Although a notorious recipient of “corporate welfare,” Walmart has now admitted that their massive profits also depend on the funding of food stamps and other public assistance programs.
Common Dreams reports that in it’s statement to stockholders, “filed with the Security and Exchange Commission last week, the retail giant lists factors that could potentially harm future profitability. Listed among items such as “economic conditions” and “consumer confidence,” the
company writes that changes in taxpayer-funded public assistance programs are also a major threat to their bottom line.
“The company writes:Our business operations are subject to numerous risks, factors and uncertainties, domestically and internationally, which are outside our control … These factors include … changes in the amount of payments made under the Supplement[al] Nutrition Assistance Plan and other public assistance plans, changes in the eligibility requirements of public assistance plans …
“Walmart, the nation’s largest private employer, is notorious for paying poverty wages and coaching employees to take advantage of social programs. In many states, Walmart employees are the largest group of Medicaid recipients.However, this report is the first public acknowledgement of the chain’s reliance on the funding of these programs to sustain a profit.According to Stacy Mitchell, senior researcher with the Institute for Local Self-Reliance, the irony of their admission is that Walmart “is the company that has done, perhaps, more than any other corporation to push people into poverty.” Continue reading “Walmart says it gains from worker poverty”
McDonald’s Corp. Chief Executive Don Thompson, presiding over his first annual shareholders meeting since taking the helm of the fast-food chain last summer, defended the company’s efforts to market to children, reports the Wall Street Journal
“Several speakers associated with Corporate Accountability International, a nonprofit corporate watchdog that put forward a proposal calling on McDonald’s to conduct an assessment of its nutrition initiatives, accused the company of contributing to the country’s obesity problem by targeting children, particularly minorities. McDonald’s CEO defended mascot Ronald McDonald, saying the fast-food chain isn’t the cause of obesity.Mr. Thompson, McDonald’s first African-American chief executive, said the criticism hits close to home and staunchly defended McDonald’s marketing practices.
“We are not the cause of obesity. Ronald is not a bad guy,” Mr. Thompson said Thursday “He’s about fun. He’s a clown. I’d urge you all to let your kids have fun, too.” Continue reading “Defending Ronald”
There is more student loan debt outstanding — $1 Trillion — than credit card debt! And the government is making a huge profit on it — an estimated 36 percent profit margin, reports the Huffington Post
“Here’s the real shame: The government gets to borrow for 10 years paying less than 2 percent interest on U.S. Treasury notes, while students must pay 6.8 percent interest on the loans they get from the government!
“The government is ripping off college students, leaving them with a burden of debt that averages $27,000, and for many exceeds $100,000, while they are forced to pay above-market interest rates.
“Students will spend so much time and pay so much interest getting out of student loan debt that most will never be able to afford to buy a home. Today’s homebuyers can get a 3.5 percent, 30-year fixed-rate mortgage. But today’s students may never get to take advantage of today’s low mortgage rates, because the government demands twice that rate to pay off their student loan debt. Continue reading “Let’s actually talk about student loans”