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    Organizational Behavior in Walmart

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    Mutisya Jeffrey
    1) In January 2018, Walmart announced it would increase starting wages to $11 per hour and provide employees one-time bonuses following tax reforms that benefited large companies. 2) On the micro level, this decision improved employee job satisfaction, well-being, brand loyalty, and performance. On the meso level, it strengthened relationships between employees and groups. 3) On the macro level, it positively portrayed Walmart's brand and commitment to empowering employees, increasing brand loyalty and reducing turnover rates.

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    Organizational Behavior in Walmart

    Uploaded by

    Mutisya Jeffrey
    47 views4 pages
    1) In January 2018, Walmart announced it would increase starting wages to $11 per hour and provide employees one-time bonuses following tax reforms that benefited large companies. 2) On the micro level, this decision improved employee job satisfaction, well-being, brand loyalty, and performance. On the meso level, it strengthened relationships between employees and groups. 3) On the macro level, it positively portrayed Walmart's brand and commitment to empowering employees, increasing brand loyalty and reducing turnover rates.

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    1) In January 2018, Walmart announced it would increase starting wages to $11 per hour and provide employees one-time bonuses following tax reforms that benefited large companies. 2) On the micro level, this decision improved employee job satisfaction, well-being, brand loyalty, and performance. On the meso level, it strengthened relationships between employees and groups. 3) On the macro level, it positively portrayed Walmart's brand and commitment to empowering employees, increasing brand loyalty and reducing turnover rates.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    47 views4 pages

    Organizational Behavior in Walmart

    Uploaded by

    Mutisya Jeffrey
    1) In January 2018, Walmart announced it would increase starting wages to $11 per hour and provide employees one-time bonuses following tax reforms that benefited large companies. 2) On the micro level, this decision improved employee job satisfaction, well-being, brand loyalty, and performance. On the meso level, it strengthened relationships between employees and groups. 3) On the macro level, it positively portrayed Walmart's brand and commitment to empowering employees, increasing brand loyalty and reducing turnover rates.

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    © All Rights Reserved
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    Download as docx, pdf, or txt
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    ORGANIZATIONAL BEHAVIOR IN WALMART 1

    Organizational Behavior in Walmart’s Wage Increase

    Student’s Name

    Institutional Affiliation

    Professor’s Name

    Course

    Date
    ORGANIZATIONAL BEHAVIOR IN WALMART 2

    Organizational Behavior In Walmart’s Wage Increase

    Weaver, A. (2018). Walmart boosts starting wages to $11 an hour, citing tax

    reform. Politico. Retrieved 27 October 2020, from

    https://www.politico.com/story/2018/01/11/walmart-starting-wages-11-dollars-

    336398.

    Walmart announced in January 2018 that it would increase starting wages to $11

    per hour following tax reforms implemented by the Republican government. The

    company also announced that it would offer a one-time bonus for eligible associates

    in the same move. The move was made possible by the tax overhaul implemented by

    the GOP in 2018 that saw large companies receive tax relief. The move was hailed as

    an important step towards empowering working Americans and improving their lives.

    Also included in the package was longer paternity and maternity leave as well as

    financial aid for associates who wished to adopt children in the company. The one-

    time bonus would be determined by the period that the associates would have worked

    with the company at the point of the implementation of the new policy in February

    2018. employees who had been with the company for over 20 years would be eligible

    for up to a $1000 bonus. Analysts and policymakers concurred that the move was a

    positive indication of how tax laws impact the lives of ordinary working-class

    Americans, even as the tax reforms were vehemently opposed by the Democratic

    Party in Congress.

    Walmart’s decision to increase the starting wages to $11 per hour and offer its

    associates one-time bonuses is an example of organizational behavior and how it can

    be applied to the organizational setting. Organizational behavior is a theory that

    examines the behavior of individuals in an organizational setting, how individuals

    interact within an organization and with the organization, and how an organization
    ORGANIZATIONAL BEHAVIOR IN WALMART 3

    behaves within itself and how it interacts with the general society. There are three

    levels of organizational behavior defined by the specific entity that is being examined.

    Micro-level organizational behavior is an examination of the behavior of individuals

    within an organizational setting. The meso-level organizational behavior is defined by

    the interaction between individuals in a group within an organization and the

    relationship between groups and the organization. Macro-level organizational

    behavior is defined as the behavior of an organization as a whole and the relationship

    between an organization and the society within which it operates.

    On the micro-level of organizational behavior, the move by Walmart to increase

    the starting wages and offer associates one-time bonuses would affect how individual

    associates interact with and relate to the organization. Employees would experience

    increased job satisfaction emanating from higher financial independence. That would

    lead to improved well-being among employees who would be in a position to make

    better financial decisions and investments in both themselves and their relatives. The

    ensuing impact would be that the employees would have better brand loyalty and

    there would be less turnover rates within the organization. The move would also be

    expected to lead to improved performance and higher productivity among the

    employees. Employees will have better peace of mind and will spend less time

    worrying about their financial well-being and more time and energy would be

    invested in achieving organizational goals. The decision to increase starting wages for

    its associates and offer a one-time bonus for eligible associates in Walmart would

    have a protracted impact on employee behavioral patterns, serving as an instance of

    organizational behavior theory.

    On the meso-level, Walmart’s decision to increase the starting wage and offer a

    one-time bonus for its associates will have an impact on how employees interact with
    ORGANIZATIONAL BEHAVIOR IN WALMART 4

    each other within groups in the organization and how groups interact with and relate

    to the organization. Relationships among employees within groups such as

    departments in the organization are bound to improve once the new remuneration plan

    is implemented. Groups within the organization are bound to be more committed to

    organizational goals and are bound to increase their performance and productivity

    levels. Groups will feel a greater obligation to perform better to justify their improved

    remuneration under the new plan. Individuals within the groups will also feel

    obligated to work harder to achieve group goals as they are aware that these are the

    goals that coalesce into organizational goals. On the macro-level of organizational

    behavior, the decision by Walmart to increase starting wages and offer a one-time

    bonus to its employees would serve to present the company in a good light. It is a

    major public relations move that portrays the Walmart brand and image positively.

    The move shows that Walmart is committed to the empowerment of its employees

    and is not only concerned with gaining the most out of their talents, skills, and

    knowledge. Brand loyalty among the employees and their dependents is bound to

    increase exponentially as they experience the positive impacts of a better financial

    position emanating from the new remuneration plan. Among the employees, the

    company will experience higher levels of loyalty and reduced turnover rates as the

    employees view the company in a more positive light. The move will therefore have a

    generally positive impact on the company both internally and externally.

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