Which company is "exploiting" their employees the most?

Beyond Saving
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Which company is "exploiting" their employees the most?

See if you can put these companies in order from the one that takes the most profit per employee to the one that takes the least. IOW, if the company were do decide to distribute 100% of their profits to their employees, which employees would be getting the largest raise? Good luck!

Costco

Starbucks

Walmart

Darden (Olive Garden, Red Lobster etc.)

Berkshire Hathaway Inc. (Warren Buffett)

Whole Foods

Kroger 

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X


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Costco? Oh yea those higher

Costco? Oh yea those higher wages and unions suck. Yes their employees are shouting "pay me less, I have too much money".

But I am sure you have data you'll twist like a bible thumper to prove your point.

 

Moo Cluck Moo pays starting $12 and averages $14, I am sure their workers are shouting "NO NO PLEASE PAY ME 8 BUCKS AN HOUR"

 

Sorry, we had 30 years of the argument of "lower wages will produce more jobs". Trickle down is failed policy.

Now to be fair, Kroger I can believe. My biological mother got her hours and benefits cut, don't even know if she still works there. And Wallmart most certainly.

 

 

 

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Brian37 wrote:Costco? Oh yea

Brian37 wrote:

Costco? Oh yea those higher wages and unions suck. Yes their employees are shouting "pay me less, I have too much money".

But I am sure you have data you'll twist like a bible thumper to prove your point.

No data twisting necessary, it is all publicly available data as all of these are publicly traded companies which are required by law to accurately report this information. Profit per employee is calculated by simply dividing the number of employees into net profit- which is the amount of money a company has left after all operating expenses (including payroll) and taxes. Net profit does not include any money the company decides to spend on capital expenditures like building new stores, fixing old stores etc.

 

Brian37 wrote:

Now to be fair, Kroger I can believe. My biological mother got her hours and benefits cut.

 

So you believe that Kroger and Walmart take higher profits per employee than Costco? Go ahead, take a stab at the list and see how close to reality you come. TBH, I probably wouldn't have gotten it perfect either.

 

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X


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Beyond Saving wrote:Brian37

Beyond Saving wrote:

Brian37 wrote:

Costco? Oh yea those higher wages and unions suck. Yes their employees are shouting "pay me less, I have too much money".

But I am sure you have data you'll twist like a bible thumper to prove your point.

No data twisting necessary, it is all publicly available data as all of these are publicly traded companies which are required by law to accurately report this information. Profit per employee is calculated by simply dividing the number of employees into net profit- which is the amount of money a company has left after all operating expenses (including payroll) and taxes. Net profit does not include any money the company decides to spend on capital expenditures like building new stores, fixing old stores etc.

 

Brian37 wrote:

Now to be fair, Kroger I can believe. My biological mother got her hours and benefits cut.

 

So you believe that Kroger takes higher profits per employee than Costco?

 

 

See here is the trap you want to set for me fallaciously.

 

Costco's ratio may be higher, but they are STILL doing a better job keeping the employees happy. Gaps in pay are fine, but they are NOT fine when the lowest paid worker can't make ends meet.

 

Costco's employees are not complaining like Wallmart's are and rightfully should. Not only that they are kicking Wallmart's ass in profits.

 

Now again if the majority of businesses paid a livable wage, which they do not, our economy would not have suffered the 30 year decline it has.

 

I would say that in bigger cities even $12-14 is still not enough, but certainly if I made that here in the middle of nowhere and prices stayed the same, I would not be even in the poverty level. In fact, before my new owner gutted my hours, being single when first moved down here, I was considered lower middle class as far as pay.

 

57 trillion GDP, there should be no abject poverty at all. Solve that problem and all that "less government" you say you want can happen.

If you have to take donations for your own workers for food, like Wallmart did, you are doing something wrong. If they want their workers off of food stamps, they have the power to do so.

There is a huge difference between "cant" and "don't want to".

 

 

 

 

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Brian37 wrote:Costco's ratio

Brian37 wrote:

Costco's ratio may be higher, but they are STILL doing a better job keeping the employees happy. Gaps in pay are fine, but they are NOT fine when the lowest paid worker can't make ends meet.

 

Costco's employees are not complaining like Wallmart's are and rightfully should. Not only that they are kicking Wallmart's ass in profits.

Costco is more profitable than Walmart per square foot, the question is, why? Care to venture a theory?

 

Brian37 wrote:

57 trillion GDP, there should be no abject poverty at all. Solve that problem and all that "less government" you say you want can happen.

There is no abject poverty in the US except for people who are mentally incapable of taking care of themselves and thus mentally incapable of working or even signing up for government aid.

 

Brian37 wrote:

If you have to take donations for your own workers for food, like Wallmart did, you are doing something wrong. If they want their workers off of food stamps, they have the power to do so.

I doubt Walmart gives a fuck about getting rid of food stamps. It is owned by liberals who donate shitloads of money to democrats who support increasing food stamps. If their goal were to get rid of food stamps, they should probably start voting differently. Not to mention that as a company, Walmart probably profits from the use of food stamps more than any other company. I don't know if anyone tracks that, but I would be stunned if they weren't in the top 2 or 3 and are probably number 1.

 

Brian37 wrote:

There is a huge difference between "cant" and "don't want to".

Do you believe that Walmart can pay their employees $15/hour with their current revenue? How much money per employee do you believe Walmart makes?

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X


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As it turns out, my

As it turns out, my instincts were right. Walmart is that largest beneficiary of food stamps and has spent significant amounts of money lobbying for more food stamps. Last year they made $14 billion from food stamps, the last thing they want is for that money to disappear. 

http://www.huffingtonpost.com/2013/10/31/walmart-food-stamps_n_4181862.html

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X


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Beyond Saving wrote:As it

Beyond Saving wrote:

As it turns out, my instincts were right. Walmart is that largest beneficiary of food stamps and has spent significant amounts of money lobbying for more food stamps. Last year they made $14 billion from food stamps, the last thing they want is for that money to disappear.

 

Worth remembering that when a computer glitch removed the spending limit on EBT cards in Louisiana, food stamp recipients rushed to Walmart for a shopping spree.

http://www.huffingtonpost.com/2013/10/15/walmart-xerox_n_4099207.html

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Beyond Saving wrote:As it

Beyond Saving wrote:

As it turns out, my instincts were right. Walmart is that largest beneficiary of food stamps and has spent significant amounts of money lobbying for more food stamps. Last year they made $14 billion from food stamps, the last thing they want is for that money to disappear. 

http://www.huffingtonpost.com/2013/10/31/walmart-food-stamps_n_4181862.html

Here are the rules Beyond, you don't get to quote liberal rags, only commies like me do.

 

Yes, I agree they love that free money and then blame the people that work for them that you and I pay taxes to pay for those food stamps. Higher wages could get them off food stamps.

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Brian37 wrote:Beyond Saving

Brian37 wrote:

Beyond Saving wrote:

As it turns out, my instincts were right. Walmart is that largest beneficiary of food stamps and has spent significant amounts of money lobbying for more food stamps. Last year they made $14 billion from food stamps, the last thing they want is for that money to disappear. 

http://www.huffingtonpost.com/2013/10/31/walmart-food-stamps_n_4181862.html

Here are the rules Beyond, you don't get to quote liberal rags, only commies like me do.

 

Yes, I agree they love that free money and then blame the people that work for them that you and I pay taxes to pay for those food stamps. Higher wages could get them off food stamps.

Unlike you, I don't dismiss information simply because I don't always agree with the sources biases.

Do you believe that Walmart currently makes enough money to pay their employees $15/hr?

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X


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Beyond Saving wrote:See if

Beyond Saving wrote:

See if you can put these companies in order from the one that takes the most profit per employee to the one that takes the least. IOW, if the company were do decide to distribute 100% of their profits to their employees, which employees would be getting the largest raise? Good luck!

Costco

Starbucks

Walmart

Darden (Olive Garden, Red Lobster etc.)

Berkshire Hathaway Inc. (Warren Buffett)

Whole Foods

Kroger 

I'm going to ignore all the other previous comments and just see if I can guess, which I think is what you asked initially.

1) Walmart

2) Kroger

3) Starbucks

4) Costco

5) Darden

6) Whole Foods

7) Berkshire

 


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I only calculated Walmart

I only calculated Walmart and Costco, since this seems to be what the penis contest is about

 

 

Each Costco employee would get an extra $9,821.84/year

 

$1.709 billion Net profit /174,000 employees

 

Each Walmart employee would get an extra $7,277.28/year

$17 billion Net profit / 2.2 million employees

 

 


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The answer

1) Berkshire Hathaway Inc. - $65,986 (Ah, Warren Buffett you egalitarian you...)

2) Costco- $11,845

3) Starbucks- $9,996

4) Walmart- $8,119

5) Target- $7,499

6) Whole Foods- $7,465

7) Kroger- $5,380

Cool Darden- $1,803

 

http://csimarket.com/

All information is using rolling 12 month data from the 3rd quarter 2013 reports, so the most up to date information available.

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X


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So the real question is, how

So the real question is, how is is possible that Costco is able to pay their employees more, sell stuff cheap and still make more money per employee and per square foot of space than Walmart? Care to take a guess? What it is about their business model that makes the company so successful?

Obviously, it is because Sinegal is a racist.

 

 

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X


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I'd say they all operate too

I'd say they all operate too differently to answer at the drop of a hat. Walmart and Costco seem like identical businesses on the surface, but they are radically different in operation. If you can answer this question definitively, you've been researching too hard. Sticking out tongue

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Beyond Saving wrote:So the

Beyond Saving wrote:

So the real question is, how is is possible that Costco is able to pay their employees more, sell stuff cheap and still make more money per employee and per square foot of space than Walmart? Care to take a guess? What it is about their business model that makes the company so successful?

Obviously, it is because Sinegal is a racist.

 

 

One step they take is membership fees. But they also appeal to a higher tier of society. Walmart is like the dirty crack whore, while Costco is the classy escort.

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Beyond Saving
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Vastet wrote:Beyond Saving

Vastet wrote:
Beyond Saving wrote:

So the real question is, how is is possible that Costco is able to pay their employees more, sell stuff cheap and still make more money per employee and per square foot of space than Walmart? Care to take a guess? What it is about their business model that makes the company so successful?

Obviously, it is because Sinegal is a racist.

 

 

One step they take is membership fees. But they also appeal to a higher tier of society. Walmart is like the dirty crack whore, while Costco is the classy escort.

Precisely. While it is true that Costco has a dramatically different business model than Walmart, even when you compare the relatively similar businesses of Costco vs. Sam's Club, which at least both have the warehouse strategy with limited bulk products, there is still a large difference in revenue per employee.

The fundamental difference is that you find Walmarts and Sam's Clubs everywhere and often in "blighted" areas where no other business will build anything. Walmart specializes in selling to low income tiers, that is why they are the largest acceptor of food stamps. They sell cheap stuff cheap. Their store brand, "Great Value" competes with other budget brands and is almost always the cheapest thing on the shelf.

Costco, on the other hand, has customers who make an average income of $85,000. Pretty much the same clientele you will find at a country club or an upscale restaurant that charges $100 an entree. They build their stores in wealthy areas, or areas that wealthy people commute by. They charge a higher annual fee than Sam's Club, and that fee makes up virtually all of their profit.

Additionally, they do not sell cheap stuff cheap. They sell high quality expensive stuff at a discounted price. Their store brand, Kirkland, does not compete with budget brands, it competes with premium brands. You might save a bit buying Kirkland toilet paper instead of Charmin, but you are still paying more than you would for a regular budget brand and way more than you would for Great Value.

Put a Costco in an area where rich people don't go and it will fail. The sell to upper middle class to wealthy people, mostly white, indian and asian. And furthermore, their hiring reflects that as well. The people they hire predominately come from middle class families, are more likely to have college degrees or be attending college and are disproportionately white. They have a test that you have to ace to get the job- one of the benefits of paying high salary is that you have people lining up to apply. If you have any kind of trouble with the law or a history of drug use you are screwed.

Simply put, Costco is successful because they are an elitist company that understands if you want to make high profit margins you have to sell to people who have lots of money. They are successful because they sell to the top 20% and do everything they can to avoid the bottom 20%- both for selling and for hiring. In liberal speak, if Walmart wasn't the "big bad" of the decade and Costco was the wealthiest retail company, they would be attacking Costco for its elitism and for being racist.    

If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X