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Vermont Sen. Bernie Sanders is expected to attend Walmart’s (WMT) annual shareholders’ meeting next month, as part of a push for the U.S.’s largest employer to appoint hourly store associates to its board of directors.
Walmart’s annual confab, set for June 5, is attended by nearly 14,000 employees and investors in Bentonville, Arkansas. In news first reported by The Washington Post, workers rights group United For Respect extended an invitation to the Democratic presidential contender to introduce a shareholders' proposal at the meeting, which Sanders has accepted.
The group’s proposal asks that Walmart adopt a policy of “promoting significant representation of employee perspectives” by requiring that the initial list of candidates for new board nominees include hourly associates.
“At a time of deepening racial and economic divide and insecurity, hourly Associates can guide a more fair, inclusive, and equitable corporate ecosystem that bridges differences,” the group wrote, citing Walmart’s large number of women, black and Hispanic employees.
The retail giant’s pay practices have come under fire by worker advocates and politicians like Sanders, who argue Walmart doesn’t pay its employees a fair wage. Last week, the company released data showing it pays its hourly workers nearly double the federal minimum wage, but that failed to mollify some of its critics.
“Walmart’s pay is so low that a full-time Associate (at 34 hours a week, Walmart’s definition of full time) earning Walmart’s starting wage can still fall below the federal poverty line for a family of three,” UFR said, hitting Walmart’s stock buyback policy.
“While the share repurchases generated tremendous returns for shareholders, those gains were not shared by hourly Associates, many of whom have not had a decent raise in years and struggle to support their families,” the group stated. “If given a voice in corporate decision-making, hourly Associates can ensure that all stakeholders benefit from and help grow the company.”
Pushing for higher pay
According to United For Respect’s website, the group has pushed for a base wage of $15 per hour for its associates and "similar raises for long-term associates,” among other demands.
The group also wants a seat for hourly workers on the board of directors to "ensure we have a say in decisions that impact our work and our lives.”
In a statement to Yahoo Finance, Walmart said it will respond to specific shareholder proposals once they are formally presented at the meeting.
“If Senator Sanders attends, we hope he will approach his visit not as a campaign stop, but as a constructive opportunity to learn about the many ways we’re working to provide increased economic opportunity, mobility and benefits to our associates — as well as our widely recognized leadership on environmental sustainability,” the company added.