Business

Providing Quality Health Benefits for Our Associates

In the U.S., the 1.3 million people who work at our stores, clubs and distribution centers are vital to a great experience for the 140 million customers shopping with us each week. We’re in business because our associates bring us their unique skills and talents – and so we do our absolute best to offer all the benefits that come with a great job, particularly affordable health insurance.

Anyone who has been following the news for the last several years knows that health care is a major topic of debate. From doctors’ visits and prescriptions to insurance premiums, health care costs have increased for all of us – individuals and the companies that insure them – each year. Knowing this, Walmart continues to work with health care providers and professionals, using our size and influence to negotiate the best rates and options for our associates.

Like every company, Walmart continues to face rising health care costs. This year, the expenses were significant and led us to make some tough decisions as we begin our annual enrollment. As a result, today we announced that our associates will see an increase in premiums for 2015. For example, our most popular and lowest cost associate-only plan will increase by $3.50 to $21.90 per pay period – still half the average premium other retail employees pay.


We’re also changing eligibility for some part-time associates. We will continue to provide affordable health care to all eligible associates, including part-time, who work more than 30 hours. However, similar to other retailers like Target, Home Depot, Walgreens and Trader Joe’s, we will no longer be providing health benefits to part-time associates who work less than 30 hours. This will impact about 2% of our total U.S. workforce.  We will be working with a specialist, HealthCompare, to personally guide our associates through the process of finding the right, affordable health care.

We are proud of the health care plans we offer, which are among the best in the retail industry, as well as the new benefits we’ve introduced over the past two years for our associates. This includes a vision plan that launched this year and our innovative Centers of Excellence program that began in 2013 that covers select spine and heart procedures at no cost to our associates. We expanded Centers of Excellence this year to include knee and hip replacement surgeries and, for 2015, we’re excited to be adding breast, lung and colorectal cancer care at the Mayo Clinic.

We don’t make these decisions lightly, and the fact remains that our plans exceed those of our peers in the retail industry. Our premiums remain well below the industry average compiled by expert Aon Hewitt.  We also continue to pay the majority of health care costs for associates covered under our medical plans. For example, on average we cover more than 60% of our associates’ total health care costs and more than 75% of their premium costs. In contrast, the retail industry pays, on average, about 54% of total health care costs and 68% of employee premiums.

All of our eligible associates – both full and part-time – will continue to benefit from our health care options that include no lifetime maximum, preventative care covered at 100%, and $250 up to $1,000 to help pay for medical expenses. We believe these options are among the best in the retail industry.

As our associates continue to work hard for our customers, we will continue working hard to keep their benefits as affordable as possible, enhance the quality of health care they receive and make the cost more transparent, which will benefit everyone.

32 Comments

Opportunity

One Walmart Associate’s Path to the Pentagon

Since 1997, Luke McCollum has lived somewhat of a double life, holding careers at both Walmart and the Navy Reserve.

While a retail role and a government job may seem like an unlikely pairing, he says the blending of both worlds is what has prepared him well for an exciting next step: Navy Vice Admiral, where he’ll serve as the Commander of America’s Navy Reserve Force. This is no small promotion – President Barack Obama had to appoint him to the role.

While this means Luke will be leaving Walmart’s home office in Bentonville, Arkansas, to work solely at the Pentagon, he says Walmart is a big reason why he’s able to take this new step. Why?

“Working here has made me a better Navy Reserve officer, and vice versa,” he said.

As vice president of Walmart’s logistics services, one of Luke’s duties is to oversee new distribution centers coming to life across the U.S. – from picking the location, to seeing it all in action with excited associates. He most recently experienced this with a new fulfillment center in Chino, California, and a new distribution center in Mankato, Minnesota. To Luke, it was exhilarating to see everything unfold, knowing that this would help serve customers better and provide new opportunities for our associates.

While his work and processes at Walmart are different than those at the Navy, he’s found common ground at both organizations in dealing with the large, complex and unpredictable. “In the Navy, we can never get comfortable because it’s always changing,” he said. “It forces us to think differently and strategically. We have to do a lot of that at Walmart, too.”

What Luke enjoys about both of his teams is their desire to learn new things. “I would be sitting in senior meetings in the Navy, and they would ask me how Walmart would solve a problem. The same happened in my Walmart meetings,” he said. “They have the appetite to change and grow. Both have had to evolve over the years. At Walmart, we try to understand how our customers have changed and how we can operate better to serve them. The Navy is no different. They serve a customer, too – the American people and the men and women on active duty.”

Having a really strong support system at home and at work is what has helped Luke hold down two careers. He gives a lot of credit to his family. When most people are heading home for the weekend, Luke has to get on a plane to the Middle East or the Pacific for another full work week. With a 24-hour flight back home and jumping right back into Monday, he doesn’t have much downtime. “You have to know what’s important because you can’t do everything,” he said.

Why do two jobs? For Luke, it’s all about the people. He thrives on seeing people do things they didn’t know they could do. “One of the definitions of leadership is to define reality, provide encouragement on the way and say thank you in between,” he said. “I’ve gotten to do that in both organizations.”

Luke is honored, humbled yet excited to take on this new job.

“I’ll miss my Walmart team, but my experiences here have prepared me well to take this next step,” he said.

Be the first to comment on this article

Business

#PattiPie, New Cobblers and the Evolution of Our Bakeries

When Patti LaBelle’s Sweet Potato Pie hit Walmart stores last fall, the demand for #PattiPie became so high we could barely keep enough of them on the shelves.

As a merchant for our fresh bakery, this was exciting news. It proved that the work by Kinna Thomas, our senior buyer of cakes and pies, and our entire team to provide premium goods baked with high-quality ingredients was not going unnoticed.

It also proved that taking the extra time and effort to think outside of the box whenever we’re developing bakery goods makes a real difference to our customers. Taking it to the next level for this holiday season, Kinna was reviewing Ms. LaBelle’s cookbooks and stumbled across one of her famous cobbler recipes. We knew how important it was to hit the mark perfectly.

After testing and trying out the product, I’m excited to announce that together, we’ve cooked up three premium cobblers in peach, apple and mixed berry flavors for #PattiPie fans to enjoy, starting Sept. 2. Not only are they packed full with quality fruit, they’re baked with two crusts – one on top and one on bottom – to ensure that sugary crisp bite.

Knowing that most cobblers on the market today are frozen, we worked to find the right supplier to create a unique fresh version. Turns out we had the right company with us all along: Twin Star Bakery out of Houston, who currently makes a number of decadent items for Walmart, including oversized sandwich cookies and specialty dessert cakes. As a matter of fact, the cobbler expansion will bring over a hundred new jobs to their factory.

In addition to the cobblers, we’re also bringing Ms. LaBelle’s apple pecan cake and sweet potato pound cake to select stores. The sweet potato pound cake was a joint venture to with a small Philadelphia business, Brown Betty Dessert Boutique. We will offer this delicious Southern-style treat in select stores in the Northeast.

The success of Patti’s sweet potato pie – and the resulting expansion of her personal recipe-based product line – is just one example of how we are working to transform our fresh bakery offerings through innovation. We are so proud to offer amazing new items across our entire bakery. Just last year, we added about 60 new items and we continue to innovate. Today, more than half of our items are prepared in our stores, and we’ve enriched our teams across the country with bakery technicians who’ve been training and helping our store associates to ensure everything comes out exactly right. On top of that, we’re simplifying our processes so that we can bake many different items at one temperature, allowing us to produce more fresh-baked goods for our customers every day.

It’s a sweet time to work in Walmart’s fresh bakery, and we’re excited to see our customers’ reactions as we work to deliver every ingredient just right.

Be the first to comment on this article

Community

When Disaster Strikes, Associates Provide Real-Time Relief

When forecasting warned that record rainfall could be coming to Louisiana, a team at Walmart’s home office did what they always do when severe weather is imminent: Pull together the right people to prepare for help.

Because there are about 30 Walmart stores and Sam’s Club locations in the Baton Rouge area where the flooding eventually hit, the company’s Emergency Operations Center had a responsibility to local associates and communities. Logistics, operations, and merchandising teams assembled quickly, first mapping alternate routes for trucks delivering to stores in and around Louisiana and ramping up shipments of diapers, bottled water and other essentials.

While some stores and clubs closest to Baton Rouge did have to close their doors because of flood damage, most have reopened now. Ensuring that corporate functions and teams on the ground can work together to make that happen is at the heart of the EOC’s role.

Formed in the early 2000s following 9/11, Walmart’s EOC was established to support associates and local communities in times of need. Whether it’s securing generators to restore power to facilities or acting as a call center so that associates and community members can locate and assist one another, the EOC is the hub that helps Walmart locations provide a sense of normalcy when disaster strikes.

With the recent Louisiana flooding displacing thousands of people from their homes, Walmart and the Walmart Foundation have committed $1.5 million to organizations making a difference on the ground. Learn more about those efforts here.

Be the first to comment on this article

Opportunity

When an Obstacle Opens Doors to a Better Life

When I arrived in Pass Christian, Mississippi, in 2009, I knew putting down roots would come with its share of challenges. A native of Peru, I didn't speak much English and couldn't even help my 9-year-old daughter with her homework. But I was willing to do whatever it took as long as there was an opportunity.

Walmart store #5079 extended me that opportunity as a part-time associate in the deli. Being able to make a living in my new country not only motivated me to learn English, but also pursue my GED certificate so I could better provide for and assist my daughter. Looking back, doors have continued to open for me from the very first day I was hired. I’ve made lifelong friends, earned U.S. citizenship, been promoted to full-time training coordinator, and built a life I'd always envisioned – which includes long walks with my family along the Gulf Coast.

Today, my English – and confidence – have grown so much that I’m pursuing my new dream of becoming a human resources manager with Walmart. Taking inspiration from my store manager, Lynn Day, I’ve started working toward my associate degree through Walmart’s partnership with American Public University.

Encouragement and support from people like Lynn helps me continue to realize my goals. She’s such a great mentor to me – and that’s what I want to become for the people around me.

I believe that knowledge is power. And I believe if I have the knowledge, I have the power to help people.

Be the first to comment on this article