Report Critiques Wal-Mart's Sustainability Initiatives

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Wal-Mart, who announced in 2005 a number of "sustainability initiatives" ranging from increased wages to measures aimed at curbing the company's carbon emissions, is the target of a new report titled "

The report's key findings:

CRITIQUES OF WAL-MART'S SUSTAINABILITY COMMITMENTS

Organics: Although the company announced plans to expand organic products, the Cornucopia Institute has documented incidents of Wal-Mart misrepresenting conventional food products as organics and charges that the company has attempted to drive down organic prices by using factory farm products of questionable quality, including some from China and other countries where regulations are weak.

Sustainable Seafood: Wal-Mart has committed to selling only sustainable seafood in North America. However, according to Food and Water Watch, the certification program that Wal-Mart is using, the Marine Stewardship Council, has a record of accrediting fisheries with poor environmental records. Moreover, Food and Water Watch questions whether it is even possible to source seafood sustainably on the massive scale required by the world's largest retailer.

Shrimp: Wal-Mart has committed to selling only sustainably farmed imported shrimp. The certification process will rely on weak standards developed without input from communities affected by the industry's destruction of mangroves and other wetlands. Moreover, according to the Mangrove Action Project, enforcement is likely to be weak because third party reviewers are not truly independent.

Illegal Logging: Wal-Mart claims that it will remove illegal wood products from its supply chain. But the Environmental Investigation Agency charges that the company has failed to monitor its suppliers adequately. Moreover, Wal-Mart's constant demand of decreased prices from its suppliers drives illegal logging, and some 47 percent of Wal-Mart's wood-containing products are manufactured in China, which sources from countries known to have major problems with illegal logging.

Paper and Paper Packaging: Wal-Mart has committed to reduce its paper packaging, but has not taken important steps forward like endorsing the Forest Stewardship Council (FSC) certification. Due to the major environmental impact of logging and paper production, it is important for Wal-Mart to establish stringent standards for its suppliers.

Cypress Mulch: Wal-Mart is fueling the destruction of cypress forests, the Gulf Coast's best natural storm and flooding protection, by distributing cypress mulch throughout the

country. Wal-Mart was proud of their relief work after Hurricane Katrina, but now the company is endangering coastal communities and important wildlife along the Gulf of Mexico. The Gulf Restoration Network and the Save Our Cypress Coalition are working to convince Wal-Mart to drop this unsustainable product.

Toxic Toys: Wal-Mart has committed to phasing out PVC plastic in packaging and some products and last year announced plans to restrict some of the most toxic chemicals from their products. However, according to the Center for Health, Environment and Justice, the company has not committed to eliminating toys made with phthalates and PVC plastic, despite the availability of safer alternatives.

CRITIQUES OF WAL-MART'S UNSUSTAINABLE MODEL

Global Warming: Wal-Mart's goals for reducing global warming pollution leave many sources of greenhouse gases off the table. According to the Institute for Policy Studies and Friends of the Earth, the company's supply chain creates more than 40 times the emissions the firm says it is aiming to eliminate. Combined with emissions from its retail operations, Wal-Mart's greenhouse gases are the equivalent of about half the amount produced annually by France. Wal-Mart's "cheap" imports are not cheap if you consider the estimated 2 million tons of annual carbon emissions associated with shipping from China to U.S. ports, pollution from inefficient non-U.S. trucking fleets, and the health impacts of port pollution on local communities. Wal-Mart's contribution to sprawl has increased shopping travel to the point where traffic associated with its stores produces more carbon dioxide than all of its other U.S. greenhouse gas emissions combined.

Slashing Costs to the Bone: Wal-Mart's CEO claims his vision for sustainability goes beyond green products to "people who live sustainable lives." In reality, the company continues to squeeze workers and suppliers in a global "race to the bottom" in wages, benefits and working conditions. WakeUpWalMart.com charges that that no company has done more to feed our nation's health care crisis, while American Rights at Work exposes the company's aggressive interference with worker rights to form unions. On the international front, the International Labor Rights Forum, STITCH, ActionAid International USA, and Agribusiness Accountability Initiative document how Wal-Mart has used its market power to cut costs at the expense of workers and producers in the developing world. Food and Water Watch discuss the impacts on consumer safety as a byproduct of an unchecked food supply.

Undermining Communities: Wal-Mart's massive scale undermines the independent businesses that form the fabric of healthy, sustainable communities. And despite the company's claims to the contrary, numerous studies indicate that Wal-Mart destroys more jobs than it creates. Global Exchange and Centro de Investigacion Laboral y Asesoria Sindical (CILAS) look at how the company has hurt communities, jobs and the environment in Mexico, where it is also the leading retailer. Jobs with Justice and the American Independent Business Alliance share first-hand accounts of community impacts and resistance, while Good Jobs First documents how Wal-Mart has strained communities by pocketing massive subsidies - at least $1.2 billion to date.

Distorting Democracy: Wal-Mart has used its massive political clout to support an anti-sustainability agenda in the U.S. Congress. According to Corporate Ethics International, two-thirds of the company PAC's campaign contributions in the last election went to candidates who earned failing grades from the League of Conservation Voters.

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This page contains a single entry by published on November 19, 2007 4:32 PM.

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