Wal-Mart Stores Inc. plans to build several dozen stores that would employ about 10,000 people in Chicago during the next five years. The world's largest retailer said it would open stores of various sizes at locations within Chicago's three “food deserts.” The stores are expected to generate more than $500 million in sales and property taxes.
Walmart said the program will not only address Chicago's double-digit commercial vacancy rate but also provide customers with more convenient access to affordable groceries, especially those 600,000 residents living within Chicago's three, self-identified food deserts.
Walmart also says the plan will create approximately 10,000 associate positions and 2,000 unionized construction jobs, helping to offset the City's 11.4% unemployment rate and will generate more than $500 million in sales and property taxes, providing a much-needed revenue boost to a wide range of city and county services. As part of the plan Walmart has pledged to pay competitive wages at all levels, for Walmart associates across Chicagoland. The retailer will also develop charitable partnerships in Chicago worth $20 million that work to eradicate hunger, curb youth violence and help all Chicago residents live better.
“We want to deliver long-term solutions that benefit Chicago and its residents,” said Hank Mullany, executive vice president and president Walmart North, Walmart U.S., in a press release. “While our goals are dependent on our ability to site and build stores in a timely fashion, we remain confident that we can make a real difference to Chicagoans in need of a job and those who seek more convenient access to fresh, affordable food, especially those living in the City's underserved communities.”
“Our city is facing a number of challenges but most of all, we need good jobs,” said Alderman Anthony A. Beale of the 9th Ward, who is hoping to bring a new Walmart store to his community and recently secured a Community Benefits Agreement for his residents, in a press release. “There is a growing divide between the 'haves' and the 'have-nots' and this initiative has the potential to begin to level the playing field for all Chicagoans.”
Walmart and the Walmart Foundation plan to commit $20 million over the next five years. This will include an annual donation of 1.2 million meals to Chicago residents and 200,000 meals for children this summer.
“Over the past several years, we've challenged ourselves to look for ways to make a long-lasting impact in neighborhoods across Chicago by funding programs that address critical needs, like hunger, education and job training,” added Mullany. “We look forward to sustaining those partnerships in the years to come and forging new relationships along the way.”
As Wal-Mart has grown into the largest grocery seller in the U.S., it has faced opposition to planned locations. Local activists and union groups have been the public face of much of the resistance, but supermarkets concerned about having to match the retailing giant's low prices have funded some of the opponents' campaigns.
