Tag Archives: safety net

The Hidden Cost of Wal-Mart Jobs in public safety net use by low-paid employees

Interesting study from California whose results probably also apply to Georgia, showing that Wal-Mart pays about a third less than other retail companies, so little that Wal-Mart employees tend to use food stamps and public medical assistance and housing to stay afloat, which thus “creates a hidden cost to the state’s taxpayers.”

Arindrajit Dube and Ken Jacobs wrote for UC Berkeley Labor Center, August 2004, Hidden Cost of Wal-Mart Jobs: Use of Safety Net Programs by Wal-Mart Workers in California. According to the UC Berkeley Labor Center:

This widely publicized report finds Wal-Mart’s wage and health benefits packages for its California workers to be below average as compared to the overall retail sector in California. The authors also find a greater reliance upon public assistance programs among Wal-Mart workers as compared to other California retail workers. Finally, the authors estimate the additional costs to taxpayers of “Wal-Martization”—the adoption of Wal-Mart’s wage and health benefits standards by retailers throughout California.
Here is an extract from the study: Continue reading →

And poverty, and ignorance, shall swell the rich and grand —Charles Dickens

You, too, can end up in debtor’s prison, much more easily than you might think.

How America criminalised poverty: The viciousness of state officials to the poor and homeless is breathtaking, trapping them in a cycle of poverty:


Photograph: Robyn Beck/EPA
The most shocking thing I learned from my research on the fate of the working poor in the recession was the extent to which poverty has indeed been criminalised in America.

Perhaps the constant suspicions of drug use and theft that I encountered in low-wage workplaces should have alerted me to the fact that, when you leave the relative safety of the middle class, you might as well have given up your citizenship and taken residence in a hostile nation.

Maybe you think you’re safe, because you’re not out on the street. Think again: Continue reading →