Wal-Mart, Costco, And America's Future

Neil Pierce writes about a struggle that may shape the nation's economy for a century.

1 minute read

December 2, 2005, 10:00 AM PST

By Abhijeet Chavan @http://twitter.com/legalaidtech


"Across state capitals, legislators are into spirited debates over whether Wal-Mart should be forced to pay adequate health benefits or leave it to the states to subsidize its low-paid workers through Medicaid and other public benefits.

...a Business Week analysis shows Costco's average hourly wage is $15.97, far above the Wal-Mart (Sam's Club) $11.52 figure...The yearly employer contributions to health care -- Costco, $5,735; Wal-Mart, $3,500. Of Costco employees, 82 percent are covered by the health plan; Wal-Mart, 47 percent. Employee turnover at Wal-Mart is three times higher than Costco's. And then comes the clincher, suggesting the low-road approach may not be so clever after all..."

Tuesday, November 22, 2005 in The Washington Post Writers Group

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