Abruptly, Walmart, one of the largest retail and food supply stores in Chicago is announcing its plan to close half the stores in the city. Unfortunately, this news is not a surprise, as Walmart has already shut down stores in three different locations and plans to close more in the future.
The news of the closure has led to both activists and residents of the area turning to state aldermen and county representatives for some kind of answer.
“Since Walmart announced these closings, my office has been inundated with calls from seniors who are crying out, ‘Where do I go for my medicine?’ and with mothers asking, ‘How do I feed my children?’” Illinois Sen. Elgie R. Sims, Jr claims.
On April 11th, 2020, Walmart announced that it will close four of its most poorly performing stores by April 16th. Walmart businesses within Chatham, Kenwood, Lakeview, and Little Village are expecting a large flood of customers and protests before the deadline. The company cites theft and loss of profit as its biggest issues.
This list of stores, excluding the previously closed locals, is within Lincolnwood, Plainfield, and Homewood. However, three of the four stores that are said to close due to lack of business are located in predominately Black and Brown neighborhoods.
Cook County Commissioner Stanley Moore recalls how the community fought to have their empty parking lot turned into a grocery store. In the past, he explained, it was necessary for kids and grandkids to leave the community to find places to work.
Residents and officials point out how this is unexpected. Especially after Walmart’s outspoken pledge in 2020 in the wake of the George Floyd case and racial marches.
Past Pledges to the Brown Community
After protests over the handling of the George Floyd case, Walmart pledged $100 million of its profits to various organizations that fight systematic racism. While multiple companies took the same route, as one of the top retailers, Walmart was the most influential.
Despite others’ criticism of this trend as only a cash grab by businesses, the company promotes awareness of diversifying their own staff.
In June the company announced its appointment of its long-time employee of color, Kirstie Sims to lead the company’s Center for Racial Equity.
CEO Doug McMillion acknowledged at the time the lack of diversity within the higher ranks of his corporation.
Approximately 21% of Walmarts U.S. workforce comprises Black workers. However, out of the 1.5 million people within the workforce only 12% of the prevention 21% are managers of color.
Push Back on Business Closure
The company’s explanation for shutting so many locations at once is because of the business’s “lack of profit”
In a statement saying that Walmart loses “tens of millions of dollars a year,” the store also explicitly states in a formal announcement that:
“The simplest explanation is that collectively our Chicago stores have not been profitable since we opened the first one nearly 17 years ago.”
The company claims that all efforts to rise profits have garnered no improvement in the business side of their challenges.
These closures also come two years after the company announced its remodeled expansion of two health centers and a new training academy for employees. This was described as a show of its “strong commitment to Chicago.”
Together with St. Sabina’s Pfleger, activists and members of the community promise a harsh rebuttal against this dismissal of the community. Multiple people stand together in the opinion that closing down the few stores that provide its people with medicine and food is not the way to go about this financial crisis.
Alderman-Elect Rev. William Hall (6th Ward) proposes that Black and Brown communities will “disinvest across the entire nation” to see results.
Hall announced, “We will go from Chicago to Indiana to Michigan and every state where there is a Walmart and the same black and brown people who make this store will be the same black and brown people who walk away from this store.”
Written by Brielle R. Buford
Sources:
WGN9: Chicagoans blast Walmart’s decision to close 4 stores with little notice
CNBC: Walmart donates $14 million as part of broader pledge to advance racial equity
CNN: Why Walmart is closing half its stores in Chicago
Featured and Top Image by Christopher Dilts Courtesy of UFCW International Union‘s Flickr Page – Creative Commons License
Inset Imag Courtesy of artistmac‘s Flickr Page – Creative Commons License
