poverty wages

Ever wondered why buying new often worked out cheaper than buying at charity shops ?

Foreign workers making clothes for high street fashion chain Primark are existing on as little as 7p an hour . The report also claims workers making clothes for Asda and Tesco are paid similar amounts. The anti-poverty charity War on Want also said Primark was ignoring the rise in basic living costs in the Bangladeshi capital Dhaka, leaving workers worse off than they were two years ago.

Workers claimed they needed the equivalent of £44.82 a month to feed their families and pay for clean water, shelter, clothes, education , health care and transport. War on Want said the average worker earned £19.16 a month, with the majority living in small, crowded shacks, many lacking plumbing and adequate washing facilities.

War on Want campaigns and policy director Ruth Tanner said: "Primark, Asda and Tesco promise a living wage for their garment makers. But workers are actually worse off than when we exposed their exploitation two years ago."

Wal-Mart - Anti-union

Wal-Mart , the owners of the supermarket chain , Asda , reveal what happens when capitalists feel threatened by democracy - they use their influence and access to voters to swing the vote . This from the Wall St Journal (via Harry's Place blog)

Wal-Mart in the USA is mobilizing its store managers and department supervisors around the country to warn that if Democrats win power in November, they'll likely change federal law to make it easier for workers to unionize companies -- including Wal-Mart.

In recent weeks, thousands of Wal-Mart store managers and department heads have been summoned to mandatory meetings at which the retailer stresses the downside for workers if stores were to be unionized. Wal-Mart executives claim that employees at unionized stores would have to pay hefty union dues while getting nothing in return, and may have to go on strike without compensation. Also, unionization could mean fewer jobs as labor costs rise.

Wal-Mart don't specifically tell attendees how to vote in November's election, but make it clear that voting for Democratic presidential hopeful Sen. Barack Obama would be tantamount to inviting unions in .

Wal-Mart has fought hard to keep unions out of its stores, flying in labor-relations rapid-response teams from its Bentonville, Ark., headquarters to any location where union activity was building. The United Food and Commercial Workers was successful in organizing only one group of Wal-Mart workers -- a small number of butchers in East Texas in early 2000. Several weeks later, the company phased out butchers in all of its stores and began stocking prepackaged meat. When a store in Canada voted to unionize several years ago, the company closed the store, saying it had been unprofitable for years.

ASDA in the UK have followed moreorless the same policy of discouraging and restricting unions

Exploiting kids

Wal-Mart ( ASDA here in the UK ) prides itself on cutting costs at home and abroad, and its Mexican operations are no exception. Wal-Mart is taking advantage of local customs to pinch pennies at a time when its Mexican operations have never been more profitable. 19,000 youngsters between the ages of 14 and 16 work after school in hundreds of Wal-Mart stores, mostly as grocery baggers, throughout Mexico—and none of them receives a red cent in wages or fringe benefits.

The use of unsalaried youths is legal in Mexico because the kids are said to be “volunteering” their services to Wal-Mart and are therefore not subject to the requirements and regulations that would otherwise apply under the country’s labor laws. Although Wal-Mart’s worldwide code of ethics expressly forbids any “associate” from working without compensation, the company’s Mexican subsidiary asserts that the grocery baggers “cannot be considered workers.”

Wal-Mart is Mexico’s largest private-sector employer in the nation today, with nearly 150,000 local residents on its payroll. Wal-Mart de Mexico reported net earnings of $1.148 billion in 2006 and $280 million in profits in the second quarter of this year, a 7 percent increase in real terms over the same period last year and have announced plans in February to add 125 new stores and restaurants to its existing network of 893 retail establishments during the course of 2007. That expansion plan will represent new investment totaling nearly a billion dollars

In a country where nearly half of the population scrapes by on less than $4 a day, any income source is welcome in millions of households, even if it hinges on the goodwill of a tipping customer. But says Federal District Labor Secretary Benito Mirón Lince. “In economic terms, Wal-Mart does have the capability to pay the minimum wage [of less than $5 a day], and this represents an injustice.”