Monday, August 04, 2008

Do We Get it Yet?

I just read the WSJ article describing Wal Mart's attempt to influence its employees' vote. It seems Wal Mart has been holding meetings with its people inwhich they warn them that a Democratic win could mean the Employee Free Choice Act will become law thus making it easier for workers to unionize, which is bad news for Wal Mart as they rely on low wages to feed their business model. (Employers hate the Free Choice Act because it will basically thwart the effectiveness of anti union campaigns.)

Two things. First, this is just an ugly and heavy handed move by Wal Mart. Second, does it strike anyone else as perverse that one of the world largest and most profitable companies would claim that it cannot afford to pay its employees better? Shouldn't we be questioning any economic system that seems to require workers to be paid less, not more? Is that the future we want for America?

An interesting side note, the NLRB just ruled that Wal Mart engaged in unfair labor practices by firing a pro union employee and threatening to withhold merit pay. Luckily for Wal Mart, the ruling comes two years after Wal Mart won the union election, so their tactics paid off. It is situations like this that reflect the need for the EFCA.

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