The Lies Wal-Mart Tells

WAL-MART WATCH

Wal-Mart spends millions of dollars each year on public relations hoping to counteract the negative impact the company's business practices have on its reputation. In the process, Wal-Mart's representatives misrepresent the company, even lying to protect its fragile reputation. These are some of the most common lies the company tells - and truth behind the spin.

Lie #1: Wal-Mart Only Builds Stores in Communities That Want It
"If they don't want Wal-Mart in their community, then just say it. Don't hide behind all this malarkey." – Lee Scott [CNNMoney, 4/6/05]

Lie #2: Wal-Mart Does Not Source from Sweatshops
“When we buy merchandise, we realize that our orders touch factory workers and their communities around the world. As we reflect on the impact of our sourcing, we recognize that success goes beyond financial results alone.” [“Letter from Lee Scott,” Wal-Mart’s 2006 Ethical Sourcing Report]

Lie #3: Wal-Mart Provides Quality Health Care for Its Employees
“At Wal-Mart, we are firmly committed to providing comprehensive and affordable health care benefits for our associates. We will continue to make sure our workforce has access to the health care they need, at prices they can afford. But no one business can solve this country’s health care crisis alone, and we welcome the opportunity to work together as we address these issues.” – [Wal-Mart Health Care Benefits Overview for 2008]

Lie #4: Wal-Mart Buys Locally
“We cannot continue to be a solvent nation as long as we pursue this current accelerating direction. Our company is firmly committed to the philosophy by buying everything possible from suppliers who manufacture their products in the United States.” [Sam Walton, Wal-Mart Press Release, 3/13/85]

Lie #5: Wal-Mart Saves Its Customers $2500 Annually
“In 2007, new research from Global Insight shows the retailer now saves American families $2,500 each year, up 7.3 percent from $2,329 in 2004.” – [Wal-Mart press release, 9/12/07]

Lie #6: Wal-Mart Is Not Interested in Consumer Banking Operations
"Wal-Mart is absolutely and unequivocally committed not to engage in branch banking," Jane Thompson, president of Wal-Mart Financial Services, testified at the first day of the hearings. "In fact and in practice, Wal-Mart is clearly committed to supporting community banking, not undermining it." [AP via USA Today, 4/10/06]

Lie #7: Wal-Mart Has Grassroots Support
"Working Families for Wal-Mart is committed to fostering open and honest dialogue with elected officials, opinion makers and community leaders that conveys the positive contributions of Wal-Mart to working families." – Working Families for Wal-Mart Organizational Website [forwalmart.com, 2/28/06]

Lie #8: Wal-Mart Is Going “Green”
"Sustainability 360 takes in our entire company -- our customer base, our supplier base, our associates, the products on our shelves, the communities we serve...And we believe every business can look at sustainability in this way. In fact, in light of current environmental trends, we believe they will and soon." – Lee Scott [Wal-Mart press release, 2/1/07]

Lie #9: Wal-Mart Treats Its Employees Fairly
“To commit ourselves to giving the associates more equitable treatment in the company, was without a doubt the single smartest move we ever made at Wal-Mart.” [Sam Walton: Made in America, 169]

Lie #10: Wal-Mart Likes Its ‘Low Prices’ Image
“We've only had one real problem with "Metro 7," and that is, we're having a hard time keeping up with the demand in our stores.” – Tom Schoewe [Lehman Brothers Annual Retail Conference, 5/2/06]

Lie #11: Wal-Mart Pays Its Fair Share of Taxes
“All taxpayers should have the right to rely on clearly defined tax laws that are reasonably and fairly enforced.'' – John Smiley, Wal-Mart Spokesman [Wall Street Journal, 1/6/2008]