Analysis of Walmart's Compensation and Benefits Analytical Essay by Nicky

Analysis of Walmart's Compensation and Benefits
An exploratory analysis of the employee compensation and benefits offered by the Walmart corporation.
# 145540 | 1,959 words | 6 sources | APA | 2010 | US
Published on Nov 14, 2010 in Business (Companies) , Business (Human Resources)

$39.95 Buy and instantly download this paper now


This paper focuses on Wal-Mart's employee compensation and benefits, explaining that its organizational structure is specifically designed to enable hourly workers for complete nearly every position in a Wal-Mart SuperCenter. However, the paper notes, the benefits and compensations structures show a wide variation among between part-time workers, full-time workers, and managers. From an economic impact standpoint, the paper points out, with a $470,331 run rate per week necessary to keep any given SuperCenter breaking even and delivering onto to company-wide overhead, the competitive practices necessary to reach this level disrupt smaller local and regional competitors severely. The paper states that the average Wal-Mart employee earns $9.70 per hour, and is often kept to part-time status so the company does not have to pay medical benefits. The paper concludes that this corporation's compensation and benefits are more oriented towards keeping any given SuperCenter profitable and growing in efficiency, often having full-time associates fulfill a variety of roles, some focused on keeping the supply chain functioning efficiently and others focused on retailing. This paper contains illustrative figures and data tables.

Staffing Strategies Define Compensation and Benefits Costs
Compensation Spending Analysis
Benefits Analysis
Summary of Wage and Benefits Costs
Analysis of Benefits and Compensation Programs at Wal-Mart

From the Paper:

"Wal-Mart specifically focuses on how to distribute workers across departments so that compensation and benefit costs can be minimized. Paradoxically Wal-Mart staffs those departments that get the most in-bound shopper traffic with the least employees and instead concentrates on having up to 120 overnight associates who unload trucks and stock shelves. This illustrates the point of Wal-Mart relying on their work force to both contribute to the "last mile" of their supply chain, or the fulfillment, stock and replenishing of its stores. In effect Wal-Mart is paying these 120 overnight associates to have dual roles, that of warehouse worker as they unload trucks and semis, retail detailer, as they stock shelves with products, and 24/7 support for supply chain coordination to the store level. Table 1 compares the size of the store, average annual sales, operations expense and % of workforce that is full-time."

Sample of Sources Used:

  • Janet Adamy (2008). Wal-Mart's Employee Health Benefits Come Under Fire. Knight Ridder Tribune Business News,1. Retrieved February 19, 2009, from ABI/INFORM Dateline database. (Document ID: 425264391).
  • Elizabeth E Davis, Matthew Freedman, Julia Lane, Brian McCall, et al. (2006). SUPERMARKET HUMAN RESOURCE PRACTICES AND COMPETITION FROM MASS MERCHANDISERS. American Journal of Agricultural Economics, 88(5), 1289. Retrieved February 13, 2009, from ABI/INFORM Global database. (Document ID: 1174862211).
  • Drogin, Kakigi & Associates, Berkeley, CA 94705
  • Melanie A Spangler, Margaret M Britt, Tomas H Parks. (2008). Wal-Mart and Women: Good Business Practice or Gamesmanship? Journal of Applied Management and Entrepreneurship, 13(2), 14-25. Retrieved February 12, 2009, from ABI/INFORM Global database. (Document ID: 1561214401).

Cite this Analytical Essay:

APA Format

Analysis of Walmart's Compensation and Benefits (2010, November 14) Retrieved August 18, 2017, from

MLA Format

"Analysis of Walmart's Compensation and Benefits" 14 November 2010. Web. 18 August. 2017. <>