Maryland Senate votes to make WalMart PAY.

[True Federalist (진정한 연방 주의자)]

Assuming that the figures being floated about how much they have to pay in Medicaid and the like are acciurate, it is possible that it makes fiscal sense for Matyland to pass the law.  It likely will have one of two effects should it become law.

1) Wal-Mart stops plans to build a distribution center in Maryland, and pulls all non-retail facilities out of Maryland.

2) Given the claims of how much Wal-Mart spends on health care as being already close to the 8% target, if the effect of the distribution center with its more highly paid employees with a higher proportion choosing to use Wal-Mart’s insurance plans would be to cause Wal-Mart to go ver the 8% figure, it goes ahead and builds it and avoids the tax.

[True Federalist (진정한 연방 주의자)]

Seems like Maryland would lose quite a bit if Walmart leaves and tells them to go pound sand.

Depends on how high the tax is.  It might induce them to pull non-retail jobs from Maryland, but the retail operations are likely to remain.  If Wal-Mart closes stores there will be other retailers who will open replacement stores.  Even in the worst case scenario has only a small economic impact once one includes the substituion effect of the other retailers that would take Wal-Mart’s place.

About those supplier jobs tho, according to Wal-Mart’s own data, even if every penny it spends on Maryland sourced supplies goes to wages, the per worker income of those suppliers is only $10,287, so either those 49,204 supplier jobs are not full time or they pay less than the minimum wage.  Wal-Mart is exagerating its data here to overstate their economic contribution.

The relevant data for employemnt is not the total number of workers, but the number of full-time equivalent jobs.