View Full Version : Wal-Mart to cut benefit costs by 'discouraging unhealthy people from working at Wal-

10-26-2005, 05:48 AM
(Originally posted at The Subjective Scribe (

From The New York Times (

An internal memo ( sent to Wal-Mart's ( board of directors proposes numerous ways to hold down spending on health care and other benefits while seeking to minimize damage to the retailer's reputation. Among the recommendations are hiring more part-time workers and discouraging unhealthy people from working at Wal-Mart.

In the memorandum, M. Susan Chambers, Wal-Mart's executive vice president for benefits, also recommends reducing 401(k) contributions and wooing younger, and presumably healthier, workers by offering education benefits. The memo voices concern that workers with seven years' seniority earn more than workers with one year's seniority, but are no more productive.

To discourage unhealthy job applicants, Ms. Chambers suggests that Wal-Mart arrange for "all jobs to include some physical activity (e.g., all cashiers do some cart-gathering)."

The memo acknowledged that Wal-Mart, the world's largest retailer, had to walk a fine line in restraining benefit costs because critics had attacked it for being stingy on wages and health coverage. Ms. Chambers acknowledged that 46 percent of the children of Wal-Mart's 1.33 million United States employees were uninsured or on Medicaid.

> more (

Always the lowest wages and benefits. Always.

Bruce over at This is Class Warfare ( offers some of his own thoughts about the matter. Read it here (

10-26-2005, 06:09 AM
A lot of employers are doing this. My employer, Cingular Wireless, recently sent out information regarding our upcoming open enrollment for next year's health, dental, vision, etc. insurance.

Within this information, there are several comments about taking steps to not become sick, try holistic remedies, and basic preventative practices to avoid going to the doctor.

I could be wrong, but I just get the feeling that the company is more concerned with the bottom line than with its employees health.