Wal-Mart's Anti-Union Threats Lead to Backlash, Call for Federal Probe

Wal-Mart may have inadvertently done workers a big favor with its threats that a Democratic victory in November could lead to passage of a new law making organizing unions easier. Now progressive media and cable shows are giving the right to unionize greater attention, and a petition drive has been launched by pro-union groups asking the Federal Election Commission to investigate Wal-Mart for illegal electioneering ( a charge the company denies.)

The Wall Street Journal reported last week that the company held mandatory meetings for supervisors and store managers warning that a Democratic and Obama victory could lead to passage of an Employee Free Choice Act; the company claimed the law could cost workers their jobs and lead to heavy union dues.

In fact, Wal-Mart is the poster child for union-busting and its own abuses perfectly illustrate why the law is so desperately needed. Wal-Mart's behavior reflects a broader corporate hostility to unions that's helping to drag down workers' earnings and health care benefits, as I discovered when I wrote last year about going undercover to a union-busting seminar. And As Michael Whitney of American Rights at Work observed on Firedog Lake:

Unfortunately for Wal-Mart workers, this kind of intimidation is nothing new. It's actually part and parcel for Wal-Mart's business plan. When Wal-Mart employees stand up for themselves and try to form a union, they face threats, propaganda, discrimination, intimidation, and even firings in retaliation.

What Wal-Mart is doing for November's political elections is what it, and hundreds of other anti-union companies, do all the time when workers say they want a union: initimidating them to go against their own self-interests.

Wal-Mart's concerns about a pro-union Democratic victory are echoed by other companies seeking to oppose any legislation or initiative that might conceivably help workers. The Hill reported this week:

Business leaders say a Democratic sweep of the presidency and key Senate contests this fall could lead to major changes in U.S. labor law.

Business has viewed the Senate as a bulwark to bills backed by the AFL-CIO and other labor groups since Democrats took over Congress in 2006. Measures making it easier to form unions and strengthening the rights of workers to sue for discriminatory pay practices have passed the House. But they have not been able to win the votes necessary to move forward in the Senate.

Even if they had, a final bastion remained: President Bush's veto pen.

Next year, however, the dynamics could change dramatically if Sen. Barack Obama (D-Ill.) wins the presidency and Democrats edge closer to the 60 votes necessary to break a Senate filibuster.

"This is one of the most important elections the business community faces," said Bill Miller, a senior vice president at the U.S. Chamber of Commerce.

"If the Republicans lose four or five seats [in the Senate] some of the labor measures probably will succeed over the minority's wishes," said Jade West, senior vice president of government relations at the National Association of Wholesalers-Distributors...

But the issue business leaders most often mention in worried tones is the Employee Free Choice Act (EFCA), which would make it easier for workers to form unions by eliminating a requirement that unions be launched via a secret ballot vote.

A business coalition is already running ads in Maine and Minnesota, where it touts Sen. Norm Coleman's (R-Minn.) opposition to the bill. Coleman is in a tough contest with Democrat Al Franken, who, like most Democratic Senate candidates, is supporting EFCA.

On top of all that, major business lobbying groups are launching a multi-billion-dollar TV and propaganda effort to convince the public and workers that the proposed law would somehow deny workers the right to a fair election. In truth, as the American Rights at Work organization points out, these groups are peddling myths in order to squelch workers' rights:

Business special interest groups have launched a $160 million campaign to derail reform of the nation's broken labor law system by lying about the Employee Free Choice Act. Their only line of attack - that the bill somehow takes away so-called "secret ballot" elections for joining a union - is blatantly false.

The Employee Free Choice Act not only strengthens the current process for workers forming unions, but also provides for a more fair and democratic method for men and women to join unions.
Here are the facts to refute the opposition's fiction about the Employee Free Choice Act:

Fiction: The "legislation would end the rights of employees to secret ballot elections."- Center for Union Facts

FACT: The Employee Free Choice Act does not abolish elections or "secret ballots."

Under the proposed legislation, workers get to choose the union formation process--elections or majority sign-up. Under current law, the choice to recognize a union rests only with employers. What the Employee Free Choice Act does prevent is an employer manipulating the flawed system to influence the election outcome. When faced with organizing campaigns: 25 percent of employers illegally fire pro-union workers; 51 percent of employers illegally threaten to close down worksites if the union prevails; and, 34 percent of employers coerce workers into opposing the union with bribes and favoritism.

Fiction: "Legal recognition of a union has traditionally been achieved through secret ballot elections...just like how a person votes for a senator or congressman." - Center for Union Facts

FACT: Current union elections involving "secret ballots" bear no resemblance to political elections.

Workers' free speech rights are squelched, employers practice various forms of economic coercion, and labor law allows employers to indefinitely delay recognition through drawn-out appeals. Says University of Oregon political scientist Gordon Lafer: "The presence of secret ballots can't overcome the corrupt nature of NLRB elections ."

Fiction: NLRB elections are "the only way to guarantee worker protection from coercion and intimidation."- Coalition for a Democratic Workplace

FACT: Workers are more susceptible to coercion in NLRB elections than majority sign-up. Workers in NLRB elections are twice as likely (46 percent vs. 23 percent) as those in majority sign-up campaigns to report that management coerced them to oppose the union. Further, less than one in 20 workers (4.6 percent) who signed a card with a union organizer reported that the presence of the organizer made them feel pressured to sign the card.

Now, thanks to Wal-Mart over-the-top intimidation, there's greater awareness of the pernicious impact of such lies, and how fair treatment of workers in a troubled economy could be helped by the law Wal-Mart so vigorously opposes. And that's why there's a petition drive underway to gather a million signatures to get the next Congress to finally pass this long-overdue law.

It's small wonder that Wal-Mart is working so hard against the bill. As Andy Stern, the president of SEIU, observed:

"Wal-Mart's decision to use valuable resources to discourage its workers from joining a union should surprise no one. What is astonishing is that while Wal-Mart pays its employees dismal wages, the Walton family has made nearly $20 billion since last November on the rise in Wal-Mart's stock alone and Lee Scott was ranked as the highest paid CEO in consumer retail.

"Rather than adjusting the company's behavior to improve conditions for its employees, Wal-Mart has chosen to intimidate its workers to maintain the status quo. This time the company may have crossed the line."

*****
You can hear more about this year's election controversies, voting rights and the latest political trends on "The D'Antoni and Levine Show," with my co-host Tom D'Antoni, a Huffington Post blogger, every Thursday at 5:30 p.m., EST, at BlogTalk Radio. This week, hear SD Sen. James Abourezk and CounterPunch.com Editor Jeffrey St. Clair join us for a discussion of energy policy, McCain's ties to Big Oil, and the Presidential campaign.

Comments

[1sparrow]

maybe i wasnt clear, i meant to say, wal mart is hemmoraging dollars , k-mart is hemmoraging bucks. the considreration is dripping in buckets out their corporate ears - print that you chickens.

[WorkingClass]

Walmart wants you to vote Republican so that their employees will be unable to organize. Vote Republican? Hahahahahahaha!! Wallmart is going to have to sit down and RESPECTFULLY negotiate with its employees regarding the terms of their employment. Wallmart is going to have to sign a CONTRACT setting out said terms. Hahahahaha!!

[crease]

Wal-mart is the standard for what is wrong with this country today, greed and power.With our trade agreements that are so one sided how can Wal-mart not take advantage and the same goes for every other American company that hopped on the bandwagon of free trade.The lack of protectionist trade has lead to our downfall as a unionized nation with a large middle class that helped build the wealth and power of America.It looks like to me that the Robber Baron`s are back from the dead and are looting our country once again.If it weren`t for the greed and power of today`s Robber Baron`s and the past we wouldn`t have the need for unions in all sectors of the job market just a few in my mind like the Airline ,trucking and automotive industry`s and coal mining.Fre­e trade has given company`s the open door they needed to not have to have a union on company property.T­he sad part is due to power and greed from our gov`t on down we as a country have lost our integrity and respect among the world powers and their people.Neo­-liberal eccnomics only works for the wealthy corporatist of this country .

[therealredstateblues]

The only thing today's robber barons have in common with yesterdays is the looting and pillaging part.

At least the robber barons of old in their greed built factories, industries, infrastucture and inventions, while today's mercenary MBAs only know how to chop, cut, downsize and outsource.

[ssaz]

Walmart is the scourge of what is wrong with america. I'm a white, educated, white collar worker that has too-late recognized the value of blue colar workers in this country. We have turned over our souls to corporate america and it's the unions that kept that at bay until now. I would rather live in a country that supports the american way of life, families, hard working individuals than continue to earn my 100K+ salary. We have become a country willing to sacrifice the real soul of our country for a dollar. I'm personally sick of it. I come from a working class family and I'm sick and tired of watching my family and friends sink in the commercialization of the USA. When did we put the US constitution for sale by the highest bidder? Well, our president and constitution definitely has done that. We should ALL support local unions and better wages for the working class.

[Joeseo]

What line? Corporate America is in control of our country. They own our Congress and they can do anything needed to further its agenda. The Walmart meetings would not have even occured without the paid protection of legislators.

Dont think for a sec things will change.

[therealredstateblues]

There is an old saying that goes something like "If it weren't for bad management, there wouldn't be a need for a union"

[gorideabike]

Companies that get unions are generally the ones that deserve them.
Or. Treat workers well and they won't need to unionize.

[heal57]

This is a good thing. We need unions back. These workers at Wal Mart are underpaid and intimidated bythe big daddy corporate retail chain. I'd like to see some of these stores gone, with small business retailers taking their place with quality products and services.

[davefoc]

Another bash Wal-Mart article at HuffintonPost. Who could have predicted that? And no mention of the vast increase in purchasing power provided to millions of Americans because of Wal-Mart's low prices. Who could have predicted that a Wal-Mart article on HuffingtonPost would have failed to mention that?

And on the same day when an article about the disastrous situation at GM is being run on HuffingtonPost no mention of the role that unions played in creating that disaster. Who would have expected that a HuffingtonPost article about GM's problems wouldn't mention the role that unions played?

One thing union supporters often choose to ignore is the problems created when unions succeed at getting far above market wages for their workers. If one ignores the unintended consequences of course it all just looks wonderful. Evil corporations are forced to pay their workers what they justly deserve. But look to Detroit and see if all that matters is getting workers more money when the companies that pay them are destroyed.

[sssteverrr]

General Motors chose to build crap for too long and rely on trucks for to long, bad management taking the easy way out. Japanese manufactureres in the US pay the same wages.

General Motors failed America and Americans. It's the same old story, working for the stock price instead of the customer, it always fails sooner or later.

Wal-Mart is the largest employer in the US and its employees cannot afford to buy a new car from General Motors, you do the math jughead.

[therealredstateblues]

Pure BS

What big increased buying power? Walmart ad says that they save the average family $2800 a year (with all kinds of asterisks and small print I might add). The EPI says the average worker has lost $9000 in earning power from wage suppression and inflation. So thats a negative $6200 dollars less per year the average family has to spend in the economy

Also there is that tired old " blame the workers" red herring made so popular by right wing radio loudmouths. Management at big auto makes the decisions on product mix, quality, marketing, designs, fuel economy - not the union members.

[racom]

Another typical 'unions are the root of all evil' brainless comment. Unions are largely responsible for the high living standards in this country, the walmarts are responsible for undermining our way of life. The vast majority of products being peddled in walmart, by underpaid employees, are made in other countries by underpaid workers, often in sweatshop conditions. These products could be made here by us with living wages and decent conditions.
When professional people in this country have incomes that are in the 6 and 7 figures, how are living wages for working people a problem? What if walmart set the 'market wage' for all our economy? Are you ready to live on $18 k a year?

[therealredstateblues]

Retail workers work long hours, on their feet, with heavy lifting and dealing with rude and dificult customers for not much more than minimum wage on weekends and holidays. Whatever they're being paid its definitely not enough

[therealredstateblues]

And being able to buy more cheap and shoddy imported crap is hardly better off than buying more high quality products that last longer and therefore have an overall lower cost of ownership

[TheBlackCat]

So here's a question, if Wal-Mart is one of the most successful companies in the world, why are they receiving corporate welfare? How many of YOUR TAX DOLLARS are paying for Wal-Mart to continue it's expansion?

Why does Wal-Mart use its legal clout to avoid paying BILLIONS of dollars in taxes? Those local businesses they shoved out all paid THEIR taxes, but Wal-Mart shirks its LEGAL AND ETHICAL responsibility to the communities which make it wealthy.

Here is a great website that discusses these issues and also:

how Wal-Mart has greatly increased the poverty rate in the communities it enters

how Wal-Mart increases the unemployment rate of communities it enters

how Wal_mart forces employees to work overtime with no pay and threatens to fire them if they don't comply

how Wal-Mart denies its workers their legally entitled benefits- like workman's comp, because they know that if those employees then take them to court, their legal teams can dessimate them

how you can be successful AND fair to workers! Businesses like Costco which are hugely successful while giving their workers just compensation are highlighted.

how Wal-Mart's wages and benefits compare to other businesses, including the small ones they replace - big surprise, they pay the WORST in retail!!!


http://wakeupwalmart.com/research/

[StephenBarry]

America has gone down the toilet.

[arvay]

Let's hope this happens. Our capitalist system is currently unbalanced, employees have little or no power.

Strong, honest and intelligen­tly-manage­d unions would redress the imbalance.

[Paul]

Wal-Mart is making the best possible case for government healthcare.

Apparently no US corporation can be competitive if they have to offer decent health insurance.

So Wal-Mart is actually correct - let the government take care of it.

[MeanGreenMachine]

Collective Bargaining and Economic Boycotts are

the ONLY TOOLS

for the Average American to Fight Exploitation

by Corrupt Corporations and the Greedy Global Monied Elite.

THE BEST ECONOMY America ever experienced was when Union Membership was at its HIGHEST!

Corporations are NOT in the business of creating middle class wealth and stability,

THE AMERICAN WORKER,

the producer of EVERYTHING in America,

had to FORCE them to pay decent wages.

STAND UP to CORPORATE GREED!!!! BOYCOTT AND ORGANIZE!!!!!

[Paul]

Here is an idea: stop giving Christmas presents.

Christmas has been overly commercialized for far too long. Christ didn't come to earth so we could shop.

Give some money to charity, go to church and have a family dinner.

But stop giving gifts at Christmas.

[Liberal2]

Ummmm, hint: "Christ" didn't *COME* to earth. He, only the off-spring of a carpenter, was *BORN* here. How do I know this to be a fact? The Flying Spaghetti Monster told me during prayers.

Remember to keep Thor's birthday holy.

[mlaiuppa]

The only way to control Walmart is NOT TO SHOP THERE.

[DuganS1]

Business models are no different at companies like Target, Home Depot, Lowes, Best Buy, Dicks Sporting Goods, JC Penney, virtually any restaurant chain, etc. I don't understand why it is Walmart that always get singled out. Walmart is the biggest anti-poverty program this country has ever had. Even the poorest of the poor in the United States can buy all the TVs, microwaves, DVDs, clothes, shoes, silverware, video games, phones, stereos and anything else they want. Unionizing will only lead to closed stores because of strikes, higher prices because of higher wages, and generalized inflation throughout the country leading to a wage-price spiral and higher interest rates throughout the country.

[Liberal2]

Because WalMart created the business model....b­ut got it's start by proudly trumpeting all its goods were American-made. Now it uses its wealth to bribe Congress to protect its Chinese connection.

And as for your insights into economic "cause and effect," McCain has, in comparison, much to teach you about economics, grasshoppa.

[racom]

""Walmart is the biggest anti-poverty program this country has ever had"".
Some people have yet to learn that cream rises to the top and crap sinks to the bottom. Walmart has this country sinking to third world status in a race to the bottom. Pay little, no benefits, sell crap imported from the largest violater of workers rights in the world. What an excellent role model you have selected.
If you think all these retailers are the same you need to get out more. Ask the employees about their pay and benefits, you'll learn something. Go ask Costco employees, a great place to shop, they have some of the best employment packages found in retail.
""Unionizing will only lead to closed stores"" What about all the closed stores walmart has all over this country because the profit margin was too low. They kill all competition by undercutting prices, then with no competition they price as they please and then close the store, at their pleasure, and leave the community with no place to shop.

[bored2tears]

What?!

To claim that "Walmart is the biggest antipoverty program this country has ever had" is absurd.

If anything, Walmart is dedicated to increasing the poverty of its employees and the American conumer in order to continue to gain market share.

Nothing about Walmart's existence has done anything to alleviate poverty in this country.

[therealredstateblues]

You obviously have no clue about demand side economics

Paying higher wages so that one can afford the products and services they produce raises everyone's std of living.

There is no connection to wages and interest rates. In fact too low interest rates are largely responsibile for our current economic woes.