Wal-Mart Backs Employee Health Coverage

Wal-Mart has thrown its hat into the contentious debate between those who think that employers should be forced to provide health insurance for their employees and those who do not support the idea. In a move that comes as a big surprise to many retailers, Wal-Mart supports a federal mandate that would compel employers to provide health coverage.

According to Wal-Mart’s letter to President Obama, the rising cost of health care can be blamed on the large number of uninsured Americans, so a federal mandate that would drastically increase health insurance coverage would also drive down healthcare costs.

The National Retail Federation, which does not count Wal-Mart among its members, has voiced its strong dissent from Wal-Mart’s opinion. According to the NRF, such a mandate would only serve to drive up the price of goods, reduce employment numbers, and not adequately solve the problem of rising healthcare costs.

The U.S. Chamber of Commerce has not yet released a specific statement regarding Wal-Mart’s position on the issue, but it has stated that it does not yet support such a federal mandate.

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