AP, thestar.com (Toronto), Jun. 5
FAYETTEVILLE, Ark. — Wal-Mart Stores Inc., facing lawsuits for alleged gender bias and unfair treatment of workers, will cut top executives’ bonuses if the company doesn’t meet its diversity goals, as part of an initiative to improve work conditions, its top executive said yesterday.
Chief executive Lee Scott said at the company’s annual meeting that bonuses, including his own, would be cut up to 7.5 per cent this year and 15 per cent next year if the company does not promote women and minorities in proportion to the numbers applying for management positions.
Scott said the employee pay structure was being changed, but no one will take a pay cut. He said some workers will be paid more, but did not elaborate. Scott said the financial penalty for executives shows Wal-Mart is serious. “This is not something where we stand on the stage and say we’re going to try.”