If you do get a settlement I would use it to get sm

Anyone ever use a debt settlement company - sm [2008-11-03]
like DebtAmerica or something like that, one that eliminates 30% or more of your balance owed, consolidates it and gets each cc to settle on an agreed amount, etc. I am thinking of going that route instead of CCCS company which is just a DMP (consolidates it but you still pay back every penny and interest). Either way you have a big black mark on your credit. I owe a substantial amount and this way I can probably be debt-free in 3-4 years instead of 8 years.I know they charge a fee, and you have to pay taxes on the settled amount but it will be a lot cheaper for me in the long run and I can afford it a lot better. So if anyone has gone this route, please give me your input and who you used and if you were happy with their service, etc. TIA!

If you do get a settlement I would use it to get - sm [2008-07-01]
two things, a fence for your yard, and therapy for your daughter as she obviously needs it. If you are not taking her as yet, get her to a therapist pronto. Any left over money you put into her college fund. Good luck.

Settlement offers - beware [2007-03-20]
Just be aware that if they do a settlement offer of $3500 on the $7000 then you will have to include any portion that they write off as income on your taxes and they will send you a 1099 C that will show the amount that they cancelled and will report it to the IRS. If they already have a judgment against you, why are they taking you to court? I thought that once a judgment was placed that was it, of course if the judgment was placed prior to you making payments and then you began making payments again, that might require another judgment. And of course that begins the start of the cycle of the 7 years before they will write off the entire amount and with the new laws that could also generate a 1099 C requiring you to report that as income. Of course the amount of taxes you pay on the income is a lot less than the amount of the debt but it is still something to think about. Good luck.

Genealogy [2008-08-23]
I come from all over the place, but on my father filthy rich baron that owned vineyards, etc., but his two sons chose different paths. One fought with William the Conqueror, the other went to France and in France is where name spelling begin to change as well as England. One of my cousins was a godson of Queen Elizabeth (Fitzgerald)(can't rememer right off which one). One of the sons helped invade Ireland and as the Irish say, we became more Irish than the Irish, BUT even more ironic, the same man and his son stood up to England later and fought them to take back Ireland from England (now that family history is a doozy) and that history is still taught in Ireland and England and the Irish consider him nobility. I wish I could put down everything on this because it is something else. I couldn't stop researching when I got my hands on this. Some eventually made their way to the US with the early settlers and strange enough, my son-in-law just found out his ancestor was also in the same settlement as my daughter's ancestor. They were both leaders of this settlement and were good friends. They were killed by native Americans who raided their village. His wife was still in England, heard of this, and came over with her children to help the settlement. Now, further down the line on my maternal grandmother's side, her ancestors (Welch descendants) married Cherokee woman in the Carolinas before the Trail of Tears and they have documented names of my cousins with native American names, which they were given at birth but also given other names so they could attend school and buy land. On my maternal grandfather's side, two sons came to this country, one married a French-Canadian and one a German descendant. One lineage went south and the other spread across the NE and midwest. Many of these fought in the civil war on both sides, brother against brother basically. One story was documented that a northern ancestor was killed down here and buried, but no northerner was going to be laid on southern soil, so they came years later, dug him up, and buried him up north. One of their sons was commissioned by President Roosevelt to draw up the social security system and to read the basic draft, it was never intended to be used as it is now. My paternal grandmother was from Greek descendants, which answered why my father had such a strange middle name. Never made since to us as my grandparents passed away long ago. They had over 20 children (my GF's first wife died after 11 or so children and his second wife, my GM, had 10 children, my father and twin sister being the next to the youngest, so lots of folks I still would like to find out about. I have managed to go way back to when my Italian relatives passed through Macedonia and settled in Italy. So I have Italian, Irish, Welch, German, French, native American and still adding to that. It is fun to research but you're right, 2 am comes fast. I like Ancestry.com where I can find ship passenger lists and those that came over earlier in settlements. Really blows my mind some of the stories I have documented about some relatives. One great, great, great uncle was documented as being a very well-educated smart man but nortorious for hanging out with floozies(sp?). That was hilarious!!! Aren't well-educated smart politicans still hanging out with floozies? Nothing has changed really. Well, actually a well known politician from up north is in my family tree (well known for running around with floozies, big Irish drinker, long family history up there). You look around enough and you can find some very colorful characters/nuts hanging out in that tree.

If it was really significant, I would [2008-07-01]
think the final cost would be more than $800. My niece was mauled by a dog and spent about a week in the hospital. She was 4 years old at the time. It was the saddest thing seeing her in that hospital bed with her whole head swollen up. The dog bite ripped out a couple of her still-forming permanent teeth and she ended up with quite a nasty scar along one cheek. Most of the stitches were in her scalp. My sister and her husband had to sue the homeowner It took quite a while to sort it all out. They ended up with a settlement that would after 15 years of very modest growth pay for her college and also any future medical bills. She has had revision of that scar on her face, but she is 19 years old now and still hasn She ismissing bone where theimplants need to go and so will need grafting to be able to accomplish it. She was not emotionally scarred forever by the incident. She is fine, and it didn Just keep loving your daughter and shebe back to her old self. Money won Try not to let your anger overtake you. I know they are responsible, but there is no need to try and take them for as much as you can. You could conceivably ruin their future. Accidents happen. What exactly were the circumstances surrounding the bite?

What's really sad is even if she does [2008-07-01]
let So, now she's down to $3300, and if that includes her medical bills, she will have to reimburse her insurance company, because it is fraud if the settlement designates the money to be allotted for medical bills and she ends up pocketing it. I don I really do feel for the child. I just don It doesn I doubt she got much more than some antiseptic wash, bandage and maybe a tetanus shot, which she would have gotten anyway if she wasn

I personally would send a check for the reason you stated. SM [2008-05-13]
Also if you are paying off debt, you can always call and let them know you will be paying it off and see if they are willing to negotiate a lower settlement offer rather than the full balance. Learned that from Suze Orman. Also, if it happens to already be negative on your credit, you can negotiate that the remove it from your credit file if you agree to pay in full. Make sure you get all agreements in writing though.

I agree about the wife, but... [2008-03-12]
she knows what side her bread is buttered on! Play the stand by yourman, humiliated wife in public means for a much heftier settlement when the divorce proceedings start...not that she doesnHis daddy is worth 500 million dollars.

I'd tell him to take half the equity and get out - sm [2007-07-30]
not you. I am in a similar situation. I have gained about 70 pounds since we married, and 2 kids later. I never kept a great house but I was very organized; but several things have happened over the past 3 years and I have become less organized and I think mildly depressed as well. He used to nag me constantly about my weight but has finally backed off as I think he just stopped caring. I resent(ed) his constant harping about my weight and I think gained more in response; I was 30 pounds less 3 years ago. Even the kids know something is not right though we do things together as a family my DH screws it up somehow and the kids end up in tears half the time or I get upset over some mean thing he said. My younger one has said she wants to live with him if we ever divorce, how sad is that (he is more lenient as he wants to be liked by the kids). His mom is a clean fanatic, they had to shower in the basement as she did not want them messing up the bathroom, before that they had to wipe dry and clean the shower/tub everytime they used it. When she is here she picks up and folds every loose thing, etc. Her home is spotless but she has no kids or animals; we have 2 dogs and a cat and 2 kids who can make a mess really fast. I take care of everything around here but the cooking plus work 3 jobs to boot, so that is one reason the house is not a Good Housekeeping showplace, the other is I hate cleaning. I would not change for your husband though. I am however going to try and lose this weight, though not for him. I get out of breath very easy now and I want my health to stay good. I am curious to see what reaction I get from him when I do, I suspect he won half of some property we own (my name is on that deed) and half his 401K from the point we married to present. So he would owe me a tidy sum, I estimate about $185K; so basically he so that is why I want to see a divorce lawyer before he does (he has threatened that 2 x, but as he is a big talker I kind of ignore it, but I need to stop being naive about it just in case he does follow through for a change). You need to do the same thing, contact a lawyer and find out exactly where you stand, you have nothing to lose by doing this. I plan to do this as well, once the kids are back in school as I cannot very well drag them with me and have them come home and say, mom went to a divorce lawyer today, yeah, that would go over well. But your husband and mine sound very alike. I know my kids love me despite my youngest saying she'd rather be with daddy, though after our disaster outing yesterday I doubt she feels that way. She says I work too much which is true but I use it as an escape too which is not good. I had a lot more time off last summer but took on some extra work lately and it has been very busy this summer. I have promised her to start taking off every other weekend so we can do more together so that should help some for us and for me mentally as well. Good luck.

I did a lot of research! Basically, I scoured the public notices in the local paper. SM [2007-07-14]
You know, the ads that say a certain property will be auctioned off on the courthouse steps on a certain day at a certain time. Well, I learned quickly that just because you Like the person said below, a lot of times the owners rehab and pay back payments right at the last second. The trustee selling the property is usually an attorney hired by the bank or mortgage company that hold the loan on the property. You can call the attorneys and find out if a propert is still being auctioned off which I did a number of times. Once you find out who holds the mortgage, you can contact the bank or mortgage company directly and make an offer. For my particular house, it was a waiting game. They actually listed it with a real estate agent and wanted $80,000 when they first listed it. I called the real estate agent they listed with after it had been on the market for about three months. They were asking $60,000 at the time I looked at it. I thought they were crazy cause it was a 2 bedroom that needed a lot of work. Just so happened that at the time I walked through it I was stilling bickering with the insurance company over my settlement, so I wasn Then, three months later I Anyway, long story short, the person said they were now asking $45,000 for the house. I had just settled with the insurance company and thought nows my chance to get a great deal! I called the mortgage company and offered them $36,000. I low-balled because I was prepared to negotiate. They countered with the full asking price. So I countered with a $40,000 cash offer. I said they would be crazy not to take it because I was a cash buyer, didn My brother-in-law waterproofs and pours basements for a living. I had him look at the basement and told me that it was a dry basement and he would get a bobcat from work and dig out the dirt around the foundation of the house and waterproof it from the outside and that should make it solid. I have cousings who are trim carpenters and roofers, although the roof was in good shape, no leaks. So I felt safe not having a mechanical inspection especially because I have all this help should something go bad. The mortgage company decided to sweat me out and didn What they didn My waiting paid off. They called the Monday after the 4th of July holiday and said itI do. I bought the house As-Is. Also this was a foreclosed property which means the owners that were foreclosed on cannot rehab the loan and take back the property. It's mine once we close. So that I just prayed a lot and feel like I had some divine intervention for sure!

Well, I did it. I bought a foreclosed house! [2007-07-13]
Last year, I posted on this board about how to buy a house at a tax auction. I came into a very small amount of money and bought a very small (2 bedroom), 50 year old home that needs a little work, but is livable right now as it is. My plan is to live in it, work on it a little at a time, and eventually sell it for a profit or turn it into a rental property. This is a hugedeal for me. I A year ago I seperated from my husband because he was screwing up my credit and not working and nowI was able to buy this house outright. That means no house payment! Of course my mother was negative. Saying I better prepared to do a lot of work and I bought the house. Why can This is huge! I Anyway, I just wanted to share my good news with people who could actually be positive. So, if you Also, the first step is deciding on refinishing the hardwood floors or going with carpet. Then I have to think about remodeling the kitchen which has the hideous 70s linoleum in it and counter tops to match. It The good news is it is a small kitchen so replacing that stuff won't be real expensive. So any ideas of how to get great deals on things like flooring and laminate counter tops? Also, I suck at decorating. I just don So any ideas would be great! Okay, back to work. It There Thanks for taking a coffee break with me!

I don't claim to know much about but as - sm [2007-06-10]
far as I know any deposit money the buyer has put down on your house goes into an escrow account (not into your pocket--and this is considered a downpayment), then at settlement the money in the escrow account is applied to the sale price of the house. The money is the buyers until settlement; granted they may lose some or all of that money if they pull out of the deal depends on how your state/or realtor handles that problem, I think they are all different. If they did pull out, then in theory you would get their deposit money, either all or minus some commission for the realtor as well. No matter what you will not see a penny until the papers are all signed, sealed and delivered.

Can't Garnish a Company [2007-05-30]
You cangarnish a company. Garnishment only works with an employer willing to work you court to fork over money from an employee. You're talking about a company (is it incorporated?) If you didn't go to small claims already, that's your only (best) way out. That way, the company rep MUST show up in court to answer your claim, or offer a settlement. Unless you do some strong-armed persuasion through the local press and exposing the outfit any way you can I don't see any other way out. Also, in our county it's more like $50 to file the complaint, but you can recoup that from the debtor as part of the settlement. And, don't let the small claims court clerk tell you that you need an attorney. You don't--unless you want one. They clerk is duty-bound by their oath to assist citizens in filing their own documents. They can't give you legal advice, but they can and should make sure your paperwork is okay to file the claim. Also, you can always check in with the state attorney general. They could probably work with this as a fraud case and you might have some recourse there. Also, your state--secretary of state for your state would have information on the legalities of this company, which also if you filed a claim in Small Claims Court you could subpoena documents from the company directly to find out their bank, accounting records, etc. Good luck again.

Yeah, and they will tell you that they [2007-05-23]
will accept a settlement, and take a lesser amount as a payment in full, but what they don't tell you unless you pin them down on the phone is that they will put that on your credit report, that it was settled for less than the full payment.

Tried but couldn't -- sm [2007-04-24]
I discussed this at length with a bankruptcy attorney. If I filed for banruptcy (have a lot of old debt from personal issues before we were married), now while married this could affect his credit which is perfect. Instead, what the attorney told me was to fly under the radar as most things don't stay on a credit report more than 7 years depending upon your state. He told me that once a debt is tranferred around from agency to agency it gets very difficult to validate the debt (and the collection agency's computer printout does not count). He told me never to talk to them by phone. First written response is always to ask for validation and if you get a computer printout, ask for specifics like dates, times original amounts etc. Then if they can actually prove it, they may offer a settlement. I have settled a lot of old debt for way less than the collection amount by negotiating and insisting they take it off my credit. If you want more info, feel free to e-mail. :)

thanks [2007-03-20]
I think I will call my old bankruptcy attorney today for advice. The only bank accounts I have are a small savings with $11 in it and a joint checking with $0 standing balance, as it comes it and goes right back out in bills. I only work part-time because I have a kid at home still, but even in the fall I will still only take another part-time day job. At my current job and the job I will have in the fall (which is not the most prompt in paying but it is okay money), they are both the type with handwritten checks, IC-type jobs. Thanks for the input, I will definitely call my old lawyer today, if anything to assist in making a settlement offer. Even though they did get a judgment against me, they have been sending me settlement offers since then, just cannot afford them. Hoping to go lower. My original balance was approx $7000 and according to my credit report, they have me with only approx $3500 past due, as the rest was written off....

Settlement offers - beware [2007-03-20]
Just be aware that if they do a settlement offer of $3500 on the $7000 then you will have to include any portion that they write off as income on your taxes and they will send you a 1099 C that will show the amount that they cancelled and will report it to the IRS. If they already have a judgment against you, why are they taking you to court? I thought that once a judgment was placed that was it, of course if the judgment was placed prior to you making payments and then you began making payments again, that might require another judgment. And of course that begins the start of the cycle of the 7 years before they will write off the entire amount and with the new laws that could also generate a 1099 C requiring you to report that as income. Of course the amount of taxes you pay on the income is a lot less than the amount of the debt but it is still something to think about. Good luck.

thank you [2007-03-19]
Thank you for your kind words. I feel pretty crappy about it. The thing is, my husband does not even know about it. And most of it was cash advances to pay for his large pricey truck that at the time we could no longer afford, but because he works 2 jobs, I was expected to just figure it out financially, so I just used my credit cards at the time. This is going back 7 years and I stopped paying on the card 4 years ago...So with interest and lawyers fees they now want $14,000. I am losing sleep and grind my teeth so much, now to the point of needing several thousand dollars of work on my gums to keep from losing my teeth. The teeth will just wait. :) Hopefully i can work out a substantially lower settlement, but meanwhile i still have this court date...

You will have a judgement placed against you--sm [2007-03-19]
for the debt owed and it will be placed on your credit report. Seeing as how you are married, it will be against your husband too. He will find out now. It will remain on your credit report until it is paid in full, and then some. They are not to up on taking things off your credit report, only on putting them on. If you make regular payments, that will be on your credit report as well. If you don't make regular payments, they may place a tax judgement against you, meaning they will get whatever tax refund you have coming until the debt is paid. This will automatically flag on your credit report, as well, and if you ever need to open a checking account, etc., some banks will not allow you to with that on your credit report. They may also garnishee any wages. This debt will also continue to acrue interest. Because this has already gone to having a court date, working out a settlement is pretty much nil at this point. you should have done that prior to getting to this point. Most places are willing to work with you as long as you make the effort. Letting it go for four years will not bode well for you. I feel for you. I have been there, but not to the tune of your amount...mine was only 300.00 and by the time I got done paying the interest and late fees, it was much more than that. This is a really good example of why not to have credit cards. It is much too easy to get into this situation. I wish you all kinds of luck!!!

Since you asked. [2006-12-11]
If low prices are your top priority, then Wal-Mart may be the place for you; however, I think far too many people make the decision to shop at there without knowing all the facts. If after knowing how Wal-Mart is run they still choose to shop there, that's their choice. We do live in a free country after all. I simply care more about other things besides the lowest price, that's all. (By the way, I am nowhere near wealthy, in case that's what you're thinking. I am a single mom raising 3 children, even putting one through private boarding school, but I am very conscious about whose businesses I support. I pay a little more to shop elsewhere, but that extra price is worth the piece of mind in knowing that I am supporting companies that are good for the environment, our economy, and mankind in general. Sometimes it costs more to do the right things, and I'm okay with that.) I hope this is helpful to you. :) (This is from the following website: wakeupwalmart.com) A Substantial Number of Wal-Mart Associates earn far below the poverty line * In 2001, sales associates, the most common job in Wal-Mart, earned on average $8.23 an hour for annual wages of $13,861. The 2001 poverty line for a family of three was $14,630. [�Is Wal-Mart Too Powerful?�, Business Week, 10/6/03, US Dept of Health and Human Services 2001 Poverty Guidelines, 2001] * A 2003 wage analysis reported that cashiers, the second most common job, earn approximately $7.92 per hour and work 29 hours a week. This brings in annual wages of only $11,948. [�Statistical Analysis of Gender Patterns in Wal-Mart�s Workforce�, Dr. Richard Drogin 2003] Wal-Mart Associates don't earn enough to support a family * The average two-person family (one parent and one child) needed $27,948 to meet basic needs in 2005, well above what Wal-Mart reports that its average full-time associate earns. Wal-Mart claimed that its average associate earned $9.68 an hour in 2005. That would make the average associate's annual wages $17,114. [�Basic Family Budget Calculator� online at www.epinet.org] Wage increases would cost Wal-Mart relatively little * Wal-Mart can cover the cost of a dollar an hour wage increase by raising prices a half penny per dollar. For instance, a $2.00 pair of socks would then cost $2.01. This minimal increase would annually add up to $1,800 for each employee. [Analysis of Wal-Mart Annual Report 2005] Wal-Mart forces employees to work off-the-clock * Wal-Mart�s 2006 Annual Report reported that the company faced 57 wage and hour lawsuits. Major lawsuits have either been won or are working their way through the legal process in states such as California, Indiana, Minnesota, Oregon, Pennsylvania, and Washington. [Wal-Mart Annual Report 2006] * In December 2005, a California court ordered Wal-Mart to pay $172 million in damages for failing to provide meal breaks to nearly 116,000 hourly workers as required under state law. Wal-Mart appealed the case. [The New York Times, December 23, 2005] * A Pennsylvania court, also in December 2005, approved a class-action lawsuit against Wal-Mart Stores Inc. by employees in Pennsylvania who say the company pressured them to work off the clock. The class could grow to include nearly 150,000 current or former employees. [Arkansas Democrat-Gazette, January 12, 2006 ] * In Pennsylvania, the lead plaintiff alleges she worked through breaks and after quitting time � eight to 12 unpaid hours a month, on average � to meet Wal-Mart�s work demands. �One of Wal-Mart�s undisclosed secrets for its profitability is its creation and implementation of a system that encourages off-the-clock work for its hourly employees,� Dolores Hummel, who worked at a Sam�s Club in Reading from 1992-2002, charged in her suit. [Arkansas Democrat-Gazette, January 12, 2006 ] Wal-Mart executives did not act on warnings they were violating the Fair Labor Standards Act (FLSA) * Wal-Mart has known for years of a massive companywide problem of fair labor standards violations but did not take sufficient steps to address the problem. An internal Wal-Mart audit of one week of time records in 2000 from 25,000 employees had alerted Wal-Mart officials to potential violations. The audit found 60,767 missed breaks and 15,705 lost meal times. It also alerted Wal-Mart executives to 1,371 instances of minors working too late, during school hours, or for too many hours in a day. [Steven Greenhouse, �Suits Say Wal-Mart Forces Workers to Toil Off the Clock,� New York Times, A1, 6/25/02] * Despite this knowledge, Wal-Mart had to settle in January 2005 for violations that took place from 1998 to 2002, Wal-Mart agreed to pay $135,540 to settle U.S. Dept. of Labor charges that the company had violated provisions against minors operating hazardous machinery. [Ann Zimmerman, �Wal-Mart's Labor Agreement Is Criticized by Former Official,� Wall Street Journal, 2/15/05] * In March 2005, Wal-Mart agreed to pay $11 million to settle allegations that it had failed to pay overtime to janitors, many of whom worked seven nights a week. [Arkansas Democrat Gazette, 11/7/05, Forbes, 10/10/05] * The State of Connecticut, investigating Wal-Mart�s child labor practices after the federal investigation ended, found 11 more violations. In June 2005, Connecticut fined Wal-Mart Stores Inc. $3,300 over child labor violations after a state investigation found that some minors lacked proper paperwork and were operating hazardous equipment at the stores. [�Wal-Mart Is Fined for Child Labor Violations,� Bloomberg News, June 22, 2005] Back to top Wal-Mart and Health Care Download the Wal-Mart and Health Care Flyer - PDF Wal-Mart�s Health Care Plan Fails to Cover Over 775,000 Employees * Wal-Mart reported in January 2006 that its health insurance only covers 43% of their employees. Wal-Mart has approximately 1.39 million US employees. [http://www.walmartfacts.com/docs/1625_jan2006healthcarebackgrounders_576890240.pdf] Wal-Mart�s Health Insurance Falls Far Short of Other Large Companies * On average for 2005, large companies (200 or more workers) cover approximately 66% of their employees. If Wal-Mart was to reach the average coverage rate, Wal-Mart should be covering an additional 318,000 employees [Kaiser Family Foundation, 2005 and http://www.walmartfacts.com/docs/1625_jan2006healthcarebackgrounders_576890240.pdf]. Wal-Mart�s Health Care Eligibility is Restrictive * Part-timers�anybody below 34 hours a week � must wait 1 year before they can enroll. Moreover, spouses of part-time employees are ineligible for family health care coverage for 2006. [Wal-Mart Stores, �My Benefits, New Peak Time Benefits Making ad Difference For You,� 2006] * Full-time hourly employees must wait 180 days (approximately 6 months) before being able to enroll in Wal-Mart�s health insurance plan. Managers have no waiting period. [Wal-Mart 2006 Associate Guide] * Nationally, the average wait time for new employees to become eligible is 1.7 months. For the retail industry it is 3.0 months. [Kaiser Family Foundation & Health Research and Educational Trust, 2005] All of Wal-Mart�s Health Plan�s Are Too Costly for Its Workers to Use * Since the average full-time Wal-Mart employee earned $17,114 in 2005, he or she would have to spend between 7 and 25 percent of his or her income just to cover the premiums and medical deductibles, if electing for single coverage. [Wal-Mart 2006 Associate Guide and UFCW analysis] * The average full-time employee electing for family coverage would have to spend between 22 and 40 percent of his or her income just to cover the premiums and medical deductibles. These costs do not include other health-related expenses such as medical co-pays, prescription coverage, emergency room deductibles, and ambulance deductibles. [Wal-Mart 2006 Associate Guide and UFCW Analysis]. * Wal-Mart trumps the affordability of its new health care plan. According to Wal-Mart, �In January [2006], �Coverage will be available for as little as $22 per month for individuals� [www.walmartfacts.com] * What Wal-Mart�s website leaves out: Coverage is affordable, but using it will bankrupt many employees. Wal-Mart�s most affordable plan for 2006 includes a $1,000 deductible for single coverage and a $3,000 deductible for family coverage ($1,000 deductible per person covered up to $3,000). [Wal-Mart 2006 Associate Guide] Wal-Mart Admits Public Health Care is a �Better Value� * President and CEO Lee Scott said in 2005, In some of our states, the public program may actually be a better value - with relatively high income limits to qualify, and low premiums. [Transcript Lee Scott Speech 4/5/05] Wal-Mart�s Health Care is Getting Costlier * Between 2000-2005, the cost of premiums rose 169 percent for single coverage and 117 percent for family coverage. [UFCW analysis of annual Wal-Mart Associate Guides]. * In comparison, premiums for family coverage in the U.S. have increased only by 59%, from 2000-2005. [Employer Health Benefits: 2004 Annual Survey, Kaiser Family Foundation & Health Research and Educational Trust, 2004] Wal-Mart Employees Pay More for Health Care Costs * In 2004, Wal-Mart employees, in total, paid approximately 41% of the plan costs [Wal-Mart IRS 5500 Filings, 2005]. * Nationally for 2004 on average employees paid for only 16% of single coverage costs and 28% of family coverage costs [Kaiser Family Foundation, 2005]. Wal-Mart Covers Less of the Health Care Costs Compared to Its Competitors * In a state analysis, the Massachusetts Department of Health and Human Services found that in 2003, Wal-Mart covered only 52% of total health care premium costs compared to K-Mart which covered 66%, Target which covered 68%, and Sears which covered 80% [�Employers Who Have 50 or More Employees Using Public Health Assistance,� Division of Health Care Finance and Policy, 2/2005] Wal-Mart�s Spending Falls Below Industry Standards * Wal-Mart�s spending on health care for its employees falls well below industry and national employer averages. In 2002, as reported in the Wall Street Journal, Wal-Mart spent an average of $3,500 per employee. By comparison, the average spending per employee in the wholesale/retailing sector was $4,800. For U.S. employers in general, the average was $5,600 per employee, Therefore, Wal-Mart�s average spending on health benefits for each covered employee was 27% less than the industry average and 37% less than the national average. [Bernard Wysocki, Jr. and Ann Zimmerman, �Wal-Mart Cost-Cutting Finds a Big Target in Health Benefits,� Wall Street Journal September 30, 2003 p1] Wal-Mart Only Spends 77 Cents an Hour Per Employee for Health Benefits * In 2004, Wal-Mart spent $1.5 billion on its health insurance. This amounts to an employer contribution of around only $0.77 an hour per employee. This accounts for approximately a half-percent of Wal-Mart's $285 billion in sales in 2004. [Susan Chambers, Wal-Mart Internal Memo, 2005, Wal-Mart Annual Report, 2005]. Wal-Mart Increased Advertising More Than Health Care * In 2004, Wal-Mart spent nearly the same amount on advertising as it did on health insurance. In 2004, Wal-Mart reports that it spent $1.5 billion on health care benefits and $1.4 billion in advertising. [Wal-Mart Annual Report 2005, Susan Chambers, Wal-Mart Internal Memo, 2005] * Between 2003 and 2004, Wal-Mart increased its advertising budget by $434 million, only increasing its spending on employee health care by $100 million. That means Wal-Mart increased its spending on advertising by 45 percent while only increasing its spending on employee health care by 7 percent. [Wal-Mart Annual Report 2005, Susan Chambers, Wal-Mart Internal Memo, 2005] * In fact, Wal-Mart has consistently increased spending on advertising more than its spending on employee health care. Between 2002 and 2003, Wal-Mart put more new funds into advertising than into health care. Wal-Mart increased spending on advertising by $290 million, while only increasing health care spending by $215 million for the same period. (note: this also occurred in 1995-96, 1997-98,1998-1999). [Wal-Mart Annual Reports and 5500 Filings] One Out of Six Wal-Mart Employees Has No Health Care Coverage At All * This is more than double the national percentage for large firms (firms with over 100 employees). In fact, we estimate that Wal-Mart accounted in 2005 for more than 1 out of every 40 uninsured workers who are employed at a large firm. [Susan Chambers, Wal-Mart Internal Memo, 2005; Wal-Mart Annual Report; �Employer-Sponsored Health Insurance Coverage: Sponsorship, Eligibility, and Participation Patterns in 2001,� Bowen Garrett, Ph.D., released by the Kaiser Family Foundation September 2004]. Back to top Costs to Taxpayers Download the Wal-Mart and Cost to Taxpayers fact sheet - PDF Your tax dollars pay for Wal-Mart's greed * The estimated total amount of federal assistance for which Wal-Mart employees were eligible in 2004 was $2.5 billion. [The Hidden Price We All Pay For Wal-Mart, A Report By The Democratic Staff Of The Committee On Education And The Workforce, 2/16/04] * One 200-employee Wal-Mart store may cost federal taxpayers $420,750 per year. This cost comes from the following, on average: o $36,000 a year for free and reduced lunches for just 50 qualifying Wal-Mart families. o $42,000 a year for low-income housing assistance. o $125,000 a year for federal tax credits and deductions for low-income families. o $100,000 a year for the additional expenses for programs for students. o $108,000 a year for the additional federal health care costs of moving into state children's health insurance programs (S-CHIP) o $9,750 a year for the additional costs for low income energy assistance. [The Hidden Price We All Pay For Wal-Mart, A Report By The Democratic Staff Of The Committee On Education And The Workforce, 2/16/04] Health care subsidies compared to executive compensation * Excluding his salary of $1.2 million, in 2004 Wal-Mart CEO Lee Scott made around $22 million in bonuses, stock awards, and stock options in 2004. * This $22 million could reimburse taxpayers in 3 states where Wal-Mart topped the list of users of state-sponsored health care programs, covering more than 15,000 Wal-Mart employees and dependents. [Wal-Mart Proxy Statement and News Articles GA, CT, AL]. Your tax dollars subsidize Wal-Mart's growth * The first ever national report on Wal-Mart subsidies documented at least $1 billion in subsidies from state and local governments. * A Wal-Mart official stated that �it is common� for the company to request subsidies �in about one-third of all [retail] projects.� This would suggest that over a thousand Wal-Mart stores have been subsidized. [�Shopping For Subsidies: How Wal-Mart Uses Taxpayer Money to Finance Its Never-Ending Growth,� Good Job First, May 2004] Back to top Community Impact Download the Wal-Mart and Community Impact Fact Sheet - PDF Wal-Mart�s growth negatively impact worker�s wages * The most comprehensive study of Wal-Mart�s impact showed that the stores reduced earnings per person by 5 percent. This 2005 study by an economist from the National Bureau of Economic Research used Wal-Mart�s own store data and government data for all counties where Wal-Mart has operated for 30 years, It found that the average Wal-Mart store reduces earnings per person by 5 percent in the county in which it operates. [David Neumark, The Effects of Wal-Mart on Local Labor Markets 2005] The Cost of Wal-Mart�s entry into a community can be significant * According to a 2003 estimate, the influx of big-box stores into San Diego would result in an annual decline in wages and benefits which could cost the area up to $221 million [San Diego Taxpayers Association (SDCTA), 2003] Lower wages mean less money for communities * When an employer pays low wages to its employees, the employees have less money to spend on goods and services in the community, which in turn reduces the income and spending of others in the community. In other words a reduction in wages has a multiplier impact in the surrounding area. * For instance, in 1999, Southern California municipalities estimated that for every dollar decrease in wages in the southern California economy, $2.08 in spending was lost-- the $1 decrease plus another $1.08 in indirect multiplier impacts. [�The Impact of Big Box Grocers in Southern California� Dr. Marlon Boarnet and Dr. Randall Crane, 1999.] Wal-Mart hurts other businesses when it comes to town. * In Maine, existing businesses lost over 10 percent of their market in 80 percent of the towns where Wal-Mart opened stores. [Georgeanne Artz And James McConnon, The Impact of Wal-Mart on Host Towns and Surrounding Communities in Maine, 2001] * Food stores in Mississippi lost 17 percent of their sales by the fifth year after a Wal-Mart Supercenter had come into their county, and retail stores lost 9 percent of their sales [Kenneth Stone and Georgeanne Artz, The Economic Impact of a Wal-Mart Supercenter on Existing Businesses in Mississippi, 2002] * Over the course of [a few years after Wal-Mart entered a community], retailers' sales of apparel dropped 28% on average, hardware sales fell by 20%, and sales of specialty stores fell by 17%. [Kenneth Stone at Iowa State University, �Impact of the Wal-Mart Phenomenon on Rural Communities,� 1997] * In towns without Wal-Marts that are close to towns with Wal-Marts, sales in general merchandise declined immediately after Wal-Mart stores opened. After ten years, sales declined by a cumulative 34%. [Kenneth Stone at Iowa State University, �Impact of the Wal-Mart Phenomenon on Rural Communities,� 1997] Wal-Mart destroys the environment * Between 2003 and 2005, state and federal environmental agencies fined Wal-Mart $5 million. * In 2005, Wal-Mart reached a $1.15 million settlement with the State of Connecticut for allowing improperly stored pesticides and other pollutants to pollute streams. This was the largest such settlement in state history. [Hartford Courant, 8/16/05] * In May 2004, Wal-Mart agreed to pay the largest settlement for stormwater violations in EPA history. The United States sued Wal-mart for violating the Clean Water Act in 9 states, calling for penalties of over $3.1 million and changes to Wal-Mart�s building practices. [U.S. Environmental Protection Agency, May 12, 2004, U.S. v. Wal-Mart Stores Inc., 2004 WL 2370700] * In 2004, Wal-Mart was fined $765,000 for violating Florida�s petroleum storage tank laws at its automobile service centers. Wal-Mart failed to register its fuel tanks, failed to install devices that prevent overflow, did not perform monthly monitoring, lacked current technologies, and blocked state inspectors. [Associated Press, 11/18/04] * In Georgia, Wal-Mart was fined about $150,000 in 2004 for water contamination. [Atlanta Journal-Constitution, 2/10/05] Wal-Mart increases vehicle traffic * A 2004 study of estimated additional driving costs of Supercenters in the San Francisco Bay area concluded that there would be up to an additional 238 million vehicle miles traveled per year. [Supercenters and the Transformation of the Bay Area Grocery Industry: Issues, Trends, and Impacts. Bay Area Economic Forum, 2004] * These extra miles traveled could cost communities in the Bay area up $ 256 million in additional costs for infrastructure repair and environmental degradation. [Supercenters and the Transformation of the Bay Area Grocery Industry: Issues, Trends, and Impacts. Bay Area Economic Forum, 2004] Wal-Mart desecrates sacred grounds * A nonprofit group that oversees the care of Native Hawaiian remains filed a lawsuit in 2003 against Wal-Mart, the State of Hawaii and the City of Honolulu. It alleged they violated state law dealing with the protection of preservation of human remains and desecration of graves. More than 60 sets of human remains were found at the Wal-Mart construction site in Honolulu. [KHNL-TV/KHBC/KOGG, HI. 7/20/2005] * In 2004, Wal-Mart built a 71,902-square-foot store near the Pyramids of the Sun and Moon in San Juan Teotichuacan, Mexico. Teotihuacan was called the place where the gods were created by the Aztecs. [Knight Ridder, 10/25/04] * In 1997, the Alliance for Native American Indian Rights in Tennessee called for a retail boycott of Wal-Mart after construction began on a site for a new store near Nashville. According to a state archaeologist, the site contained 150 graves. [Fulton County Daily Report, 11/30/00, Chattanooga Free Press, 11/23/98] Wal-Mart's empty stores are blighting communities * As of May 2006, Wal-Mart Realty has listed 320 vacant or soon to be vacant properties that the company is looking to lease or sell. They total to over 25 million square feet. Combined they are more than 6 times larger than the Pentagon building and larger than 440 football fields. [www.walmartrealty.com] * Wal-Mart�s rapid expansion of Supercenters and Sam's Clubs has contributed to hundreds of vacant stores across the country. [�Wal Mart site: Use as is or rebuild?�, Dallas Morning News, 2/20/02] * When Wal-Mart decides to convert a discount store into a larger Supercenter, it is often cheaper or easier simply to relocate entirely. David Brennan, associate professor of marketing at the University of St. Thomas, in St. Paul, Minn, noted that Wal-Mart stores relocate so regularly that, �it is not uncommon to relocate right across the street. [�Home Depot to Move from Old to New Store Next Door,� Providence News-Journal, 8/17/03] * Wal-Mart�s stores are uselessly large for most other tenants. An average discount store is 97,000 square feet. Wal-Mart�s Supercenters are on average nearly twice as large at 186,000 square feet. [www.walmartfacts.com] * Also Wal-Mart often resists other large retail stores moving in. A president of a major real estate developer in Dallas said in 2002, �TheyThere are times when it [Dallas Morning News 2/20/02, Wall Street Journal, 9/15/04] * Wal-Mart planned to build another 60 million square feet of store space in 2006, or roughly the equivalent of 1,040 football fields or 16 Pentagon buildings. [Wal-Mart Stores, Twelfth Annual Analysts' Meeting, FD (Fair Disclosure) Wire October 25, 2005] Back to top Wal-Mart and Imports * Wal-Mart highlights its American suppliers but imports 60 percent of its goods * Wal-Mart directly imported 60 percent of the goods they sold in the U.S. in 2004. [Frontline, 11/16/2004] * Just because Wal-Mart bought goods from suppliers based in the United States does not mean that they were actually manufactured in the United States. In fact, Ray Bracy, Wal-Mart's vice president for federal and international public affairs, was asked, �Do you have any idea what percentage [of non-grocery, domestic sales] comes from overseas?� He responded, �What we don't know is the numbers of products that come from distributors or from manufacturers that they [sic] decide where to manufacture.� Wal-Mart fails to track where their products are manufactured. [Frontline, 11/16/2004] Wal-Mart and China Wal-Mart buys much of its merchandise from China * Wal-Mart reports that it purchased $18 billion of goods from China in 2004. * Wal-Mart was responsible for about 1/10th of the U.S. trade deficit with China in 2005. [�U.S. Stock Investors Wary of Analyst `Yuan Plays': Taking Stock, Bloomberg, 7/1/05] * If Wal-Mart were an individual economy, it would rank as China�s eighth-biggest trading partner, ahead of Russia, Australia and Canada. [China Business Weekly, 12/02/2004] Many of Wal-Mart's �American Suppliers� actually manufacture most or all of their products in China * An example of an �American Supplier� is Hasbro, headquartered in Rhode Island. Today, Wal-Mart is the largest purchaser of Hasbro products�accounting for 21 percent of all Hasbro goods or more than $600 million in sales. But Hasbro reports, �We source production of substantially all of our toy products and certain of our game products through unrelated manufacturers in various Far East countries, principally China.� Hasbro specifies that �the substantial majority of our toy products are manufactured in China.� [2004 Hasbro 10-K filed with the SEC] Wal-Mart's Chinese factory workers are treated poorly * Workers making clothing for Wal-Mart in Shenzhen, China filed a class action lawsuit against Wal-Mart in September 2005 claiming that they were not paid the legal minimum wage, not permitted to take holidays off and were forced to work overtime. They said their employer had withheld the first three months of all workers' pay, almost making them indentured servants because the company refused to pay the money if they quit. [New York Times, September 14, 2005] * Workers making toys for Wal-Mart in China�s Guangdong Province reported that they would have to meet a quota of painting 8,900 toy pieces in an eight hour shift in order to earn the stated wage of $3.45 a day. If they failed to meet that quota, the factory would only pay them $1.23 for a day�s work. [China Labor Watch, December 21, 2005] Elsewhere workers producing goods for Wal-Mart also face appalling conditions, despite Wal-Mart�s factory inspection program * Workers from Bangladesh, China, Indonesia, Nicaragua and Swaziland brought a class action lawsuit against Wal-Mart in September 2005 asserting that the company�s codes of conduct were violated in dozens of ways. They said they were often paid less than the legal minimum wage and did not receive mandated time-and-a-half for overtime, and some said they were beaten by managers and were locked in their factories. [New York Times, September 14, 2005] * A female apparel worker in Dhaka, Bangladesh, said she was locked into the factory and did not have a day off in her first six months. She said she was told if she refused to work the required overtime, she would be fired. Another worker said her supervisor attacked her �by slapping her face so hard that her nose began bleeding simply because she was unable to meet� her �high quota.� [New York Times, September 14, 2005] * In 2004, only 8 percent of Wal-Mart inspectors� visits to factories were unannounced, giving supervisors the chance to coach workers what to say and hide violations. Wal-Mart claimed it planned to double unannounced visits by its inspectors but that would still leave 80 percent of inspections announced. [CFO Magazine, August 2005] * A former Wal-Mart executive James Lynn has sued the company claiming he was fired because he warned the company that an inspection manager was intimidating underlings into passing Central American suppliers. Lynn documented forced pregnancy tests, 24-hour work shifts, extreme heat, pat-down searches, locked exits, and other violations of the labor laws of these Central American countries. [New York Times, July 1, 2005 and James Lynn to Odair Violim, April 28, 2002, www.nclnet.org] Back to top Wal-Mart and Worker Injuries Wal-Mart cares little for the safety of its workers * In 2005, the United States Court of Appeals for the District of Columbia Circuit has upheld a $5,000 fine against a Wal-Mart store in Hoover, Ala., for blocking emergency exits. The court upheld a decision by a judge who found that Wal-Mart was guilty of a serious and repeated offense. [New York Times, 5/17/05] * According to New York Times report in 2004, Wal-Mart instituted a �lock-in� policy at some of its Wal-Mart and Sam�s Club stores. The stores lock their doors at night so that no one can enter or leave the building, leaving workers inside trapped. Some workers reported that managers had threatened to fire them if they ever used the fire exit to leave the building. Instead, they were supposed to wait for a manager to unlock doors to allow employees to escape in an emergency. [New York Times 1/18/2004] * The West Virginiastate workmen�s comp agency placed Wal-Mart in an �adverse risk� pool because Wal-Mart had unusually high accident rates. [Charleston Gazette, 6/3/99] Wal-Mart takes a combative approach to workers� compensation claims * Arkansas Business in 2001 described Wal-Mart as �the state�s most aggressive� when it comes to challenging worker�s compensation claims. The company �stands far above any other self-insurer in challenges to employee claims.� [Arkansas Business, 1/8/01] Back to top Wal-Mart Non-Health Care Benefits Wal-Mart fails to provide a secure retirement benefit for its employees. * Wal-Mart sponsors two retirement plans � a profit sharing plan and 401(k) plan � neither of which guarantee workers a fixed monthly pension benefit. * Wal-Mart has shifted risks to employees by concentrating investment in its own stock. From January 2000 to January 2005, the average adjusted share price of Wal-Mart�s stock lost more than a fifth of its value. By being concentrated in one security, employees� retirement plans are subject to the whims of one stock rather than having the safety of a diversified portfolio. [Wal-Mart Annual Reports, 2000-2005] * Wal-Mart's retirement plans are Enron-like -- in 2003-04, 67% of their combined assets were invested in Wal-Mart stock. [Wal-Mart Stores 5500 IRS Filing, 2004] Wal-Mart shares little of its $11 billion profits with employees. * In 2004, Wal-Mart contributed $570 a year per U. S. employee for profit sharing and 401(k) plans for the United States. [Chambers, Wal-Mart Internal Memo, 2005, www.walmartfacts.com] * To boost its profits by 1 percent, Wal-Mart is seeking to reduce its contributions to the profit sharing and 401(k) plans from 4 percent of wages to 3 percent of wages. As opposed to reducing the benefit to the 1.2 million hourly workers, Wal-Mart should reduce the number of stock options that it grants to management. In 2004, this expense amounted to 2 percent of net profit. [Susan Chambers, Wal-Mart Internal Memo, 2005, Wal-Mart Proxy Statements 2004-5] Wal-Mart shifts retirement costs onto communities * When employees retire without adequate savings and benefits, they are less able to pay for health care, housing, and food. Communities and taxpayers ultimately bear the cost. Back to top Wal-Mart Anti-Union Policy Wal-Mart closes down stores and departments that unionize * Wal-Mart closed its store in Jonquierre, Quebec in April 2005 after its employees received union certification. The store became the first unionized Wal-Mart in North America when 51 percent of the employees at the store signed union cards. [Washington Post, 4/14/05] * In December 2005, the Quebec Labour Board ordered Wal-Mart to compensate former employees of its store in Jonquiere Quebec. The Board ruled that Wal-Mart had improperly closed the store in April 2005 in reprisal against unionized workers. [Personnel Today, 12/19/05] * In 2000, when a small meatcutting department successfully organized a union at a Wal-Mart store in Texas, Wal-Mart responded a week later by announcing the phase-out of its in-store meatcutting company-wide. [Pan Demetrakakes, Is Wal-Mart Wrapped in Union Phobia? Food & Packaging 76 (August 1, 2003).] Wal-Mart has issued A Manager * This toolbox provides managers with lists of warning signs that workers might be organizing, including frequent meetings at associates and associates who are never seen together start talking or associating with each other. The Toolbox gives managers a hotline to call so that company specialists can respond rapidly and head off any attempt by employees to organize. [Wal-Mart, A Manager�s Toolbox to Remaining Union Free at 20-21] Wal-Mart is committed to an anti-union policy * In the last few years, well over 100 unfair labor practice charges have been filed against Wal-Mart throughout the country, with 43 charges filed in 2002 alone. * Since 1995, the U.S. government has been forced to issue at least 60 complaints against Wal-Mart at the National Labor Relations Board. [International Confederation of Free Trade Unions (ICFTU), Internationally Recognised Core Labour Standards in the United States: Report for the WTO General Council Review of the Trade Policies of the United States (Geneva, January 14-16, 2004)] * Wal-Mart�s labor law violations range from illegally firing workers who attempt to organize a union to unlawful surveillance, threats, and intimidation of employees who dare to speak out. [�Everyday Low Wages: The Hidden Price We All Pay for Wal-Mart, A Report by the Democratic Staff of the Committee on Education and the Workforce, 2/16/04] Back to top Wal-Mart & Gender Discrimination Download the Wal-Mart and Gender Discrimination fact sheet - PDF Wal-Mart discriminates against women * In 2001, six women sued Wal-Mart in California claiming the company discriminated against women by systematically denying them promotions and paying them less than men. The lawsuit, Dukes v. Wal-Mart, has expanded to include more than 1.6 million current and former female employees, and was certified on June 21 2004 as the largest class action lawsuit ever. [Mondaq Business Briefing, November 1, 2004] * In 2001, while more than two-thirds of Wal-Mart� Financial Times 11, 11/20/03] * In 2001, women managers on average earned $14,500 less than their male counterparts. Female hourly workers earned on average $1,100 less than male counterparts. [Drogin 2003] * In 2001, for the same job classification, women earned from 5 percent to 15 percent less than men, even after taking into account factors such as seniority and performance. [Drogin 2003] Back to top Wal-Mart & Child Labor Download the Wal-Mart and Child Labor fact sheet - PDF Wal-Mart violates Child Labor Laws * An internal Wal-Mart audit found extensive violations of child-labor laws and state regulations requiring time for breaks and meals.� [New York Times, 1/13/04] * One week of time records from 25,000 employees in July 2000 found 1,371 instances of minors working too late, during school hours, or for too many hours in a day. There were 60,767 missed breaks and 15,705 lost meal times. [New York Times, 1/13/04] * Wal-Mart agreed to pay $135,540 to settle child labor violation charges in January 2005 for allegedly breaking child labor laws in 24 incidents. [Wall Street Journal, 2/12/05] * Connecticut Governor M. Jodi Rell announced that the state found 11 violations in three Wal-Mart stores in the state and that 337 minors worked at the company's 32 Connecticut stores from 2003 to 2005. The probe came after the Labor Department in February said the retailer had similar violations nationwide. [Bloomberg News, 6/22/05] * Wal-Mart has also been fined $205,650 for 1,436 violations of child labor laws in Maine for the period 1995 to 1998. The settlement represents the largest number of citations as well as the largest fine ever issued by the Maine Department of Labor for child labor violations. [Bureau of Business Practice News] Back to top Wal-Mart & Undocumented Immigrants * In 2003, federal authorities arrested 250 undocumented immigrants who were employed by janitor contracting services and hired by Wal-Mart in 21 states. Many of the janitors - from Mexico, Russia, Mongolia, Poland and a host of other nations - worked seven days or nights a week without overtime pay or injury compensation. Those who worked nights were often locked in the store until the morning. [Wall Street Journal, 11/5/05, CNN Money, �Wal-Mart pays $11m over illegal labor�, 2005] * In March 2005, Wal-Mart agreed to pay $11 million to settle federal allegations it used undocumented immigrants to clean its stores. This was the largest immigration related fine ever levied. [CNN Money, �Wal-Mart pays $11m over illegal labor�, 2005 and Wall Street Journal, 11/5/05] * In October 2005, Wal-Mart shut down work on seven stores under construction in North Dakota to check for undocumented workers after two illegal immigrants working on Wal-Mart projects in Bismarck were charged with molesting two 13-year-old girls. [Associated Press, 11/18/05] * Federal immigration officers, in November 2005, arrested 125 illegal workers in a raid at a Wal-Mart distribution center under construction north of Philadelphia. The workers from Costa Rica, El Salvador, Guatemala, Honduras and Mexico were detained Thursday at the site. [Associated Press, 11/18/05]