Weekly Update for Elected Officials: Sept. 24, 2008
Check out this week’s issue of the Wal-Mart Watch Weekly Update for Elected Officials – a compilation of Wal-Mart news from across the country and beyond.
This week’s issue begins with reports of price gouging on the part of Wal-Mart. What’s truly abhorrent about these reports, however, is that they are being made by the very people affected most by the recent cavalcade of hurricanes to batter the Gulf coast. The Arkansas News Bureau and The Consumerist have more on these stories.
You’ll also find major news on the legal front. The U.S. Equal Employment Opportunity Commission has filed its second lawsuit against Wal-Mart in less than three weeks. The first involves the Americans with Disabilities Act in Illinois; the second involves age discrimination against a 67-year-old optician in Missouri. In addition to the EEOC lawsuits, Wal-Mart will now have to face another class action wage/hour lawsuit. Salvas v. Wal-Mart was originally certified as a class action back in 2004. Since then the case has gone back and forth through the Massachusetts court system, eventually being decertified and winding up in front of the Massachusetts Supreme Judicial Court on appeal. Well, the SJC released its opinion this week, ruling that the decertification was improper and that the lawsuit should be reinstated as a class action. A trial is possible, which could cost Wal-Mart hundreds of millions of dollars in unpaid wages and damages. The Boston Globe and Boston Herald have the story.
Also check out the Product and Food Safety Report, where you’ll find stories on BPA (and a class action lawsuit regarding the chemical that includes Wal-Mart), dangerous soccer goals and baby cribs sold at Wal-Mart, and a pet food recall involving Purina products sold at the retailer.
And finally, check out our “Stateside” and “Wal-Mart International” sections to find out what’s going on with Wal-Mart around the country and across the globe.
Wal-Mart Watch Weekly Update for Elected Officials [September 24, 2008]
Posted by Corey Himrod on Wednesday, September 24 | 2 comments | Permalink
FLORIDA SITE FIGHT: RESIDENTS WANT SECOND WAL-MART PRESENTATION IN ESTERO
Community asks for second Wal-Mart presentation on Estero store [News-Press (Fla.)]
The Estero Council of Community Leaders wants Wal-Mart representatives to present its revised plans for a store on U.S. 41 and Estero Parkway at its November meeting.
The retailer is already scheduled to attend the Estero Community Planning Panel meeting on Nov. 17.
The community leaders are scheduled to meet on Nov. 21.
Wal-Mart officials met with Estero residents last week and announced that they want to start construction on their 228,000 square-foot store before the widening of a 2.5 mile stretch of U.S. 41 begins.
Lee County Commissioners approved the project in 2004, stipulating that Wal-Mart construction could not start until the road work began.
The two presentations are expected to be identical, said Don Eslick of the ECCL.
The project has community-wide appeal, he said, explaining why the ECCL wants Wal-Mart on its November agenda.
Posted by Luke West on Wednesday, September 24 | 0 comments | Permalink
GEORGIA SITE FIGHT: WAL-MART PLAN UNVEILED FOR ALBANY
Wal-Mart plans unveiled [Albany Herald (Ga.)]
ALBANY — The Albany City Commission took a first big tangible step toward bringing a Wal-Mart shopping center to East Albany at the commission’s business meeting Tuesday night by unanimously agreeing to a rezoning request that will allow developers to move forward with the planning of the development.
Project Civil Engineer Mike Ranks of the Greenville, S.C., firm Freeland and Kauffman told commissioner the rezoning request would allow developers to provide four access roads to the shopping center.
“As we’ve developed the site plan, access has become a major concern,” Ranks said. “After conducting a traffic study of the region, we’ve made appropriate changes to allow for greater distance between the existing traffic signal and a proposed new signal (both on Cordele Road).”
Asked by Mayor Willie Adams if the traffic signal proposal met Department of Transportation requirements, Ranks said since Cordele is a city-controlled street, the city will make the ultimate decision on the location of the traffic signal.
Also see: Albany City Commission discuss plans for new Wal-Mart [WXFL-TV (Ga.)]
Read the rest of this story ...
Posted by Luke West on Wednesday, September 24 | 0 comments | Permalink
Another Survey Finds Wal-Mart Charges More for Groceries in Low-Income Neighborhoods.
Back in April, the Denver Post conducted a survey of grocery prices at Wal-Mart supercenters in several Denver neighborhoods. Over a number of weeks, the survey found Wal-Mart charged more for groceries at its stores in low-income neighborhoods than in higher income areas. As the article noted, “It’s not cheap being poor.”
A survey done recently in Florida corroborates those findings. WKMG in Central Florida went to several Wal-Mart stores in neighborhoods of varying income levels and found consistent price disparities at each. In each case, products were cheaper in higher income areas.
This trend points to a pricing scheme that takes advantage of lower income shoppers who can’t afford to drive to a competing store for groceries. Wal-Mart might claim to help people “Save Money” and “Live Better,” but there’s nothing charitable about taking advantage of consumers already struggling to get by. To those of you with multiple Wal-Marts in your area: have you noticed this trend?
Wal-Mart Price Discrepancies Investigated [WKMG-TV (Fla.)]
Apparent cost discrepancies at Central Florida Wal-Mart stores were investigated after the Problem Solvers received a tip from a viewer alleging different prices for the same items.
Read the rest of this story ...
Posted by Alex Goldschmidt on Tuesday, September 23 | 76 comments | Permalink
Now At Wal-Mart: Upload Your Photos Directly to National Media, Beverage Containers
It’s been a big day for Wal-Mart photo centers. Early this morning, news broke that an employee at a Louisiana Walmart store stole compromising photos of Jamie Lynn Spears, with intent to sell the images to the media. Because Jamie Lynn is a minor, and because getting your personal photos copied and sold by your photo developer is creepy, Wal-Mart could potentially face penalties for the act.
But that’s not all. News ALSO comes today that the retailer has partnered with Jones Soda, maker of delicious and unusually-flavored colas, to let customers order custom-printed soda cans at Wal-Mart photo centers. Just when you thought you’d never find soda packaging that embodied your life outlook, Jones Soda has made it possible.
We really hope these two events aren’t somehow connected. It’s bad enough that stories about Jamie Lynn flooded our Google alerts this morning: it’d be even worse if we have to see her staring out at us from the soda case at the deli, too. And for those of you interested, you don’t have to go to a Wal-Mart to get your face on a Jones soda can: you can order a six-pack right on their website, and yes, we’re planning to get a case.
Jones Soda introduces myJones at Wal-Mart photo centers [Smart Briefs]
Celeb-a-razzi: Wal-Mart may be in trouble over Brit, Jamie Lynn photos [Detroit News]
Posted by Media Team on Tuesday, September 23 | 3 comments | Permalink
TENNESSEE SITE FIGHT: SHELBY COUNTY COMMISSION PUTS CORDOVA PROJECT ‘ON HOLD’
County Commission puts Cordova Wal-Mart ‘on hold’ [Memphis Business Journal (Tenn.)]
The Shelby County Board of Commissioners voted on Monday to hold for one month Wal-Mart Stores Inc.’s application to build a 152,000-square-foot Supercenter at the corner of Houston Levee and Macon in Cordova.
The controversial project will on Tuesday come before Memphis City Council, which may or may not hold it.
The Memphis and Shelby County Land Use Control Board approved the project in July. It was followed by an official letter of appeal from Gray’s Creek Association, one of the neighborhood groups opposing the project.
Since then, several neighborhood groups have formed an umbrella organization called Citizens for Sustainable Growth, which is represented by attorney Brian Stephens.
Both Stephens and Wal-Mart’s representative, Dennis Alpert, said after the county commission meeting that they are pleased with the decision to delay a vote on the project.
“It will give us time to continue to mobilize people,” Stephens said.
Said Alpert: “More time is always better.”
Based in Bentonville, Ark., Wal-Mart Stores Inc. (NYSE: WMT) is the world’s largest public company, according to Fortune 500.
County Commission Briefs: Panel puts off Wal-Mart vote [Commercial Appeal (Tenn.)]
Shelby County commissioners delayed for four weeks acting on a request to reverse an earlier approval of Wal-Mart’s bid to put a Supercenter at Macon and Houston Levee roads.
Commissioner Wyatt Bunker moved Monday for the hold to allow all of his fellow members a chance to vote on the controversial issue, in which Wal-Mart wants to put a 151,908-square-foot store at the intersection of two two-lane roads. Commissioners Steve Mulroy and George Flinn were absent.
But more than 75 concerned citizens were present to oppose the retail giant. They were led by a coalition of community groups that formed after the Land Use Control Board approved Wal-Mart’s plan in July.
The group will ask the Memphis City Council for the reversal at today’s meeting. Wal-Mart needs approval from both bodies to move forward on the project.
-- Pamela Perkins
Posted by Luke West on Tuesday, September 23 | 0 comments | Permalink
FLORIDA SITE FIGHT: MORE ON WAL-MART AND TARPON SPRINGS
Tarpon Panel To Hear Wal-Mart Site Plan [Suncoast News (Fla.)]
TARPON SPRINGS - The city Planning and Zoning Board will hear Wal-Mart’s request to amend the site plan for the retailer’s proposed 203,077-square-foot Supercenter on U.S. 19 near Beckett Way.
The Planning and Zoning Board, which meets at 7 p.m. tonight will make its recommendation to the City Commission. Commissioner will make a final determination on Oct. 21.
Several environmentalists, including members of Concerned Citizens of Tarpon Springs, a group adamantly opposing the development of the discount store-supermarket combo, plan to tell the board the Supercenter should not be built in an environmentally sensitive area abutting the Anclote River.
Wal-Mart officials told the city proposed modifications to its existing site plan involve minor reshaping of the building’s footprint and parking lot area, including reconfiguration of a bus stop to prevent loss of wetlands.
Environmentalists argue the modification creates new wetland impacts that should be considered.
City Attorney James Yacavone has recommended the Planning Board only consider those portions of the site plan that Wal-Mart is proposing to change. The parts of the plan a Circuit Court judge has ruled are valid should not be reconsidered, the attorney has said.
Posted by Luke West on Tuesday, September 23 | 0 comments | Permalink
Wal-Mart Accused of Gouging More Prices for Hurricane Victims
News broke last week that Wal-Mart raised gasoline prices at its stores in Texas just before Hurricane Ike hit the area. Consumers in the area didn’t fail to notice, despite the coming storm. Texas state law protects against price gouging, especially during a disaster or emergency.
Now, news from Arkansas tells that the Attorney General there will subpoena “30 gasoline retailers” as part of an investigation into gas price hikes around the time of Hurricane Ike. Though the article doesn’t list the gas retailers in question, we assume it includes Wal-Mart, which has several dozen gas stations in the state. From the news brief on the Arkansas News Bureau’s website:
Arkansas law prohibits businesses from raising prices for motor fuel, food and certain other products by more than 10 percent within 30 days of a declaration of emergency. Violators can be fined up to $10,000 for each transaction in which a customer is overcharged. Fuel prices in Arkansas rose dramatically over a three-day period during the storm’s mainland trek.
Consumerist also brings news of price gouging, but in a different place and on different items. A company insider in Kentucky explains the price of pre-charged cell phone batteries shot up to $19 a piece - almost doubling in cost, in some cases - in the days preceding the hurricane. When power was knocked out to parts of the state, the store sold out of batteries despite the higher price. From Consumerist:
Now today all of our car chargers go up nearly 50%. In fact, every charger, car or wall, in our store is a flat $19.00, when car chargers were $10.00 and wall chargers were $15.00 yesterday. This is hardly a coincidence, and it’s so blatently obvious to our customers. I can’t believe Walmart would do something so totally against their own mantra of Save Money, Live Better. This is more like “Raise Prices, Screw Suffering Customers!”
Price gouging disaster victims is exploitative and potentially illegal - but also destroys the good publicity Wal-Mart frequently seeks after natural disasters. The company holds high profile donation events and invites professional photographers, but clearly isn’t committed to helping disaster victims when there’s no PR benefit for the company.
For those of you who have visited a Wal-Mart store before or after a disaster or emergency, have you noticed higher prices on essentials?
Posted by Alex Goldschmidt on Monday, September 22 | 10 comments | Permalink
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