Wal-Mart’s Authoritarian Culture
By NELSON LICHTENSTEIN
NYT
Santa Barbara, Calif.
MONDAY’S Supreme Court decision to block a class-action sex-discrimination lawsuit against Wal-Mart was a huge setback for as many as 1.6 million current and former female employees of the world’s largest retailer. But the decision has consequences that range far beyond sex discrimination or the viability of class-action suits.
The underlying issue, which the Supreme Court has now ratified, is Wal-Mart’s authoritarian style, by which executives pressure store-level management to squeeze more and more from millions of clerks, stockers and lower-tier managers.
Indeed, the sex discrimination at Wal-Mart that drove the recent suit is the product not merely of managerial bias and prejudice, but also of a corporate culture and business model that sustains it, rooted in the company’s very beginnings.
In the 1950s and ’60s, northwest Arkansas, where Wal-Mart got its start, was poor, white and rural, in the midst of a wave of agricultural mechanization that generated a huge surplus of unskilled workers. To these men and women, the burgeoning chain of discount stores founded by Sam Walton was a godsend. The men might find dignity managing a store instead of a hardscrabble farm, while their wives and daughters could earn pin money clerking for Mr. Sam, as he was known. “The enthusiasm of Wal-Mart associates toward their jobs is one of the company’s greatest assets,” declared the firm’s 1973 annual report.
(More here.)
NYT
Santa Barbara, Calif.
MONDAY’S Supreme Court decision to block a class-action sex-discrimination lawsuit against Wal-Mart was a huge setback for as many as 1.6 million current and former female employees of the world’s largest retailer. But the decision has consequences that range far beyond sex discrimination or the viability of class-action suits.
The underlying issue, which the Supreme Court has now ratified, is Wal-Mart’s authoritarian style, by which executives pressure store-level management to squeeze more and more from millions of clerks, stockers and lower-tier managers.
Indeed, the sex discrimination at Wal-Mart that drove the recent suit is the product not merely of managerial bias and prejudice, but also of a corporate culture and business model that sustains it, rooted in the company’s very beginnings.
In the 1950s and ’60s, northwest Arkansas, where Wal-Mart got its start, was poor, white and rural, in the midst of a wave of agricultural mechanization that generated a huge surplus of unskilled workers. To these men and women, the burgeoning chain of discount stores founded by Sam Walton was a godsend. The men might find dignity managing a store instead of a hardscrabble farm, while their wives and daughters could earn pin money clerking for Mr. Sam, as he was known. “The enthusiasm of Wal-Mart associates toward their jobs is one of the company’s greatest assets,” declared the firm’s 1973 annual report.
(More here.)
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