Walmart’s Dickensian Internal Pay Policy Revealed – Poverty is Policy

via Huffington Post:

“The company website declares that “a job at Walmart opens the door to a better life” and “the chance to grow and build a career.” But interviews with 31 hourly workers and one former store manager reveal lives beset by paychecks too small to handle the bills, difficult to manage part-time schedules with hours subject to constant change, and little reason to hope for career advancement. Citing fear of losing their jobs, most spoke on the condition of anonymity.

The testimonials of these workers are confirmed by Walmart’s official compensation policy, an internal company document obtained by The Huffington Post, titled the “Field Non-Exempt Associate Pay Plan Fiscal Year 2013.” The plan details a rigid pay structure for hourly employees that makes it difficult for most to rise much beyond poverty-level wages.

Low-level workers typically start near minimum wage, and have the potential to earn raises of 20 to 40 cents an hour through incremental promotions. Flawless performance merits a 60 cent raise per year under the policy, regardless of how much time an employee has worked for the company.   As a result, a “solid performer” who starts at Walmart as a cart pusher making $8 an hour and receives one promotion, about the average rate, can expect to make $10.60 after working at the company for 6 years.

The Walmart pay plan is organized around seven levels of job difficulty for hourly workers, called Position Pay Grades (PPGs), ranging from cart-pushers (Level 1) and cashiers (Level 3), to cake decorators (Level 4) and customer service managers (Level 6). Each subsequent pay grade offers 20 to 40 cents more than the previous level, according to the document. This means that the base rate of pay for a top hourly position at Walmart, like a check-out supervisor, is $1.70 more than that of the lowest paying job.”

pdf of walmarts pay policy http://big.assets.huffingtonpost.com/Walmart_0.pdf

complete article at:

http://www.huffingtonpost.com/2012/11/16/walmarts-internal-compensation-plan_n_2145086.html

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