Implied Dissent

Wednesday, August 30, 2006

If people got what they want

Regarding Wal-Mart. Meaning they paid their employees like Costco pays theirs. Well, if we assume that the changes wouldn't affect sales, roughly doubling compensation per employee would result in roughly 75% layoffs (based on the two chain's sales per employee). Yes, this result would take some time to work its way through the whole company, and there is a good chance that because Wal-Mart's logistics aren't set up to operate in this way it would keep more employees at many of its stores. On the other hand, for the same reason, it's likely that many of its stores would close completely, i.e., 100% layoffs and leaving certain areas woefully underserved. Sounds great! Let's do it.


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