MANAGING TALENT: How Wal-Mart Is Setting Pay at the Top ... and Bottom 1. MANAGING TALENT: How Wal-Mart Is Setting Pay at the Top ... and Bottom Alyssa Cash Kaplan University MT203: Human Resources Management – 02 Lisa Hone 02/15/2014 MANAGING TALENT: How Wal-Mart Is Setting Pay at the Top ... and Bottom 2. Walmart is one of the largest retail …show more content…
So knowing how much others get paid I looked up what the actual average is of a Walmart employee and found that “Wal-Mart’s average sale Associate makes MANAGING TALENT: How Wal-Mart Is Setting Pay at the Top ... and Bottom 3. $8.81 per hour, according to IBIS World, an independent market research group. This translates to annual pay of $15,576” (makingchangewalmart.org 2014) and not 12.20 average as the book states and nowhere near 25k a year. So knowing how much Wal-Mart’s workers are getting paid and looking at what the CEO made that year that’s 1,201 times the annual income those of other Wal-Mart associates. Now I know CEO position is one that comes from work and education not something you just come out of high school and obtain, however I believe a CEO pay should also be based on how well his company does in every aspect. If your turnover rates are extremely high, you’re being investigated for more than violation of the law, your workers are setting up food drives for themselves then yes I don’t think the pay he received was fair as it’s the general sales associates that are the backbone of the company. They are the first face that every customer sees, they are the ones responsible for the upkeep for all the stores, they are the ones to make sure to keep driving sales up and maintain the image Wal-Mart has always set for itself, and they should be taken care
(3) In an effort to replace foreign- sourced goods sold at Wal-Mart stores with American-made ones, Wal-Mart developed its “Buy American” program. By 1989, the company estimated it had converted or retained over $1.7 billion in retail purchases that would have been placed or produced offshore, and created or retained over 41,000 jobs for the American work force.
Gomez-Mejia, L., Balkin, D., & Cardy, R. (2012). Managing Human Resources (7th ed.). Upper Saddle River, N.J.: Prentice Hall.
In 1985 though, Walton knew he had to let his penny-pinching ways sit on the back burner. There was anxiety about trade deficits the loss of American manufacturing jobs, so Walton “launched a ‘Made in America’ campaign that committed Wal-Mart to buying American-made products if suppliers could get within 5 percent of the price of a foreign competitor.” By doing this, Walton showed customers and employees alike that the company has a conscience. Not only that, but even earlier Walton gave profit-sharing rights to employees in 1971. And as evidenced by the stock growth, that wasn’t a bad investment.
Keywords: human resources management, HRM, motivation, diversity, communication, recognition, relationships, performance, economic growth, recruiting, candidates, creativity,
Gómez-Mejía, L. R., Balkin, D. B., & Cardy, R. L. (2016). Managing human resources (7th ed.). Harlow: Pearson.
Porter, K., Smith, P. & Fagg, R. 2006. Leadership and Management for HR Professionals. 3rd Ed. Oxford
Dividends were assumed to grow at the geometric average of the last 6 years, 20.28%. P0 = D2 Dn Pn D1 + + ··· + + 1 2 n (1 + Ke ) (1 + Ke ) (1 + Ke ) (1 + Ke )n $1.58 $2.28 $87.31 $1.31 + + ··· + + = 1 2 4 (1 + 7.0%) (1 + 7.0%) (1 + 7.0%) (1 + 7.0%)4 = $72.53
2. Leatherbarrow, C., Fletcher, J. & Currie, D. (2010) Introduction to Human Resource Management. 2nd Edition. London: CIPD
Wal-Mart represents the sickness of capitalism at its almost fully evolved state. As Jim Hightower said, "Why single out Wal-Mart? Because it's a hog. Despite the homespun image it cultivates in its ads, it operates with an arrogance and avarice that would make Enron blush and John D. Rockefeller envious. It's the world's biggest retail corporation and America's largest private employer; Sam Robson Walton, a member of the ruling family, is one of the richest people on earth. Wal-Mart and the Waltons got to the top the old-fashioned way: by roughing people up. Their low, low prices are the product of two ruthless commandments: Extract the last penny possible from human toil and squeeze the last
Currie, D (2010). Introduction to Human Resource Management. 2nd ed. London: Chartered Institute of Personnel Development. 293
C. Leatherbarrow & J. Fletcher, 2014, Introduction to Human Resource Management, guide to HR in practice, 3rd edition, London, CIPD
Organizations that are committed to retaining good workers must also provide adequate compensation that allows employees to feel the organization cares about their needs. In order for Wal-Mart to remain competitive they must offer a compensation package that employees feel is fair and comparable to other organizations. If employees feel that the organization does not care or place any value on their individual needs employees may not remain with the organization and/or adapt the desired behaviors the organization requires, to provide superior customer service.
Wages and benefits are not the only complaints Wal-Mart is now facing. Recently, Wal-mart was accused of denying women equal pay and opportunities for promotion (Bianco, 2003). Wal-Mart attempts to distract from their past and present diversity issues by devoting an entire section of their webpage to this subject but until Wal-Mart can show statistical proof reflecting their claims of fair wages, good benefits, and equal treatment, the complaints by the unions and consumers will continue. These upper level management decisions are having a negative impact on the company and providing an unhealthy organizational culture for the organization.
Alexander, M., 2003. A handbook of Human Resource Management Practice. 9th ed. London: Kogan Page
The reading for this assignment covered human resource management. Items discussed in this chapter were the importance of human resource management in an organization, the planning process for human resources, how a manager needs to be familiar with U.S. federal laws and regulations, the steps in the employment process, and current issues faced by human resources. According to Dunlap & Garvin (2010), good employees can be the key to success in an organization. A human resources department has several important responsibilities that can affect an organization in either a positive or negative way.