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-- the company has a long, disturbing record of worker abuse, including forced overtime, some off-the-clock, illegal child and undocumented worker labor, and relentless union-busting; as a result, Wal-Mart faces numerous suits over unpaid overtime, denial of meal and rest breaks, manipulating time and wage records to cut costs, employing minors during school hours, and the largest ever class action discrimination lawsuit, involving over 1.5 million present and former female employees, paid less and promoted less often than their male counterparts.
In December 2008, Wal-Mart agreed to pay at least $352 million and up to $640 million to settle 63 federal and state class-action lawsuits from present and former employees over pay and other issues. According to Professor Paul Secunda of Marquette's School of Law, the company settled to avoid an even worse defeat, including what unionization might cost.
Overall, Wal-Mart treats employees punitively. They're overworked, underpaid, (many below the federal poverty line), denied benefits, discriminated against, punished for the slightest infraction, and treated like wage slaves.
In addition, its operations are predatory, punitive, and destructive as local businesses can't compete and go under, the result being lost jobs, broken lives, and harmed communities. Its also ruthless in pressuring global sweatshop suppliers for low prices, all the worse because the company wields such enormous power.
Study Exposes the Dark Side of Worker Exploitation in America's Three Largest Cities
From January to August 2008, the Center for Urban Economic Development, the National Employment Law Project, and the UCLA Institute for Research on Labor and Employment exposed the dark side of workforce exploitation in New York, Los Angeles and Chicago - revealing practices common throughout America, especially during the global economic crisis making workers more vulnerable and eager for any job.
Their findings documented flagrant workplace violations, core protections most Americans take for granted, including a guaranteed minimum wage, overtime pay, regular meal and other breaks, compensation for on-the-job injuries, and the right to bargain collectively. The study revealed:
-- below minimum wage pay;
-- unpaid overtime;
-- denial of meal and other breaks;
-- illegal pay deductions;
-- tip stealing for tipped workers;
-- illegal employer retaliation against workers demanding their rights or attempting to form a union; and
-- workers denied legal protection by being classified as independent contractors.
Most affected were workers in apparel and textile manufacturing, personal and repair services, and private household employment. Small companies were worse than larger ones. Hourly workers and those paid by company check were treated better than those getting a weekly wage or in cash. Immigrants, women, the foreign born, and others in vulnerable categories were most at risk, but all workers are affected to some extent.
The abuses documented are endemic in key industries throughout the country, and have a profound effect on workers, their families and communities, especially with true unemployment over 20% and increased job losses monthly during the worst economic crisis since the 1930s.
