The Ethical Issues of Walmart

Walmart, the biggest retailer in the world, often finds itself under a microscope when it comes to ethics. This giant company impacts millions of people, from customers to employees and suppliers, all over the globe. Sure, Walmart’s known for its efficient business model and low prices, but it’s also faced a lot of criticism for various ethical issues. In this essay, I’m gonna dive into these concerns, mainly focusing on how they treat their workers, their environmental footprint, and what they do to local communities.

I’ve got some solid evidence and reliable sources to back this up.

Labor Practices

Walmart’s way of handling labor has been a hot topic for critics. They say the company cares more about profits than its employees’ well-being. One big issue is how much they pay their workers. According to a report from the Economic Policy Institute in 2021, Walmart’s average hourly wage is way lower than the national retail average. Plus, a lot of workers are part-time, making it tough for them to earn enough to live on. A 2019 study by the Brookings Institution even found that many Walmart employees depend on public assistance programs because their wages just don’t cut it.

Then there’s the issue of benefits, or the lack of them. Walmart’s been slammed for not offering enough healthcare coverage. A 2015 report by the National Bureau of Economic Research showed that Walmart’s health insurance plans aren’t as good as those from other big retailers. So, employees end up paying more out of pocket, which is tough when they’re already earning low wages.

And let’s not forget about Walmart’s stance on unions. The company’s been accused of trying to bust unions, like spying on employees and shutting down stores where workers were trying to organize. A 2020 report by Human Rights Watch highlighted several cases where Walmart allegedly retaliated against workers who tried to form unions, which messes with their right to collective bargaining.

Environmental Impact

Walmart’s impact on the environment is another big concern. The company has made some moves towards sustainability, like aiming for zero emissions by 2040. But critics say these steps aren’t enough given how massive Walmart is. A 2019 study by the Institute for Local Self-Reliance pointed out that Walmart’s supply chain is very carbon-heavy, leading to a lot of greenhouse gas emissions.

Walmart’s sourcing practices also raise eyebrows. The company has been blamed for contributing to deforestation and environmental damage in supplier countries. A 2018 investigation by the Rainforest Action Network found that Walmart got palm oil from suppliers involved in deforestation in Indonesia, despite the company’s promises for sustainable sourcing.

Waste is another big issue. Walmart produces a huge amount of plastic waste, much of which ends up in landfills or oceans. A 2020 report by the Environmental Investigation Agency said Walmart hasn’t done enough to cut down on plastic waste. The report noted that Walmart made little progress in getting rid of single-use plastics, even though they said they would.

Community Effects

Walmart’s effect on local communities is pretty complicated. On one hand, they create jobs and sell cheap goods, which can help low-income families. But these benefits often come with some big downsides for local economies.

One of the biggest impacts is the so-called “Walmart effect.” A 2016 study by the National Bureau of Economic Research found that when a Walmart store opens, lots of small businesses close down, leading to job losses and less economic variety. This can mess up the social fabric of communities because small businesses often act as community hubs.

Walmart’s real estate practices have also been criticized for causing urban sprawl. The company often builds large stores away from town centers, which can lead to more car use and the decline of town centers. A 2017 report by the Sierra Club pointed out that Walmart’s stores are often hard to reach by public transport, making social and environmental issues worse.

Conclusion

Walmart’s business practices bring up a lot of ethical issues that need serious thought. From how they treat their workers to their less-than-stellar environmental policies and the way they affect local communities, the concerns are many and complicated. While Walmart has tried to address some of these issues, there’s still a lot of work to be done. As consumers, workers, and citizens, we need to keep holding big companies like Walmart accountable, pushing them to adopt more ethical and sustainable practices that benefit everyone, not just their profits.

Did you like this example?

275

11