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Wal-Mart Is Driving Down Wages for Warehouse Workers, Report Says

Los Angeles Times (06/06/12) Marc Lifsher

A new report by the National Employment Law Project says wages and benefits for U.S. warehouse workers are on the decline as a result of aggressive cost cutting by Wal-Mart Stores Inc., which has outsourced its supply chain and relies on third-party companies for warehouse operations and transport, which depend on low-wage temporary workers. The report indicates that Wal-Mart’s competitors are now demanding similarly low prices from logistics companies, reducing the quality of warehouse jobs nationwide. According to the report, “Outsourcing and other contingent work models like ‘permatemping’ have become increasingly standard in the industry.”