Wal-Mart: Unfair Employment Practices
Keller Graduate School of Management
MGMT 520 – Legal, Political and Ethical Dimensions of Business
Prof. Pamela Aurelian
April 13, 2015
Company Background 3
Sam Walton: Founder 4
Problems and Concerns 6
Ethical Issues 10
Employee Wages 13
Employee Benefits 16
Health Plan Policy Fine Print 18
Employee Treatment in Comparable Business 20
Team Work Breakdown 32
Wal-Mart, one of the largest retail chain stores in the world, has been openly condemned and sued for its iniquitous labor practices. The company’s ethical and legal issues have spiraled out of control leading to serious damage of employee morale. This paper presents a synopsis of how the Wal-Mart stores came into existence with a unique ideology of its founder, its development along with its changing times. It explores the problems and concerns dealing with labor, sexual harassment, gender and race discrimination and low wage rates. The paper further delves into the root causes of these unethical issues, examines employee compensation and benefits while providing the detailed analysis of how employees are treated in the given retail industry.
Recommended solutions for Wal-Mart are also addressed effectively aiming at the discussed unethical issues that are the core causes of low employee morale and basis for many of the lawsuits filed against the company. With the given strategies, we expect that Wal-Mart Inc. can improve its employee morale, stimulate motivation and restore trust in the company. At last, we hope to restore Wal-Mart’s official company purpose: “if we work together, we’ll lower the cost of living for everyone…we’ll give the world an opportunity to see what it’s like to save and have a better life” (Our Business, 2015).