Wal-Mart customers are the winners in a Feb. 28 ruling handed down by the Fort Worth regional office of the National Labor Relations Board (NLRB) concerning Wal-Mart’s case-ready beef program.
In an effort to stop Wal-Mart from offering its case-ready program, the highest quality meat product available to customers today, the United Food and Commercial Workers (UFCW) last year filed a charge against the retailer, calling the program unlawful and claiming the move was made by Wal-Mart to stop the union’s organizing efforts. The NLRB this week dismissed the charge, concluding, after a thorough investigation, that “no violation of the (National Labor Relations) Act could be found concerning the case-ready beef program.”
Go deeper with GlobalData
“When we began expanding our case-ready meat program, UFCW organizers not only attempted to stop us but immediately started going into our stores threatening our meat associates with the idea that they were going to lose their jobs,” said Charlyn Jarrells Porter, senior vice president of Wal-Mart’s people division. “They actually told our meat cutters that if they were lucky enough to keep their jobs, they would soon be working in the lingerie department selling women’s panties. It’s unfortunate that UFCW organizers resort to using scare tactics like this in an effort to upset our associates. During our expansion of case-ready meat, we made a firm commitment that no associates would lose their jobs or take pay reductions as a result of the expansion of case-ready meat, and we have kept this commitment.”
The facts in the case were strong and showed that Wal-Mart began selling case-ready poultry and ground beef in its Supercenters several years ago, and had been working for many months with IBP, a supplier of the product, to expand the product line. Additionally, it was shown that the retailer and its suppliers had invested a considerable amount of time and money to prepare for the program’s roll out.
“Our associates see right through these tactics, including the union’s main goal–getting into our stores any way they can, ultimately charging our associates union dues,” said Porter. “Wal-Mart associates have high integrity, and it is no wonder that UFCW organizers have a credibility problem with them. The bottom line is that this decision by the NLRB is good news for both our customers and our company. The driving force behind our expansion of case-ready meat has always been the desire to provide our customers with the best product available.”
Case-ready meat utilizes the leading technology in the meat industry today and is clearly the direction in which retailers are moving. Wal-Mart, in conjunction with its suppliers, has developed a product that offers customers the highest quality packaging used in the grocery industry today.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataCase-ready meat offers a variety of customer benefits, including a longer home-shelf life, better overall appearance, enhanced quality control, improved ability to keep meat products consistently in-stock, leak proof packaging and better tracking of the product.
“Customer reaction has been positive,” said Hibbing, Minn., Wal-Mart Meat Manager Richard Gibson. “Our meat associates like it because it gives them the opportunity to be out front helping our customers rather than in the back cutting room.”
With annual sales of $191 billion, Wal-Mart Stores, Inc. operates more than 2,600 discount stores, Supercenters and Neighborhood Markets, and more than 470 SAM’S CLUBS in the United States. Internationally, the company operates more than 1,070 units. Wal-Mart employs more than 962,000 associates in the United States and 282,000 in other countries. The company’s securities are listed on the New York and Pacific stock exchanges under the symbol WMT.
Last year Wal-Mart associates raised and contributed more than $190 million to support communities and local non-profit organizations. FORTUNE Magazine has named Wal-Mart the third “most admired” company in America and one of the 100 best companies to work for in America, and Americans named Wal-Mart the company they think of first in supporting local causes and issues, according to Cone, Inc. More information about Wal-Mart can be located on- line at walmartstores.com. The SAM’S CLUB Web site can be accessed at samsclub.com. And more information about Wal-Mart’s Good.Works. community involvement is available online at walmartfoundation.org.
