Wall Street Critical Of Costco - TOO KIND TO WORKERS

[matcom]

<snip>

When it comes to workers, companies can be accused of not paying enough -- or paying too much.

Wal-Mart Stores Inc.'s parsimonious approach to employee compensation has made the world's largest retailer a frequent target of labor unions and even Democratic presidential candidate John Kerry, who has accused the Bentonville, Ark., chain of failing to offer its employees affordable health-care coverage.

In contrast, rival Costco Wholesale Corp. often is held up as a retailer that does it right, paying well and offering generous benefits.

But Costco's kind-hearted philosophy toward its 100,000 cashiers, shelf-stockers and other workers is drawing criticism from Wall Street. Some analysts and investors contend that the Issaquah, Wash., warehouse-club operator actually is too good to employees, with Costco shareholders suffering as a result.

http://online.wsj.com/article_email/0,,SB108025917854365904-INjeoNplaV3oJ2pan2IbauIm4,00.html

[Systematic Chaos]

1. Well too farking bad for the poor pitiful shareholders!

I will silently weep for them when I finally go to sleep today. Really, I won't.

[blurp]

45. Shareholders never paid a dividend.

Yeah, they're raking it in alright, except for the part about them getting squat from the company.

http://moneycentral.msn.com/investor/charts/chartdl.asp?Symbol=COST&ShowChtBt=Refresh+Chart&DateRangeForm=1&CP=0&PT=8&C5=1&C6=&C7=1&C8=&C9=0&ComparisonsForm=1&CE=0&CompSyms=&DisplayForm=1&D9=1&D0=1&D4=1&D5=0&D7=&D6=&D3=0

[Walt Starr]

2. Well, let's buy Costco stock!

I'm looking into some changes in my portfolio ASAP.

[wicket]

3. Same here!

I'm going to do the same thing. Also, there is a huge Costco near my new apartment, I'm going to start getting EVERYTHING there.

[ironflange]

46. Hope it's a big apartment

[AP]

4. Costco's owners give heavily to Dems, IIRC

[theHandpuppet]

26. Yep...

They're on the "Mother Jones 400" as one of the top contributors to Democratic campaigns. :)

Just another reason to shop at CostCo!

[fob]

57. I noticed that a few weeks ago too. The WSJ story is the last straw

I am going to sign up for membership tomorrow! And I'm gonna tell them why, because the WSJ is complaining that Costco treats their workers too well!!

The best part about finding out Costco is a Dem friendly company is that I have some hardcore Repub friends that shop there all the time! I'm not gonna bring this up to them though.

[sendero]

5. I think...

.... the Wall Street Journal is merely a welfare-for-morons outfit. If they are paying this "journalist" more than 20K a year that is really a ripoff to their shareholders.

[truthspeaker]

6. I'm buying some Costco stock and here's why:

By paying their employees well and providing good benefits, Costco can attract workers who will act professionally even in low-end cashier jobs.

Workers who feel the company is taking care of them will tend to feel more loyal and have better morale and exhibit a better work ethic.

Both of the above will lead to good customer service.

Good customer service means more repeat business.

Also, content employees will tend to pay better attention to inventory and cash management, resulting in cost efficiencies for the company. And fewer of them will steal.

[trumad]

7. If that ain't a repuke in a nutshell....

Greed, Greed, Greed....

[northernsoul]

64. what's their market symbol?

I'm thinking about picking up a share or two myself

[Neecy]

8. holy crap

"...warehouse-club operator actually is too good to employees, with Costco shareholders suffering as a result."

SUFFERING? SUFFERING? Awwwww, so these investors are suffering because Costco doesn't pay slave wages! Far better to have those low-wage cashiers and stockers suffer by cutting their wages so low they can't feed their families.

I swear to god, these people won't be happy until we're all reduced to soviet-style proles.

[rwheeler31]

15. Costco also has

quality products, we shop their a often.

[displacedtexan]

9. So how much stockholder profit is enough?

According to the WSJ, workers must have to be treated like Wal-Mart slaves in order to assure sufficient profit for shareholders?

UnFREEPINGbelievable!

[IrateCitizen]

32. No, it's completely believable, to be quite honest.

In the words of Michael Parenti, "There is only one thing the ruling class has ever wanted, and that is everything."

These people don't know the meaning of the word "enough". It doesn't exist in their vocabulary.

[blurp]

50. US income: dividends 5%, wages 67%, transfer payments 15%

The government tracks sources of income. A summary is at this link:

http://www.bea.doc.gov/bea/newsrel/pinewsrelease.htm

Shareholder dividends amount to less than 5% of all income in the US.

[Jack Rabbit]

10. Maybe we should offshore stock brokers and Wall Street bankers

Their compensation is way too generous for the work they do. I'm certain we can find somebody in India or China to do the same job just as well for less.

[dawn]

47. They are starting to do just that...

Financial analysts, anyway.

I think it's great. Those are the morons who advised businesses that "outsourcing is good for business." What goes around comes around...

[kitkatrose]

69. What's good for the goose is good for the gander.

Is there any possibility we can outsource our politicians? :silly:

[Commie Pinko Dirtbag]

11. I think my head is going to explode.

"From day one, we've run the company with the philosophy that if we pay better than average, provide a salary people can live on, have a positive environment and good benefits, we'll be able to hire better people, they'll stay longer and be more efficient," says Richard Galanti, Costco's chief financial officer.

To me, this makes perfect business sense. The amount of poor-hate going on is truly frightening. :scared:

If they want workers to be treated like slaves, why don't they move to China? :mad: :mad: :mad: :mad: :mad: :mad: :mad: :mad:

[GOPisEvil]

12. This is why I tell people NOT to judge the economy by the stock market!

Headline after headline: XXX Corp. lays off thousands, stock price rises.

Thank goodness for companies like Costco who care about their employees more than they care about excessive profits. I'm proud to carry a Costco card in my wallet. I wouldn't carry a Sam's card if they paid me.

[prolesunited]

13. Unbelievable!

I love Costco, shop there often and always enjoyed the friendliness and level of professionalism of the workers there.

This level of greed is astonishing to me. It's not enough that you are doing well. Nothing will suffice until you have it all (more than you can possibly spend and use in a lifetime) and others have nothing and are dying in the streets.

[blurp]

52. Level of greed?

As pointed out elsewhere, shareholders have never received a dividend on their stock.

Is it greed to want something, anything at all, from the company you own?

[prolesunited]

54. How much has the stock gone up in value?

What are the gains they are reaping when they sell? What is the percentage of publicly traded companies that are currently paying dividends?

BTW, the level or greed comment isn't so much aimed at stockholders (In fact, I actually own stocks.) as it is the corporate CEOs and execs who get paid multimillion dollar bonuses while the workers get paid minimum wage, have no health insurance and qualify for food stamps.

I'm not a complete socialist or communist in that I believe capitalism has its place. But, this brand of corporate capitalism has gone completely overboard. There is NO responsibility to employees any longer or to the community or to the country. They are seriously out of whack and their unbridled greed needs to be reigned in.

When you take care of your workers appropriately, when you enhance the quality of life in the community where your company is located, when you take your role as a corporate citizen of the U.S. seriously, your company and your shareholders can keep ALL of the money you make AFTER you fulfill your obligations and responsibilities.

Oh, cry me a river that it will make you a measly billionaire instead of a multibillionaire.

[blurp]

56. Value is subjective and many people are just plain dumb

What are the gains they are reaping when they sell?

It depends on who they are. If you got in early, then you made a bunch, but for most of the shareholders owning the company right now, they're probably screwed. At some point they're going to wake up and realize they paid good money for a company that will give them nothing back. When enough people realize this, who's going to buy the stock?

A lot of people have been playing the "greater fool" game with the stock market. They hope some "greater fool" will come along and buy their stock at a higher price than they paid. Well, guess what, we're almost out of fools and now shareholders are trying to get their money from the company itself.

What is the percentage of publicly traded companies that are currently paying dividends?

It's only about 1/3rd.

[mountainvue]

96. The

"greater fool" game? Sounds like you know your stuff.

[WoodrowFan]

73. sometimes, yes

Is it greed to want something from a company you "own" through stocks? If it means paying below-poverty-level wages for the company's employees, yes, it IS greed, quite clearly.

[revcarol]

85. Microsoft didn't pay dividends until VERY recently.

You were supposed to make your profits, if any, from selling the stock.

And they were ROLLING in a lot more dough than Costco.

Probably we will see some dividends from Costco in the near future. If not, you can sell your stock and make your profits, if any, then.

[Scout]

14. maybe I'll get a job at Costco!

there was an article in my local newspaper about beginning negotiations to put a new store about 2 miles from my home ... nothing definite yet, but gosh, if I'm still unemployed by the time a store gets built, I could get job there.

With any luck, it'll only be 5 or 6 years before I match my previous wage...!

I might just join the store that's about 30 minutes away just to support them for treating employees well.

[Commie Pinko Dirtbag]

17. I wish they opened stores in Brazil

I'd go buy there in a heartbeat.

[pinniped]

16. Costco is alright...

Spent $140.00 there Thursday for 4 items and film processing.

I think their 1/hr film processing is suffering. The worker must have bad hand/eye coordination because he sliced through some of my negatives.

[burythehatchet]

18. My e-mail to Costco

I just learned of a Wall Street Journal article that was critical of Costco because the company treats its workers too well, according to the journal, at the expense of its stockholders.

I would ask the management at Costco to congratulate itself. Wear the criticism as a badge of courage. You are taking the road less traveled and you will succeed beyond your wildest dreams.

To express my gratitude to Costco, by the end of this weekend I will order at least $1,000 worth of merchandise from your website. Next week I will purchase Costco stock.

Thank you for a job well done.

[Career Prole]

25. Bravo!

That's what I call positive reinforcement! :toast:

[cosmicdot]

19. if I had money to bet, I'd put it on Costco as setting the Best Practices

(a favorite corporate buzz term ... but not usually in the positive sense like what Costco is doing ... they typically use the term stealthily in doing 'Process Improvement', which can mean somebody's going to lose a job, quality and customer service will suffer, etc.,) ... in the sense that Best Practice is just that ... Costco's Best Practices is the trend corporations should be following for long-term success ...

[IrateCitizen]

29. True, but corporations aren't interested in long-term success

The biggest problem is that the entire emphasis has been placed on maximizing quarterly profits. These same Wall St. assholes castigating Costco for its good business practices are the ones primarily responsible for this trend.

[shade]

42. Sadly...

That's very true. Financial people in the United States generally don't care about anything but the next quarter, either.

Last month's Money magazine had an interesting article about the "Rip Van Winkle" portfolio -- a UK pension fund manager had an idea to have a contest to design a portfolio that you could put in place and not touch for 20 years.

They got a total of 88 entries from professors, money managers, consultants, and individuals. A total of six were from the United States, and it quotes the guy who started the contest as saying: "The typical reaction we got from the United States was 'What the hell does it matter? The long term is only a series of quarters.'"

Sad.

Meanwhile, I just wish there was a CostCo here in Northwest Ohio. All we get is Sam's Club... :puke:

[galadrium]

20. This is true!

My girlfriend's sister works at Costco and they do treat their employees very well. They start at around $10 an hour... which is pretty good for being a cashier.

I am going to be sending Costco an e-mail too, pledging that I will shop in their stores.

I will also be adding this information to my local website, www.liberalnet.com encouraging people to support such a company.

[loftycity]

21. Jim Sinegal President of Costco told the shareholders

"You gotta take the shit with the sugar."
He also said "I can sleep at night and know the Costco stores are run right." "I'm not changing salaries and benefits."
Fortune Magazine November issue
He takes a 350k salary. :yourock:
When you take a look at what Walmart and Target Presidents and CEO's are making makes you:puke:

[sandnsea]

89. Shareholders should GET A JOB!!!

Enough of this sucking their income off the backs of slave wage workers. GET A JOB you so-called "investor class"!

[The Backlash Cometh]

22. Excuse me, but I'm about to release a primal scream:

F*ck Wall Street!

[Commie Pinko Dirtbag]

23. PLAN OF ACTION

Especially good for those whose political leanings are not known for the people around them:

Bash Wal-Mart/Sam's Club and praise Costco at every possible moment. Harp often about how good service is at Costco and how much it sucks at WM/SC. If there are good restaurants near (in?) a nearby Costco, suggest that place for lunch.

Be stealthy.

[Sparky McGruff]

92. Most costco's have a "food court" -- cheapest lunch in town!

The costco food court is pretty simple and good (although not particularly nutritious). It's not fancy, but it's good for a quick bite.

Hot Dog and a Coke here is $1.50 (I think) (good dogs, too-- large kosher all beef, on a decent bun)

Slice of pizza here is $1.95 (I think), whole pizza goes for around $10. Cheese, peperoni, or combo. Pretty good pizza, too. The pizza by the slice is pretty good size -- like a sixth of the whole pizza, and the whole pizza is really big.

They also have chicken bakes that are pretty good for around $2.50, and lots of snacks (frozen yogurt with berries, smoothies, and a few other items)

Here, by the way, is Durham NC; although I remember the prices in other costcos on the west coast to be quite similar.

If you're considering a costco membership ($45/year for basic), there are some real high quality services that may make it worth it. The tipping point for Mrs. McGruff and I was because (a) we needed new eyeglasses, and (b) we needed new tires on the car. The optical center has a decent (though not huge) selection of good frames, and you can get a good pair of frames and lenses for $100-$150 even with anti-glare, etc. The tire center has good quality tires for reasonable prices, and, they just install the darn things without trying to upsell you.

Their food (meats, veggies) are all in bulk, but they're GOOD (restaurant quality). It's defiinitely worth thinking about. The point of a costco isn't that it's rock bottom cheap-- it's that the stuff is GOOD and inexpensive. Not wal-mart cheap, but less than the grocery store or department store, but high quality, mostly name brand (or equivalent).

Also-- their store brand isn't cheapo generic junk. For example, there's a story about how the owner of Costco negotiated with a tuna comany (star-kist, I think) to make the store brand tuna for them, because he wanted it to be of higher quality (like he remembered as a kid). It's a little more expensive than the star-kist tuna it sits next to on the shelf, but it's really good.

Oh-- I don't work for them, and I don't own stock (yet)

[ACK]

24. Is there a worker-friendly market fund?

That would be really cool.

Need to start investing again one day.

[IrateCitizen]

28. www.socialinvest.org

There aren't "worker-friendly" funds per se, but how a business treats its employees is usually a prime consideration among socially responsible investments.

[Bridget Burke]

27. I just joined online...

& ordered a copy of the Pride & Prejudice DVD ($4 less than Amazon.com).

http://costco.com

Groceries not available online, but I remember they're excellent--visited with a friend who was a member. Now there's one closer to my house & I will shop there!

[Commie Pinko Dirtbag]

31. Do they ship books overseas?

If so, I may dump B&N.

[SW FL Dem]

30. I've been a Costo member since 1988

I do most of my shopping there. Great food, great clothes and great prices. In the last election cycle Costco gave 100% to Dem candidates. My local grocery store donates 100% to Repugs, I give them as little business as possible. Guess it's time to buy some Costco stock.

[Katha]

33. Hooray, Costco!

It's good to know I can support at least one corporation that treats its employees fairly.

[Demonaut]

34. I have both Sam's Club and Costco cards, but the Sams club card is

going in a drawer

[Q]

35. I'm signing up for a Costco membership today...

- We must support these types of companies...who care about workers and THEIR futures.

[philosophie_en_rose]

36. Costco crushes welfare king Walmart.

It pays its employees about thirty percent more than minimum wage. It's good to the community, to the environment, and to "poor working families."

Plus, it isn't on corporate welfare. Walmart employees are paid so low that they cannot afford health insurance for their children. Even managers are not paid more than an entry level worker at Costco. Walmart is heavily subsidized by public assistance.

When people shop for low, low prices they need to remember two things. First, their two dollar bargains are made on the backs of enslaved people in Asia. Second, those alleged bargains have hidden taxes. If Walmart didn't set the tone for such a shitty employment environment, maybe public assistance rolls would go down on their own.

[Ernesto]

37. I joined Costco last summer

After talking to a very nice gal who informed me that she was the shop UNION steward. She told me that in the Sacramento area, 3 of the 5 stores have UNION labor agreements..... Maybe I'll stop by today and pick up a copy of Dick Clarke's book AND give her a print out of the WSJ article.

[GOPisEvil]

38. The Costco warehouse folks in CA are Teamsters.

:thumbsup:

[Kimber Scott]

39. This is why I ALWAYS shop at Costco

and won't set foot in a Walmart, or Sam's Club.

[ACK]

40. Glad my wife got a Costco account now.

I always thought it was a bit silly to shop in a giant warehouse. It feels so impersonal.

[Mountainman]

41. "Public companies need to care for shareholders first" only in USA

That model is called shareholder's wealth maximization. In the USA we only care about the shareholder. In other parts of the world they care about all the stakeholders. They are the owners, customers and workers and others in the community. We try to export the shareholder wealth maximization model to the rest of the world but it doesn't sell well in socialist leaning countries.

[hippiegranny]

43. note to self

time to buy some costco stock...

[Joanne98]

44. We need to have a WAR ON WALL STREET

Or a war on the endlessly selfish and greedy investor class. I don't have anything against investors but this is ridiculous. grrrrr

[blurp]

53. Nothing against investors?

Or a war on the endlessly selfish and greedy investor class. I don't have anything against investors but this is ridiculous. grrrrr

The fact is that none of the money Costco makes goes to shareholders. Almost all goes to pay wages.

So what is a fair percentage? Certainly more than 0%, right?

http://moneycentral.msn.com/investor/invsub/results/hilite.asp?Symbol=COST

Shareholder dividend income in the US amounts to 4.7% of all income. Do you think that is too much?

[Sparky McGruff]

93. If they don't like the company, they shouldn't buy the stock...

The fact is that none of the money Costco makes goes to shareholders. Almost all goes to pay wages.

That's correct. Young companies that are expanding traditionally don't offer dividends. That's because they are plowing profits into their expansion.

Costco is opening many new stores. If you buy the stock, you do so KNOWING that they are not paying out dividends. However, you are betting that their growth will increase the price of the stock.

If costco "saturates" the markets they want to be in, and stops expanding, then by all means they should start paying out dividends.

[Lisa]

98. so I guess this is why it's called "investment" ....

My parents started buying stocks back in the 1960s -- they've hung onto the better ones for decades now, and some of those firms have matured after their initial growth phase, when (as you say, Sparky) the money was being spent on infrastructure and talent. They did not flail around and try to do everything just to please their shareholders. Judging by how well those types of companies have perfomed over the past 40 years, and weathering the downturn -- the Costco model seems to work.

[dawn]

48. OMG

How do these people sleep at night? They make me sick....

I'm going to tell my husband that we need to join Costco, asap.

[nolabels]

99. You will like it if you understand buying in bulk is how to save money

I often go bonkers throwing all kinds of stuff in the cart.

Saves time also, you find you are not constantly running back and forth picking weekly amounts. Having a few months supply on hand is good in a lot of ways

[ironflange]

49. As a caterer, I shop at Costco a lot

I've been a mamber for at east 20 years. The hot dogs are great, too!

[Cat Atomic]

51. These are the bastards who say

government doesn't need to provide health care because the "free market" is better at it.

But the free market says they should ream their employees and race to the bottom with Wal-Mart.

[LandOLincoln]

55. I love Costco. Been a member for 9 years now, and shop

every payday at least. Going tonight--hope they still have some copies of Clarke's book...

[Kadie]

58. So the shareholders are more important

than the employees working for a company.

I seeeeeee.

Every think of this you idiots (so called analysts). If those workers weren't treated as well, the company might not do as well, and your stock would be worthless.

Welcome to America, where the ideal is to beat down the employees who are trying to put food on the table so a few can have nice pretty dividends paid to them.

OK, I am done ranting now, Thank you.



:mad:

[strategery blunder]

59. Oh, I wish there was a Costco here in Kirksville

but all we have is a Wal-mart and Hy-Vee. Anyone know how Hy-Vee treats its employees? (I don't think I can avoid Wal-mart completely, as it carries some items that can't be had anywhere else in this town, but I could try)

[PatGund]

60. As a Costco Shareholder.....

I have *NO* problems with the way Costco treats their employees, and I certainly don't feel "mistreated" by Costco.

The only objection I have to Costco is that I really wish they'd put in an express lane on checkout, but what can I say....

[blurp]

62. Let me ask you this, then

I notice Costco has never paid a dividend. Are you expecting to sell your stock at some later time and make a profit?

If Costco doesn't pay dividends, why would anyone want the stock?

[Redleg]

65. Because the value of the shares can appreciate.

Until recently, many stocks didn't pay dividends. Many still don't.

[blurp]

77. A stock market bubble is not appreciation and dividends are at a bottom

Until recently, many stocks didn't pay dividends. Many still don't.

Actually, stocks historically HAVE paid dividends. The trend to wards paying less and less in dividends is a new one.

In fact, the historic average dividend yield up until 1994 is 4.45% and has been between 7.43% and 2.75%.

After 1994, the yield has been dropping and is now about 1.5%

Stocks appreciate for a lot of reasons. On reason is the idea that by owning a piece of one of these companies, the owner will get rich, so they spend money to buy a piece of that pot of gold.

Well guess what, that pot is mostly empty and has been since about 1994.

So, what will keep these prices moving up? Why should companies that give their owners nothing be worth buying?

[Redleg]

80. I disagree- look at the long-term growth of the stock market.

I'm not talking about a bubble that lasts 5 years. Most of us regular folks invest for the long-term, for retirement. Granted that many people who own shares in a single company are probably foolish to believe their money will be there when they retire.

[PatGund]

68. Because....

I see stocks as a long-term investment, not a short-term gain. Many times I'd rather see the company reinvest their money into the company rather than constantly pay dividends.

It's like my investment in Apple Computer. They've rarely paid dividends, even though they usually make profits and have little to no debt load. However, I've seen the stock triple in value from when I originally bought it, and split once. Now it's almost up to the same point it was when it split. Which means my original investment of X number of shares at $13.00 is now X(2) shares currently at $27.32 Eventually I'll sell, and make a fair amount of money from it. But it's a long term investment, not short term.

[blurp]

78. Ah, the greater fool theory

Isn't that really what you're describing?

As long as more and more people buy stock, the price will go up.

Now, what happens when we run out of buyers playing the same game? Are YOU going to buy the stock back at a higher price so someone else makes a profit? Of course not. Someone will be left holding the bag.

Eventually I'll sell, and make a fair amount of money from it. But it's a long term investment, not short term.

You know that? What happens when everyone gets the same idea to sell? Will that price hold up? No way! There is no guarantee that prices won't go down again. It has happened.

Don't be left holding worthless paper.

[Redleg]

81. Okay, contrary Mary, what do you advocate?

Gold? Precious gems? Real estate?

[SharonAnn]

87. Hmm, I don't think very many firms pay dividends any longer.

It's kind of "old hat", you know.

Technology stocks haven't paid them (except for a very few who just started because they were creamed, sitting on billions in cash and not investing it and not paying dividends).

[revcarol]

91. A lot of them, like 20%, started again after Bush passed his tax cuts

for dividends. Gotta keep those re-"elect" numbers up!!

[SarahB]

61. I wish I had a Costco near me

I boycott Walmart, but it's hard to feel good about eny of these places since all the regional stores were put out of business by them. In the meantime, I'll take Target I suppose.

[neverforget]

63. Last weekend my wife compared some prices for baby formula

and other things at Wal Mart, Babies R Us and Costco. Guess which store has the better price/value? COSTCO! When the baby comes, I'll be shopping at Costco every chance I get.

Greed is killing this country and it's time to take a stand!

[rucky]

76. Congrats!.... I've got my first one on the way, as well.

but sheez - even cheap formula is expensive. we're going straight to the source for food.

Diapers, on the other hand...COSTCO

:)

[redqueen]

66. So WSJ *wants* companies to be subsidized by taxpayers?

That's great! They're a stone's throw from socialism!

Seriously... Wal-Mart can only treat its employees so poorly because they fobb them off onto taxpayer-funded assistance programs in order for them to be able to pay such laughable wages.

So ... we need to start a campaign to formalize it. Take the profit out. If they're going to subsidize companies with taxpayer money, make the taxpayers the owner.

Fair enough?

;)

[Redleg]

67. This illustrates a classic dilemma between social responsibility

and maximizing shareholder wealth. In spite of what Wall Street and others have to say, shareholder wealth is not the only important metric of success for a business.

Providing useful or needed products and services while wisely using natural resources, the ethical employment of human resources, and providing reasonable rates of return on investments seems a reasonable policy to me. Of course opinions differ on what is a reasonable rate of return.

Oh well, what do I know- I am just a dumb ass liberal management professor.

[Career Prole]

70. But bush* said putting money in consumers' pockets is good

for the economy! Oh, I see. By economy he means Wall Street.
These stupid bastards...that's not only 100,000 employees Costco has. It's 100,000 consumers! Ya douchebags. You ignorant investor-class jerks treat consumers like oil...like there's an infinite supply. You outsource our jobs, you cut our wages, slash our benefits, all to increase profits for the shareholders. You all constantly freaking forget that these businesses you stack up in your portfolios aren't in the shareholder profit-manufacturing industry...they produce goods or they sell goods to consumers. Costco's 100,000 employees aren't a frigging drain on your indolent purses, you pigs. They're 100,000 consumers! When are you going to get it? Credit card delinquencies and "re-fi"s and personal bankruptcies are rising like the cone of a nascent f**king volcano because of employee/consumers you have "leaned out" of the mixture. Once the cards max out and the second mortgage money disappears they'll stop consuming...immediately. What's that do to your precious shareholders' profits (don't you dare call them earnings!)
We're your freaking customers, you pompous SOB's! How can you lose sight of something so eminently obvious? The one up-side to you greedy bastards running us out of oil without any viable energy replacement is because then we'll be on top. All of us who are like dirt to you now...we who build, and repair, and heal and otherwise keep your comfy world comfy. Any stockbroker or CEO that asks me for a meal had better show up with a cord of wood or they're going without.
I wish there was a Costco in this town so I could go buy something from them right now. Just to give a symbolic "EAT SHIT" to Wall Street.
Sorry for the rant...I guess I lost it there for a minute. :(

[matcom]

71. great rant n/t

[Career Prole]

79. Thanks! n/t

[LibertyorDeath]

72. The shareholders are free to invest where they want

Sounds like wall street is scared this may catch on.

[kachun]

74. LA Times article on Costco

Also see:
http://www.latimes.com/business/la-fi-flan15feb15,1,4234478.column?coll=la-headlines-business

At Costco, Laverty says, "they believe people are an asset of the
company. They have an employee culture."

Interestingly, 56 of Costco's stores are unionized. The company picked
up these outlets when it bought the Price Club chain in 1993. The
workers there draw about the same paycheck as their nonunion
counterparts, though their pensions are structured differently.

The company "pays well and the health plan is good," says Rone Aloise
of the Teamsters union. "The Costco agreement is probably the best as
far as the retail industry goes."

Unlike the supermarket workers, Costco employees have always paid a
portion of their health insurance. The co-payment is now 4.5%, or $500
to $1,000 a year. That will rise to 8% in the next four years, to keep
up with soaring insurance costs.

But the benefit package that Costco employees get in return is
particularly rich. The company chips in $12,000 to $19,000 per
employee (depending on whether they are full- or part-time). In the
end, Costco's contribution is at least a third higher than that made
by supermarket employers to their workers' health benefit plan.

[Kimber Scott]

75. Just spent $196.00 shopping at COSTCO

:bounce:

[matcom]

82. you can also shop online

no groceries though

http://www.costco.com

[SharonAnn]

88. Thanks, I didn't know that. I was bummed because we don't

have any Costco stores around here.

Now that I know we can order on-line, they'll be getting my business every chance I get.

[nothingshocksmeanymore]

83. FUCK WALL STREET!

[fujiyama]

84. Ah another WSJ article...

that shows themselves to be a bunch of grade A Ass Holes.

Anyone remember the editiorial that said poor people were "lucky duckies" because they paid no income taxes?

I think the WSJ is trying to accelerate the creation of a feudal state. They apparently LIKE poverty, discimination, and a lack of access to health care for those without money.

[Deja Q]

86. FUCK THE SELFISH PRICKS

Wall Street and their shareholder contingent has always been a sickening entity, but this takes the cake too...

[Bushknew]

90. Truly a WTF moment, shareholders suffering??!!

A living wage = suffering to these bastards, unbelievable.

thanks for the post matcom

[JanMichael]

94. How about this? Dismantle Wall Street and every goddamned one...

...of those Gorden Gecko wannabee asswipes that agrees with the Costco article.

Fuck em'.

:-)

[mountainvue]

95. I joined Costco

last week.:)

[matcom]

100. now THAT rocks!

i sent them an email yesterday. got a response that my email, thanking them, was being forwarded to the board :)

www.costco.com has an email link.

let them know what you think of their practices! :bounce:

[Lisa]

97. EXACTLY the point brought out by the film "The Corporation"

Any company that doesn't put shareholder profits over all else ends up being punished. Even Henry Ford was given a dressing-down by the judicial system because he wanted to share the profits with his employees! He tried to explain that it would increase market demand for the product since thousands of autoworkers would be able to afford cars, but the judge ignored him.

So by discouraging ethical businesspeople and encouraging not just amorality but immorality -- it perverts capitalism as a whole. Enron etc. are then inevitable.