounding Asda and their anti-union activities, I have posted a link to Wal-Mart Watch. As it's UK arm continues to employ tactics that have had a massive impact in the US, I think it is probably wise to keep a close eye on their activities.

Boycott Asda

Another story that had been developing over time is the union busting activities of Asda (see previous posts). The GMB has arranged a five day strike by workers of Asda in response to their attempts to lure staff away from the union. These tactics very much mirror those of Wal-Mart in the US and are a worrying sign of things to come over the coming years. I urge everyone to boycott Asda for five days starting on the 30th June. We need to hit companies like Asda where it hurts otherwise they will continue to dismantle vital labour legislation. Contact Asda and tell them you will not be shopping with them until they stop threatening union members.

UPDATE: Asda are now seeking a court injunction to prevent the strike from going ahead. If this is to happen, it is even more important that consumers show solidarity by refusing to shop at Asda.

FURTHER UPDATE (30/6/06): The strike action has been averted, but this does not mean that consumers should continue to shop there. I would suggest a boycott of Asda for the foreseeable future, until they stop threatening union members.

Furthermore, an article was recently published in the Socialist Worker regarding some disturbing incidents at stores. You can read some of the article at Lenin's Tomb.

ASDA Linked to Union Busting

You may remember I posted about the alleged union busting at Asda (owned by Wal-Mart) sometime ago. To refresh your memory, Asda had tried to persuade workers to accept a pay deal that relied on them giving up their fundamental right to union bargaining. The Guardian reports on some more tactics being employed by Asda as they seek to overturn the judgement made in the earlier tribunal. These include:

putting CDs in drivers cabs urging them to vote against the strike, making lorry drivers go for interviews with senior management to persuade them not to strike and writing to their families warning them against strike action. One shop steward has been suspended by the company for flying an England flag with a GMB vote "yes" sign on it.

Of course, this is another step on the road to greater powers for the corporations. If Asda are allowed to get away with destroying organised labour there is no telling what other companies will try the same trick. Another example of the way this government prostitutes itself for corporate interests. Socialism, I don't think so.

The Importance of Being in a Union

Read with interest an article in The Guardian yesterday about corporations trying to stop employees joining unions. Of course, I have touched on this subject many times before (see previous entries) but it re-confirmed everything I have previously stated in this blog. Once again Asda are mentioned (hardly surprising due to its parent company) as was Sky (again not really surprising given the Murdoch connection). This seems to be a bigger problem in the US than it is in the UK but it is still a growing concern.

I have been a victim of much harassment in my previous workplace and I made the big mistake of not being a union member. My initial decision was a political one. I had no time for unions as they were tied to the Labour Party and I have no respect for the Labour party whatsoever (particularly in the last ten years). However, I realised my mistake as I began to suffer at the hands of a tyrannical manager who put unreasonable pressures and strains on most of the workforce. Fortunately for him, many people weren't in the union and consequently he got away with most of his abuses. I know that this kind of treatment is no rare thing. The worry is that it is a growing trend. Many people have no idea how important it is to unionise the workforce (I am as guilty on this one as most). I have seen people victimised and even sacked, when a union representative would have ensured such abuses were not carried out. Not matter how unimportant you think your job is, whether it is part-time or full-time, you must join your union and you must fight for union representation in your workplace.

Corporate Watch: Asda

According to reports, Asda has been planning to 'undermine labour standards' by cutting work breaks, removing grievance mechanisms and undermining health and safety conditions. This should come as no surprise to observers of the business practices of its parent company, Wal-Mart, who have frequently undermined labour practices in the States for sometime. This strategy stretches to its relationship with the unions which has never been particularly good. In fact, Asda were fined £850,000 for offering illegal inducements to staff to disown their union. This is part of a growing trend in the retail sector in England to remove obstacles that prevent business leaders from increasing their profits at the expense of the worker. I would say to all workers in retail: "Join your union and start taking action against your employer". Although there are few powers left to the union, you can still take effective action about the harassment and bullying that is an every day occurrence in the retail industry. If not, the corporations will continue there growth, unchecked by the hands that feed them.