Walmart and McDonalds Achieve the Impossible!
McDonalds joined up with Visa back in 2010 to provide sample budget and financial education tools for their low income employees. The sample budget shows the individual barely getting by with two full time jobs, a $0 heating budget, and a rent cost of $600 a month - more than $400 below the national average.
Owners of Walmart and McDonalds are able to achieve through violence what would other wise be naturally impossible. Imagine if you owned a plantation, but only gave your slaves 200 calories of food a day so that you could keep more of what your slaves produced. All your slaves would starve to death. Corporations like Walmart and McDonalds use minimum wage and other labor laws so they can pay their workers less than what’s necessary to live, while the rest of us help keep the employees alive with a relative pittance of tax dollars. In other words, state social welfare is a subsidy to corporate America.
Walmart profits because labor costs are subsidized by social welfare rather than negotiated in a free market. Annually, eighty percent of Walmart Employees receive public assistance to the tune of $2.8 billion. In a free market, Walmart would have to bargain for market wages that would presumably need to pay for at least the most basic necessities of life - food, water, shelter, fuel, medicine, ect. The top 10 fast food companies in America cost the tax payer $3.8 Billion a year in welfare programs to subsidize their employee payrolls that hover on average just a dollar over minimum wage.
The labor of these minimum wage workers produce the profits for these capitalist owners - capitalist owners who then say, ‘I have the capital that labor needs!’
Here’s the link for the article on the McDonalds Employee Budget.