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Friday, October 7, 2005
Advocates push for Living Wage by Nora Sharp The Oberlin Review
Community members almost outnumbered
students Wednesday night at what started out as an informative panel on
the Oberlin Living Wage proposal, but ended up dissolving into bickering
as opposing factions of the audience traded barbs about each other's
conduct in the fight against Wal-Mart.
Most audience members seemed to decline
side-taking; the division seemed to be between those who support how the
city council of Oberlin has responded to the threat of Wal-Mart and those
who blame the city council for it. The evening was called to a close just
short of an imminent throwdown with attorney Gerald Phillips and his To Oberlin students who are not familiar with every detail of the ongoing Wal-Mart drama, the episode may have posed more questions than it answered about Oberlin community relations.
Fortunately, the better part of the night
was devoted to a lengthy
The panel was moderated by Phillips, the
lawyer advocating for the Living Wage charter in the city of Oberlin.
Before introducing the first speaker, Phillips told the audience that
Oberlin voters will have the opportunity to vote on the charter on Nov. 8.
He also explained the basic provisions of the Living Wage charter.
The Living Wage, if implemented, would be a
minimum worker salary imposed on Oberlin businesses that receive
government subsidies above a certain threshold, with a higher wage
required for companies that do not provide healthcare benefits for
employees. Oberlin's charter would also have exemptions for small
businesses. The
The first panelist, John Gallo from the
Cleveland American Federation of Labor and Congress of Industrial
Organization, was involved in the formulation of the Cleveland Living
Wage, a three-year process that began in 1998.
"A Living Wage [means] to not use public
funds to promote poverty jobs," Gallo said after explaining how business
and commercial interests are supported by government money. "It's to say
that if a city is going to give government money to a company, the
"It's something that's necessary ,and it s a
good thing wherever it is, despite its weaknesses," he said.
Gallo also firmly asserted that living wages
will boost, not harm, economic well-being in cities where they are
instituted because they provide higher wages to residents who will spend
all of their money on goods and services within the city.
Rick Fromberg, who took the podium after
Gallo, drew the discussion to Wal-Mart.
Fromberg is the Senior Regional Organizer of
Wal-Mart Watch, a national organization working in coalition with 400
smaller groups around the country to "inform the public about some of
Wal-Mart's unfair business practices," in Fromberg's words.
In every way, Wal-Mart is persisting in
being a negative influence wherever they are, he said.
Fromberg noted specifically that Wal-Mart '
average hourly wage is $9.68 per hour, $2.60 lower than the national
retail average.
In Ohio, Wal-Mart s average wage is only
$9.46 per hour.
Fromberg moved on to cover Wal-Mart s
inadequate healthcare coverage Wal-Mart only covers 44 percent of their
employees nationally, whereas the average for large companies in the U.S.
is 66 percent - as well as the effect that a Wal-Mart store can have on
local communities and regional companies.
"For every Super Wal-Mart like the one
proposed here in Oberlin, two small-size grocers are put out of business,"
he said.
Wal-Mart is also responsible for forcing
Rubbermaid, northeastern Ohio company and supplier of products Wal-Mart
sells, to close its doors and move overseas in order to afford Wal-Mart's
"always low prices."
Fromberg did emphasize that the goal of
Wal-Mart Watch is not to shut down Wal-Mart, only to reform the company.
"As the biggest company in the world,
Wal-Mart has an amazing amount of market power," he said. "They could
provide healthcare and a living wage to boost the entire economy."
Amy Hanauer, the executive director of
Policy Matters Ohio, spoke after Fromberg and brought his ideas about
Wal-Mart's potential to a cohesive conceptual level.
Policy Matters Ohio is a nonprofit
organization formed in January 2002 "to address issues facing working
people," Hanauer said. Her focus was the dichotomy in choices companies
can make about their business practices. "We talk about the high road and the low road," she said.
The "low road" of profit-making involves
avoiding taxation, paying low wages and denying employee benefits.
The "high road" is a path of community
investment and high wages and benefits for employees.
After explaining the difference, Hanauer
elaborated on the ways in which Wal-Mart has chosen the low road, citing
lawsuits Wal-Mart has been involved in, including employee discrimination
and child labor offenses. She also contrasted Wal-Mart with Costco, a
similar big-box store that sells in bulk but has shown how the high road
"If I m going to leave you with one point,
it's that we want to subsidize the high road, and Wal-Mart kind of
epitomizes the low road," she finished.
Jaclyn Stacy, the regional organizer for
Jobs with Justice, spoke briefly after Hanauer about her action-oriented
work in fighting Wal-Mart. Stacy is helping to plan a national week of
action against Wal-Mart from Nov. 13-19. She encouraged Oberlin students
in the audience to get involved.
Bob Strommen, who represented the United
Food and Commercial Workers, brought the panel discussion back to the
Living Wage issue by recounting his experiences creating an ordinance in
Lakewood, Ohio.
"What I'm saying to you is, work for this
ordinance," Strommen urged the audience. "The Living Wage ordinance is
worth having. Wal-Mart is also worth fighting, but this ordinance is worth
having quite apart from what it will or won't do for Wal-Mart."
As the panel moved into its
question-and-answer session, audience members demonstrated their agreement
with Strommen through concerned and sometimes quite opinionated
statements. Dynamics in the lecture hall remained civil until a few people
began directly attacking each other. Despite its unfortunately negative ending, the panel was productive and the well informed and varied speakers were successful in shedding light on the Living Wage proposal.
The Oberlin Review 10/07/2005
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