Walmart and Politics

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Walmart is a major player in federal, state and local politics. From the 2000 election cycle through the 2012 cycle, the Walmart Political Action Committee and the company’s majority shareholders, the Walton family, spent nearly $17 million in federal elections.[1]

More than $11.6 million—69% of their contributions—went to Republican candidates and committees. In contrast, the Walmart PAC and the Walton family have given $4.6 million to Democrat candidates and committees.[2]

Walmart uses corporate funds to contribute to candidates and ballot measure committees. [3] The company has been a major funder of the Republican State Leadership Committee (RSLC), the group behind the 2010 Republican takeover of state legislatures, giving over $1.5 million to the group since 2004.[4]

At the state level, Walmart has spent almost all of its political contributions on Republican candidates and committees as well as on ballot initiatives that help it build new stores or limit government regulation.[5] According to California Watch, Walmart has used the ballot initiative process to threaten costly special elections and circumvent environmental review in that state: The Arkansas-based retailer has hired paid signature gatherers to circulate petitions to build new superstores or repeal local restrictions on big-box stores. Once 15 percent of eligible voters sign the petitions, state election law puts cash-strapped cities in a bind: City councils must either approve the Wal-Mart-drafted measure without changes or put it to a special election. As local officials grapple with whether to spend tens of thousands or even millions of taxpayer dollars on such an election, Wal-Mart urges cities to approve the petition outright rather than send it to voters. [6]

Support for American Legislative Exchange Council

In August 2011, *Walmart Stores and the *Walton Family Foundation were listed as chairman-level sponsors of the ALEC’s annual meeting.[7] A chairman sponsorship cost $50,000 in 2010. From 2011 to 2012, Walmart’s then-VP of Public Affairs, Maggie Sans, served as the secretary of ALEC’s private enterprise board.[8] Walmart executive Janet Scott was the co-chair of ALEC’s Criminal Justice Task Force in 2005, when the task force approved template language for “Stand Your Ground” laws.[9] Walmart is also the nation's largest seller of guns and ammunition and gun sales for the company have been rising [10].

In May 2012, Walmart withdrew from the organization.[11] The Walton Family Foundation has yet to publicly sever ties with ALEC, however. Since at least 2000, ALEC has backed a number of retail-related bills, including:

  • A bill that establishes "additional regulations" on swap meets and flea markets, making it harder for those small sellers to compete with retailers like Walmart;
  • A bill that would make it a "felony" to steal from three separate retailers, no matter the value of the stolen merchandise;
  • A bill that creates harsher penalties for thieves who leave stores through the "emergency exit" door.

Lobbying

In 2013, Walmart spent $7,260,000 on its lobbying efforts. With the help of 14 staff lobbyists and 14 outside lobbying firms, Walmart lobbied on dozens of issues at 13 federal agencies, as well as Congress and the White House.[12]

A top priority for the company has long been taxes, with issues ranging from corporate tax reform to online sales taxes.[13] The vast majority of Walmart’s 90 lobbyists are former Hill staffers. Additionally, five were former members of Congress.[14] The lobbying firms included Patton Boggs; Prime Policy Group; Sandler, Travis & Rosenberg; Mehlman Vogel Castagnetti; and Podesta Group.

In 2014, the company has also lobbied extensively on the issue of the minimum wage, despite initially claiming they were neutral on a proposed minimum wage increase [15]


Articles and Resources

References

  1. Walmart 1% "Distorting Our Democracy" Walmart1Percent.org Accessed June 26, 2014.
  2. Analysis of data from "Center for Responsive Politics" OpenSecrets.org Accessed June 26, 2014.
  3. Walmart Stores "Political and Policy Oriented Engagement" Accessed July 22, 2014.
  4. Walmart 1% "How Walmart Helped Lay the Groundwork for the Government Shutdown" Walmart1Percent.org October 7, 2013.
  5. Follow the Money "Noteworthy Contributor Summary: Wal-mart" Followthemoney.org Accessed June 26, 2014.
  6. Will Evans "Walmart Ramps up Ballot Threats to Speed New Stores" California Watch Blog November 21, 2011.
  7. Zaid Jilani "EXPOSED: The Corporations Funding The Annual Meeting Of The Powerful Right-Wing Front Group ALEC" Think Progress August 5, 2011
  8. Making Change at Walmart "Walmart 1% Among Leading Supporters of Right-wing ALEC" Walmart Watch Blog February 29, 2012.
  9. Walmart 1% "What's the Walmart Connection to the Shooting of Trayvon Martin" Walmart1Percent.org March 27, 2012.
  10. Walmart 1% "While Walmart Gun Sales Rise" January 7, 2013.
  11. Associated Press "Walmart Withdraws from Conservative Group ALEC" Politico.com May 31, 2012.
  12. Center for Responsive Politics "Walmart Stores: Summary" OpenSecrets.org, accessed June 25, 2014.
  13. Center for Responsive Politics "Walmart Stores: Client Summary, Issues" OpenSecrets.org, accessed June 25, 2014.
  14. Center for Responsive Politics "Walmart Stores: Summary, Lobbyists Representing Walmart Stores, 2013" OpenSecrets.org, accessed June 25, 2014
  15. Lydia DePillis "Walmart Says Its Neutral on a Minimum Wage Hike Lobbying Disclosures Suggest Otherwise" Washington Post, February 21, 2014.