Wal-Mart, the nation's largest employer other than the federal government, is squarely in the cross-hairs of liberals who hate that it's not unionized.
Citigroup downgraded Wal-Mart Stores Inc (WMT.N) to “hold” from “buy” saying the proposed card check legislation would increase labor costs and could be a significant drag to earnings for the world’s largest retailer.
“We believe that WMT would be the primary target if EFCA/card check were to be passed,” analyst Deborah Weinswig wrote in a note to clients.
If the unions are successful, the company would have to concede higher wages for more seasoned employees, increase employee benefits significantly, and would experience diminished workforce flexibility, the analyst said.
Wal-Mart has done more to enable poor people to afford nice things than all government, handout programs put together. But it remains union-free. This infuriates liberals who have sold their souls for union support come election time. This dreadful card-check bill will raise prices at Wal-Mart significantly. But socialist liberals don't care about the poor, they only care about inflating union rolls because all that money comes to democrats during elections. The last thing we need is for hundreds of thousands of Wal-Mart workers to become lazy, worthless, slackers because as union laborers, they can't be fired.
Labor markets are like any other markets. They are subject to supply and demand forces. At Wal-Mart, the jobs pay exactly what the market dictates they should pay. If they were too low, people by the hundreds wouldn't be applying for each job opening. Obama and the democrats have union favors to return and card-check is how they're doing it.
Wal-Mart should go John Galt if card-check is passed. They should announce that they are closing up shop and moving to China and Europe. It would serve the democrats and the thankless employees who want to unionize right.