From AlterNet:
Indeed, Costco’s pay is much, much, much better — a full-time Costco clerk or warehouse worker earns more than $41,000 a year, plus getting terrific health-care coverage. Wal-Mart workers get barely a third of that pay, plus a lousy health-care plan. Costco even has unions!
Yet, Costco’s labor costs are only about half of Wal-Mart’s. How’s that possible? One reason is that Costco workers feel valued, which adds enormously to their productivity, and they don’t leave — employee turnover is a tiny fraction of Wal-Mart’s rapidly revolving door.
One more reason for liking Costco…They constantly move things around. Each time I go there it’s almost like playing hide and seek.
From a letter printed in Friday’s “The Oregonian.”
“Wal-Mart has operated for more than 40 years on the principle of respect for the individual. That’s why we pay competitive wages and provide a benefits package that includes health coverage, a 401(k) plan, profit sharing, employee discounts, performance bonuses and a discounted stock purchase plan.
“We were distressed by your suggestion that our recent pay and diversity announcements were an attempt at “damage control” (“Wal-Mart looks in the mirror,” June 8).
“As we hire 83,000 new associates this year (and promote 9,000 into management), our basic commitment is to pay good and fair wages for every job we have. Our new job classifications and pay structure for hourly associates will help us attract and retain quality associates in a competitive environment.
“Our diversity initiative is aimed at ensuring that we continue to provide an inclusive work environment. That’s part of our culture, too — always trying to do better.
“We do appreciate that you recognize the benefits we bring to consumers through our low price strategy.
“ERIC BERGER Manager, Wal-Mart Community Affairs Northwest Region Seattle”
Rings hollow to me, especially in light of the class action lawsuit underway representing 1.6 million Wal-Mart workers.