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PEP Dec. 2005
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Public Employee Press

The World of Work
Wal-Mart’s everyday low pay hurts local economies

Wal-Mart depresses wages where it opens stores.

That’s the conclusion of a study, “The Effects of Wal-Mart on Local Economies,” by the Public Policy Institute of California.

The study found the company’s everyday low wages dragged down overall pay in areas near its stores.

Besides decreasing the pay of unskilled workers, Wal-Mart increases local Medicaid costs because many of its workers can’t afford the company’s health care plan.

 

 
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