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According to the analysis Deep Analysis: Why Wal-Mart Should Increase Income Standard for Its Workers, researchers had the following findings -
1. Aid workers living in Poverty
About half of the increased wage would go in to families in poverty. Those workers can gain around $1600 to $6500 more per year which greatly aids their poverty status.
Check how the low income families can benefit from increased Walmart wages?
Check how much Walmart workers can increase in more details?
2. How the wage increasing in ways affect consumers?
It’s not mean that Wal-mart will suffer a lot by increasing its minimum wage, in fact, as to the report, even Wal-mart passed all of the money investing to increase wages to consumers; it only increases price by 1.1% or no more than $0.5 for each shopping process which is quite small. On the other hand, because of many factors involved to control ups and downs of price, price increase can also be absorbed by other reasons.
Check how increasing income affects consumers or not?
Conclusion:
Walmart should increase minimal wage level because it will help increasing minimal wage and at the same has very little effect on consumers.
This report conducted in April, 2011, was a deep research conducted by UC Berkeley Center for Labor Research and Education, which is an institute in UK Berkeley, mainly focusing on public services and links academic researches to workers since 1964. Ken Jacobs, one the main authors, is the chairman of California university, Berkeley.
Background:
“Strong evidence that Wal-Mart jobs in metropolitan areas pay less (Walmart jobs (check walmart jobs high salary rankings) such as managers, pharmacists and other positions not counted in) and are less likely to offer benefits than those they replace.”
As to the report here, certain Wal-Mart jobs paid less compared to before and the other workers and thus the benefits Wal-Mart workers gain also become less. As to their deeper analysis, Wal-Mart retail workers earn more than 12% less than the average income for retail workers, about 14% less compared to those large retail workers. Healthy covers decrease as well.
How increased Wal-Mart Jobs earnings affect workers and consumers?
Estimate:
We calculated how increased Wal-Mart Jobs earnings affect workers and consumers based on the following estimates:
Results:
Results will be shown in next post.
Resources: