Walmart Has Perfect Answer to the Amazon Challenge

Amazon has challenged all retailers to raise their minimum wage to $15 dollars an hour. Walmart pointed out that it’s easier to pay $15 if you pay no income tax on $11 billion in profit. Walmart’s minimum wage is $11 dollars an hour but pay and benefits is over $17 dollars an hour. And guess what? They pay income tax.

Bezos said:

“Today I challenge our top retail competitors (you know who you are!) to match our employee benefits and our $15 minimum wage. Do it! Better yet, go to $16 and throw the gauntlet back at us. It’s a kind of competition that will benefit everyone.”

Walmart replied:

“Hey retail competitors out there (you know who you are) how about paying your taxes?” 

From NBC News

Amazon and Walmart are in war over worker pay — and now corporate taxes.

After Amazon Chief Executive Officer Jeff Bezos on Thursday issued a challenge to other retailers, not naming which ones specifically, to match Amazon’s pay and benefits, Walmart snapped right back.

A representative from Amazon wasn’t immediately able to comment on Bartlett’s tweet.

Walmart’s minimum wage of $11 an hour, set in January 2018, is still below Amazon’s, which was hiked to $15 in November. But Walmart has said its average worker earns $17.55 an hour with wages and benefits.

As for Bartlett’s argument: Amazon’s low tax bill mainly stemmed from the Republican tax cuts of 2017, carryforward losses from years when the company was not profitable, tax credits for massive investments in R&D, and stock-based employee compensation.