In Thursday's USA Today, I read an article about Walmart and some internal memo recommending that the company consider changes to their hiring policy that would "dissuade unhealthy people from coming to work at Wal-Mart." What is going on with this company?? The article first stated that Wal-Mart's CEO Lee Scott was trying to improve its relationship with the public by offering new health insurance options for its thousands of workers. The memo was written by vice president of benefits, Susan Chambers to the board of directors, and the memo's intent was to try and cut health care and other benfit costs to the company.
The memo contained proposals that would redesign job descriptions and benefits to attract healthy job applicants, and former California congressman Tony Coelho, who was also the primary author of the Americans with Disablities Act, said, "The arrogance of this really trouble me." He further stated that "No company should be able to discriminate against an employee on the basis of age, level of fitness, disability or potential cost to the company."
Princeton economist Uew Reinhardt says many employers are trying to find ways to cut down on company health care costs and many are attempting to force out older workers in favor of younger, less costly workers. The memo included five steps to cut benefit costs to Wal-Mart: health insurance with high annual deductibles, designing all job descriptions to include physical activity, and offering education benefits that would only appeal to younger job applicants. Chambers said, "It will be far easier to attract and retain a healthier workforce than it will be to change behavior in an existing one."
Wal-Mart, the nation's biggest and wealthiest corporation already operates with questionable tactics where its employees are concerned. Critics say that Wal-Mart's tactics are both an economic issue in the United States as well as a moral issue, as America's most successful retail company continues to pay low wages, offer skimpy health benefits, and has a poor environmental record.
I for one would like to see Wal-Mart taken down a few notches but, it will take a concerted effort on the part of the American consumer before this will ever happen....but it could happen. A recent Gallop Poll survey this month saw consumers rating moral values No. 4 among their top economic worries...perhaps Wal-Mart should be more careful about who gets a hold of its internal memos. Even this retail Goliath can be slain!
Note: This 27 page memo was released to The New York Times by a labor union-backed group. This article concerning the memo appeared in USA Today Thursday, October 27,2005 and was written by Julie Appleby.