Employee Wages and Work Hours Program at Walmart
Wal-Mart has been reporting a net income that averages over $11 billion in the last few years. Nonetheless, with the high net income, the company has failed to remedy or address its questionable practices in the marketplace. There are numerous claims about the company’s violations of wage law, exploitation of workers, insufficient healthcare, and the company’s anti-union standpoint. In addition, the company often cites higher wages contrary to what it actually offers to its workforce, for instance, the company’s associate workers make an estimated $8.81 per hour. As such, employees who work full-time, that is, thirty fours per week according to the full-time definition of the company, make $15,500 in a calendar year. Accordingly, it is evident that most of the people who work full-time at Wal-Mart live under the poverty line (Neeley and Dumas 27).
Moreover, Wal-Mart pays its employees less than what other retail firms pay their workforce. A study that compared other merchandising employers with Wal-Mart, established a wage gap of over 17.4% whereby Wal-Mart employees earn less as compared to other retail employers. Therefore, this study endeavored to offer policy outlines on the best practices that will promote the welfare of the employees through equitable wages, work hours’ program, and other benefits such as healthcare.
1.2 Topic and Purpose of the Study
Wal-Mart has been in the center of criticism based on its policies on employees. There is argumentative evidence proving the company’s position on employees’ low pay, lack of health insurance for some workers, questionable dignity regarding the job, company heavy dependence on part-time and low participation and recognition of the workers.
In view of the above-mentioned challenges facing employees, this study focused on the particular problems affecting employees. In doing so, this report undertook a critical evaluation of policy formulation by Wal-Mart in an endeavor to develop and implement employee wages and work hour’s program, which attempts to promote workers’ satisfaction while at the same time the company, remains globally competitive.
The findings from this study will be essential in informing retail industry stakeholders on the best practices that promote employee satisfaction, participation, and recognition. Similarly, the study findings will provide a framework under which employers can address many employee issues such as healthcare insurance, low wages, exploitation, and part-time working. Lastly, the study findings will add knowledge to the existing scholarly literature.
This study begun by examining programs that can be implemented to address employees’ low pay at Wal-Mart. Similarly, this report undertook a critical evaluation on program implementation that seeks to address work hours’ program for the employees while aligning the wages and working hours. In doing so, the report focused on the ways in which the company will ensure employees recognition and participation through objective policy formulation and implementation on the part of the company.
Additionally, this study evaluated techniques of promoting competitiveness of the company through elaborate employee satisfaction. Accordingly, this report concludes by giving a summary of key findings, and finally offers program recommendations that Wal-Mart can implement to solve employee wages and work hours’ program.
2.0 Research Methodology
This study relied on a descriptive research design with a solid focus on the qualitative approach.
Secondary sources of data were crucial for this report more particularly from journals, magazines, internet, theses, and other relevant academic literature. The sources offered previous research findings on various programs that can address employees’ stalemates on low pay, health insurance, their recognition and participation, benefits, and exploitation. Additionally, there exist prior recorded statements of the Wal-Mart employees, which proved imperative in achieving the objective of the study.
This study relied exclusively on relevant sources from the internet, which provided an overview of the operations of Wal-Mart.
The descriptive data obtained from secondary sources of data was through purposive sampling method. Purposive sampling also referred to as judgmental sampling reflects a category of non-probability sampling where the researchers investigate study units based on their own judgment(Shneerson and Gale, Pg. 852).
Qualitative data presentation from this study was undertaken through descriptions, paragraphs, and notes.
In light of the appraised secondary sources of data, it is evident that taxpayers across the United States continue to feel the impact of Wal-Mart’s low wages. According to the findings of Democratic staff and House Committee on Workforce and Education report, low wages highly characterize Wal-Mart, which still happens to be the highest provider of private employment. In addition to that, the company continues to face scrutiny in comparison to other companies more particularly on issues surrounding health care programs. Statistically, more Wal-Mart employees have registered for various public programs based on healthcare in comparison to other employers in the United States. For instance, by the end of the year 2012, an estimated 3,000 workers had enrolled for public health facilities in Wisconsin. Therefore, it is imperative to develop and implement policies, which can empower Wal-Mart employees towards sustainable economic relations in the United States (Prakash and Skemp 377).
One of the explanations depicted on low health status of the Wal-Mart employees resonates well with low wages coupled with irregular working hours. Conversely, the rate of wage increment does not anchor well with the number of hours worked. The disproportionate variance greatly affects the health status and productivity of employees. As such, the appraised secondary sources of data provide the following policies as frameworks for addressing employee wages and working hours, a case study of Wal-Mart.
One of the mechanisms of dealing with employee problems on wages, benefits, and working hours is through formulation of Short Term Disability Basic plan. The plan provides employees with job security when they are unavailable to discharge their duties and responsibilities due to medical reasons such as injury, illness or sickness and maternity(Garnero et al., 941). Additionally, the plan offers weekly salary packages for the employees when they are away from work up to a period of twenty-six weeks. Similarly, there are other equitable programs, which can accompany the disability plan. For instance, Wal-Mart can develop a workable employee package that permits them to receive payment while they are off duty to allow them address to extended health issues (Berg et al., 822).
On top of that, rebuilding the salary or grade structure is an imperative step of addressing employee wages and work hours. There should be pay compression that ensures employee payments correspond from grade to grade. In doing so, companies will address the existing huge disparity in employee remuneration, thereby fostering productivity and performance that originates from equitable satisfaction. Employers should undertake equitable adjustments regarding their employees such that there is proper establishment of relationships between remuneration and performance rate or level (Berg et al., 811)
Besides that, it is established that employers should peg their payment ranges to the market. Structurally, all companies should strive to provide payments that resonate well with what other companies are offering in the market. Therefore, there is need for companies to review employees’ salaries at least once a year to remain structurally competitive within the market (Prakash and Skemp 379). Moreover, evidence indicates that companies should strive to promote their employees rather than periodically hiring new ones to take up top positions. Job and performance analysis should inform managers on competent employees to promote in certain positions. Accordingly, such practices will improve performance and reduce employee turnover.
Similarly, companies can undertake reassessment of employees to ascertain whether they match well with their job descriptions. In light of that, companies can identify performers and underperformers, therefore, laying groundwork for compensation, promotion, salary increment, and job reassignment.
Lastly, the paramount technique of handling employees work hours is through development of flexible working hours. As such, companies should formulate flexible work arrangements that enable employees to achieve a steady balance between work and life. Accordingly, employees should choose the working hours that they are comfortable with while at the same time companies allowing them to attend to family emergencies (Neeley and Dumas 23).
4.0 Summary, Conclusion and Recommendations
The study found that organizational employers could seek to improve productivity by formulating packages and plans that foster employee welfare in circumstances that they have to stay away from undertaking their duties. Such plans provide employees with job security when they are unavailable to discharge their duties and responsibilities due to medical reasons such as injury, illness or sickness and maternity (Garnero et al., 949). Moreover, the plan offers weekly salary packages for the employees when they are away from work up to a period of twenty-six weeks. One of the mechanisms of dealing with employee problems on wages, benefits, and working hours is through formulation of Short Term Disability Basic plan.
On top of that, this study found that organizations could address the complaints of employees’ wages and other benefits by rebuilding the grade structure in light of employee remuneration. In doing so, companies will address the existing huge disparity in employee remuneration, thereby fostering productivity and performance that originates from equitable satisfaction.
Similarly, the study affirmed that companies should align workers’ payment with market provisions. Structurally, all companies should strive to provide payments that resonate well with what other companies are offering in the market. Therefore, there is need for companies to review employees’ salaries at least once a year to remain structurally competitive within the market. Moreover, evidence indicates that companies should strive to promote their employees rather than periodically hiring new ones to take up top positions.
Furthermore, the study found that organizations could embark on employee reassessment as a mechanism of determining performance. Organizational reassessment enables company managers to carry out promotions, salary increment, compensation, and job reassignment.
Moreover, the study established that implementation of flexible working hours helps to address employees’ work hour complaints. The flexibility allows companies to formulate flexible work arrangements that enable employees to achieve a steady balance between work and life. Further to that, it allows employees to choose working hours that they are comfortable to work.
The study concludes that companies increase or improve productivity by formulating packages and plans that foster employee welfare in circumstances that they have to stay away from their duties. Such plans could be handy in medical reasons such as injury, illness or sickness, and maternity. It concludes that companies address wage complaints of employees by compressing the grade structure. In doing so, companies address the existing huge disparity in employee remuneration, which results to equitable satisfaction.
Lastly, the study indicates that organizations address employees’ wages and working hours’ stalemate through proper frameworks of wage alignment with the market, job reassessment, and flexibility on work arrangements.
The study recommends Wal-Mart management to introduce plans and other packages that allow employees to stay away from work while at the same time receiving payments. Employee absence could be due to medical reasons such as injury, illness or sickness and maternity. Accordingly, disability plans anchor well with the expectations of the workers. It also recommends Wal-Mart to align its wages with those in the market. This study found that, Wal-Mart continues to underpay its employees in comparison to other merchants in the same industry. Structurally, Wal-Mart should strive to provide payments that resonate well with what other companies are offering in the market. Therefore, Wal-Mart should review employees’ salaries at least once a year to remain structurally competitive.
Moreover, the study suggests that Wal-Mart should address employees’ wages and other benefits by rebuilding the grade structure in light of employee remuneration. In doing so, Wal-Mart will address the existing huge disparity in employee remuneration, thereby fostering productivity and performance that originates from equitable satisfaction.
In addition, the study encourages Wal-Mart to undertake a reassessment of its employees as a framework of defining performance. In doing so, Wal-Mart will lay a foundation for future promotions, salary increment, compensation, and job reassignment for its employees, therefore, solving the current stalemate.
Lastly, the study proposes Wal-Mart to implement flexible working hours as a mechanism of addressing the current complaints. Flexibility will allow Wal-Mart to formulate work arrangements that enable employees to achieve a steady balance between work and life. On top of that, it will allow employees to choose working hours that they are comfortable to carry out their duties and responsibilities.
Works Cited
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For Analyzing Diversity Across Countries.” Industrial & Labor Relations Review 67.3 2014. 805-837. Print
Garnero, Andrea, Stephan Kampelmann, and François Rycx. “Part-Time Work, Wages, And
Productivity: Evidence From Belgian Matched Panel Data.” Industrial & Labor Relations Review 67.3 2014. 926-954. Print.
Neeley, Tsedal B., and Tracy L. Dumas. “Unearned Status Gain: Evidence From A Global
Language Mandate.” Academy Of Management Journal 59.1 2016. 14-43. Print.
Prakash, Anna P., and Brittany B. Skemp. “Beyond The Minimum Wage: How The Fair Labor
Standards Act’s Broad Social And Economic Protections Support Its Application To Workers Who Earn A Substantial Income.” ABA Journal Of Labor & Employment Law 30.3 2015. 367-387. Print.
Shneerson, Catherine L., and Nicola K. Gale. “Using Mixed Methods To Identify And Answer
Clinically Relevant Research Questions.” Qualitative Health Research 25.6 2015. 845-856. Print.