Maryland legislation to be used as a model for statehouses nationwide

WAL-MART REFORM GROUP, FIVE STONES, APPLAUDS MARYLAND BILLTO IMPROVE HEALTH COVERAGE FOR WAL-MART EMPLOYEES; WILL USE LEGISLATION AS MODEL FOR STATEHOUSES NATIONWIDE

For Immediate Release
Thursday, April 07, 2005

Five Stones, a new non-profit organization working to reform the business practices of retailing giant Wal-Mart, announced today that it is launching an initiative to build upon and expand this week’s votes by the Maryland legislature to force Wal-Mart to boost spending on health care for its employees.

The success in Maryland of the bill – known as the “Fair Share Health Care Bill”, which mandates that Wal-Mart spend at least 8 percent of its Maryland payroll on health care – was spearheaded by Maryland for Health Care and a statewide coalition of over 1,000 groups representing the health, business, and community interests of Maryland citizens.

Building on the momentum of this initiative and similar efforts already underway in seven other states, early next week Five Stones will disseminate copies of the Maryland legislation to every state legislator in all fifty states.  As well, the group will commit organizational and financial resources to help enact similar legislation in statehouses nationwide. (States currently considering similar legislation include Oregon, Washington, Colorado, Iowa, Illinois, New Hampshire, and Rhode Island.)

Said Andy Grossman, executive director of Five Stones, “We congratulate the 15,000 Maryland Wal-Mart employees for whom health care coverage will become more affordable.  The passage of the legislation in the Maryland House and Senate is a testament to the strength and determination of Maryland for Health Care and the coalition of supporters.  Occurring the same week that Wal-Mart CEO Lee Scott offered an excuse for its abysmal health care record by saying Medicare is ‘so lucrative it’s hard to be competitive’, this legislative victory is a sign that the corporation’s employment practices can and will be improved.”

THE FACTS: Wal-Mart’s record on health care coverage for its employees falls short on coverage, affordability, and access.  More than 60% of its employees – 600,000 workers nationwide – do not have coverage and the monthly premiums for employees who elect for family coverage runs as high as $300 per month.  And in 2002 the company further limited access to its health care coverage by requiring full-time associates to be employed for six months before being eligible.


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