The Walmart 1 Percent: The Facts on Connecticut

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The Walmart 1 Percent in Connecticut

AFFILIATIONS OF THE WALMART 1%:

 

 

The Walmart 1 Percent’s Influence in Connecticut Politics

The Walton family in politics

The Waltons’ political contributions in Connecticut follow a pattern similar to other states: no Waltons live there, yet they contributed to candidates for Congress from the state, and a majority of that money went to Republicans. Between 1990 and 2010, the Waltons gave $5,500 to Democrats from Connecticut running for Congress and $12,454 to Republicans.[1]

Walmart in politics

Similarly, 70% of the Walmart PAC’s $111,750 contributions to candidates from Connecticut in federal races went to Republicans between 1990 and 2010.[2]

 

 

Walmart’s Impact on Connecticut’s Employment Picture

Impact of Walmart stores on retail and other jobs

Based on data available through Walmart’s website, there were 8,584 Walmart associates in Connecticut as of January 31, 2012.

According to a 2006 study, for every retail job created at Walmart, communities lose 1.4 retail jobs.[3] Based on the findings of this study, we estimate that, if Walmart had no stores in Connecticut, there would be an additional 3,434 retail jobs in the state.

Impact of Walmart’s China sourcing on jobs

Based on an estimate of Walmart’s share of the U.S.-China trade deficit, we can estimate that Connecticut lost an estimated 2,539 jobs as a result of Walmart’s practice of sourcing heavily from China.[4]

 

 

Walmart’s Cost to Connecticut Taxpayers

Taxpayer subsidies for Walmart

Walmart is the world’s biggest company.[5] But despite its colossal financial resources—the company brought in $444 billion in revenue last year[6]—it’s habitually dipped into public coffers to finance its expansion into almost every corner of the United States.[7] In the absence of centralized information or databases on economic subsidies, Good Jobs First, an economic policy and research non-profit, has done extensive research to document the subsidies Walmart has received, and has published the data on Walmart Subsidy Watch. Here’s what GJF uncovered in Connecticut.

Taxpayer healthcare costs

Tens of thousands of Walmart associates and their families qualify for Medicaid and other publicly subsidized care. Indeed, according to data compiled by Good Jobs First, in 22 of 24 states which have disclosed information, Walmart has the largest number of employees or dependents on the public rolls of any employer.[8]

In Connecticut: In both a January 2005 report and a 2011 update, Walmart was at the top of the list of Connecticut employers with the most employees’ children enrolled in HUSKY Part A, the state’s Medicaid program.[9]

 

 

More Walmart stores coming to Connecticut

Here’s a list of Walmart stores planned or rumored to be opening in Connecticut:[10]

  • West Hartford: Neighborhood Market, Bishops Corner Shopping Plaza
 


[3] The Effects of Wal-Mart on Local Labor Markets. December, 2006. David Neumark, Junfu Zhang, Stephen Ciccarella.

[4] These numbers are estimates.   To arrive at these estimates, we used the report by the Economic Policy Institute that estimated U.S. jobs lost to China by state from 2001-2008. We then multiplied that number by 9.3%, which is the proportion of the overall U.S.-China trade deficit that EPI estimated to be tied to Walmart. We arrived at that number from this study.

[5] As measured by revenue; “Fortune Global 500 2011: The World’s Biggest Companies – Wal-Mart Stores,” http://money.cnn.com/magazines/fortune/global500/2011/snapshots/2255.html

[6] “Walmart reports Q4 EPS from continuing operations of $1.51; Walmart U.S. delivers positive traffic and positive comp sales in Q4,” press release dated February 21, 2012, http://investors.walmartstores.com/phoenix.zhtml?c=112761&p=irol-newsArticle&ID=1663026&highlight=

[7] “Shopping for Subsidies: How Wal-Mart Uses Taxpayer Money to Finance Its Never-Ending Growth,” by Philip Mattera and Anna Purinton, Good Jobs First, May 2004.  http://www.goodjobsfirst.org/sites/default/files/docs/pdf/wmtstudy.pdf

[8] “Disclosures of Employers Whose Workers and Their Dependents are Using State Health Insurance Programs,” Good Jobs First report, version dated January 18, 2012.  http://www.goodjobsfirst.org/corporate-subsidy-watch/hidden-taxpayer-costs.

[9] “Disclosures of Employers Whose Workers and Their Dependents are Using State Health Insurance Programs,” Good Jobs First report, version dated January 18, 2012.  http://www.goodjobsfirst.org/corporate-subsidy-watch/hidden-taxpayer-costs.

[10] Information on planned or rumored stores collected by Making Change at Walmart.

Legal Disclaimer: UFCW and OUR Walmart have the purpose of helping Wal-Mart employees as individuals or groups in their dealings with Wal-Mart over labor rights and standards and their efforts to have Wal-Mart publically commit to adhering to labor rights and standards. UFCW and OUR Walmart have no intent to have Walmart recognize or bargain with UFCW or OUR Walmart as the representative of Walmart employees. Judges have preliminarily enjoined non-Associates who are part of the UFCW International or OUR Walmart from entering Walmart property in Arkansas (read the order here), Florida (read the order here), and Maryland (read the order here). A California judge has enjoined non-associate agents of the UFCW and OUR Walmart from engaging in certain activities inside CA Walmart stores. Click here for a copy of the order.

© 2012 Making Change at Walmart