This is just disgusting all around:
Wal-Mart, like many other leading corporations, is on the front lines in the cultural battle over the role of business in society. The problem for Wal-Mart is its business model – keeping its costs low so it can pass those savings to consumers – fails the CSR test. CSR {CSR=corporate social responsibility. -- Ed.} supporters want the company to increase its overhead by paying higher wages, providing health care for all its workers, and guaranteeing workers rights by having its employees unionized.Consistent with those themes, liberal shareholder proposals presented at the annual meeting pressed Wal-Mart to close the pay disparity between hourly workers and executives, to deal with the healthcare issue and to provide workers rights.
While Wal-Mart has not yielded to these demands, the company is not immune from the social and political pressure. To seek relief and improve its image Wal-Mart is appeasing the Left by meeting with Al Gore on global warming, pressuring green mandates on its suppliers and joining the Service Employees International Union (SEIU) in a press conference calling for universal health care.
Most concerning is the possibility that Wal-Mart might actively support government funded universal health care as a way to shift its employee health care problem to the U.S. taxpayer and ease one major area of criticism. Turning Wal-Mart into a lobbyist for the Left’s agenda represents a serious risk to the free market and, if successful, expands the role of government in our lives.
This is destructive beyond simple rent-seeking, and is truly, truly disgusting. But columnist Thomas J. Borelli (a shareholder activist himself) has a positive suggestion:
In addition, Wal-Mart should use its marketing muscle to sell Ayn Rand’s timeless novel Atlas Shrugged into millions of homes. The book provides insight and perspective regarding the nature of Wal-Mart’s conflict: capitalism vs. socialism; the risk posed by rent seeking corporate executives; and government interference in the free market.
He ends with a bang, too. Read the whole thing.
Should Wal-Mart executives decide to become advocates for socialized medicine, shunning and boycotts would not suffice. One traditional alternative does suggest itself, though, and it's got a more all-American feel than the Molotov cocktail.
Posted by Craig Ceely at June 16, 2007 04:20 PM