Walmart Found To Have Fired Striking Workers Unlawfully

Walmart has announced that more than 1.2 million of its employees in the United States are going to receive a pay rise from February 20 of this year, as part of the second phase of the company’s $2.7 billion investment in its workers.

Walmart is also implementing new short-term disability and simplified paid time off (PTO) programs.

They go into effect on February 20, at which point Wal-Mart’s average full-time hourly wage will be $13.38 and its average part-time hourly wage will be $10.58, according to a company news release issued Wednesday. When the retailer raised its minimum wage last April to $9 an hour, some long-term workers objected to being paid almost the same as a new hires with less experience, said Judith McKenna, Wal-Mart’sU.S. chief operating officer.

As to the benefits change, the retailer said the move will “streamline paid vacation, sick time, personal time and holiday time into one category”.

The situation is in contrast to Costco, a smaller company than Wal-Mart with a host of other differences, but which pays its hourly store workers a living wage (well above minimum wage), offers good benefits, and enjoys a reputation for good customer service in stores. McMillon said that 95% of the stores targeted for closure are within 10 miles of another Wal-Mart outlet.

Walmart didn’t share how many of its 1.4 million workers are now employed on a full- or part-time basis, but said that previous year more than 150,000 employees were promoted to full-time positions.

The store at 1220 Gallatin Ave.is one of 269 Wal-Mart stores worldwide – including all of the company’s 102 Express format stores – slated to close in the coming months as the retail behemoth shifts its focus to Supercenters and e-commerce. The basic plan will pay 50 percent of a worker’s average weekly wage, up to $200, for up to 26 weeks.

The announcement comes three months after Wal-Mart Stores Inc.

A retail giant that has built its model on offering an enormous inventory of products at rock-bottom prices, the company has said profits growth would slow by as much as 12 percent in the current fiscal year on rising workers’ wages and an effort to revamp its digital and brick-and-mortar businesses. According to USA Today, the pay increase will affect workers at both Walmart and Sam’s Club, who will see an increase from $9/hour to $10/hour at minimum. The UFCW has tried for years to organize Wal-Mart workers and the hurdles remain high.

Walmart’s critics, though, don’t think it’s a coincidence that last year’s raise was followed by moves that hurt the company’s employees.