Money & Fairness

As an “associate”, your managers have probably told you that fairness is one of Walmart’s core principles. However, when you look at the huge income gap that exists between “associates” and their bosses, it’s pretty clear that Walmart doesn’t put its money where its mouth is.

In 2008 Walmart paid its former president and chief executive officer (CEO), Lee Scott, $31,597,424.00. If you break that salary down into a wage, Lee Scott was paid $15,191.00 per hour or $253.00 per minute!

Meanwhile, the average Walmart worker in Canada made $14,174 last year. In other words, it took an “associate” 12 months to earn what Lee Scott pocketed in less than 57 minutes.

But Lee Scott wasn’t the only executive who cashed in big time. When taken together, Walmart paid its top five executives $75 million in 2008. To put that number into perspective, that is $101.00 per second. Or, put another way, five Canadian Walmart “associates” would have to work 1,592,847 hours to earn the same pay as their bosses.

Walmart isn’t the only company in North American where the income gap between bosses and workers has become outrageous in recent years. In 1980, the average CEO made 42 times more than the average worker. By 2007, that gap had ballooned to 354 times. But at Walmart the income gap between CEOs and workers is a chasm. In 2008, Lee Scott was paid 2,229 times more than the average Canadian “associate”.

Ask yourself: does Lee Scott work 2,229 times harder than somebody who works in a Walmart produce department? Is Lee Scott 2,229 times smarter than somebody who deals with hundreds of customers every shift? Does Lee Scott deserve 2,229 times more than somebody who gathers Walmart’s shopping carts on a cold winter’s day?

CEOs will probably always make more than workers, and maybe they should, but they shouldn’t make 2,229 times more than the people who make their vast wealth possible.

Walmart can afford to give its workers a well-deserved raise. Every year “associates” create billions of dollars in profits for shareholders, including the Walton family whose net is worth $65-billion.

When working people commit themselves to a common goal they accomplish extraordinary things. Making a change starts with making a stand. Lead the change. Lead your coworkers to a better life by becoming a UFCW Canada organizer and helping them to empower themselves through a union contract.