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Tuesday, April 2, 2013

Outsourcing Damages

Walmart, the worlds largest retailer, has driven down wages in its retail bring chain by outsourcing jobs in American w atomic number 18houses, according to a work issued Wednesday by a low-wage workers advocacy group.

The report, from the National meshing Law Project (NELP), said that Walmarts famously low prices stock up a hidden cost for the workers employed in the companys dissemination centers throughout the U.S.

Although these workers handle Walmart goods, many of them technic every last(predicate)y work for subcontracted logistics companies and temporary worker firms, where wages are low and labor law violations are common land, the group said.

Contracting out is becoming increasingly common in many of the nations largest and fastest-growing industries, the report stated. These outsourced workers toiling on Walmarts behalf toil at the bottom of a complex hierarchy of intermediaries and in alternative employment schemes that commit them vulnerable to significant worker rights abuses and unsure where to seek redress.

Dan Fogleman, a Walmart spokesman, said that the report paints a misleading picture of the companys dispersion network.

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The labor unions have political and financial agendas in play, so its no surprise that unions and the special interests compiling this report are once again distorting the facts about Walmart, Fogleman said. We hold all of our contractors and their subcontractors to the highest standards and expect and require them to comply with all applicable laws. third party [distribution centers] are a fraction of our U.S. logistics network. We have to a greater extent than 120 company-owned and operated facilities across the country that directly support more(prenominal) than 70,000 Walmart jobs. That helps us meet the ask of our stores and our customers, many of whom are live paycheck to paycheck and count on Walmart to provide them the things their family needs at a price they can afford.

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