A big worry for Wal-Mart
Investors should be very worried by implications that Wal-Mart’s squeezing productivity out of its workforce — it’s ultimately not good for workers, frustrated customers, or long-term shareholders. On an even higher level, Americans should be outraged because more companies should do their best to start hiring right now, since that’s the only way our real economy will improve: People need jobs in order to spend. It’s that simple.
Wal-Mart is a truly behemoth company. Surely it can figure out ways to hire more people and give them wages and benefits that will help chip in for a healthier economy for everyone, including its own business. If it doesn’t, it’s simply a short-term-minded dinosaur in the making, and eventually investors will feel the long-term ramifications, such as increased customer defections and a sullying of the brand forever.
The article Why Wal-Mart Needs More Workers originally appeared on Fool.com and is written by Alyce Lomax.
Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.