Wal-Marts CEO is calling for a raise in the national minimum wage and is expanding health benefits for its workers.
Isnt that nice? But wait, Wal-Mart already pays its workers above minimum wage because it cannot attract the workers it wants for $5.15 an hour. If it could, it would. Always low prices. Always.
But some of its competitors can attract good workers at $5.15 an hour. Better hours, closer to the home and not having to wear the blue vest offset the financial difference. So what Wal-Mart really wants to do is have the government force higher costs upon its competition.
Hey, every big, huge company wants the government to erect barriers to competition. Environmental regulations are embraced by big companies because they can absorb the costs better than smaller companies. By posing the issue as helping his customers, the Wal-Mart CEO gains media brownie points.
But you know something? We pay clerks more to sell this stuff than the Chinese pay to make it. Something is awry here.
Cross posted at Florida Masochist and Don Surber.