Hundreds of workers have spent weeks setting up shelving and
stocking the Bay Area’s first Wal-Mart Supercenter. But amid the
hype and pep surrounding the opening, opponents of the retail giant
promised one last show of defiance.
Gilroy – Hundreds of workers have spent weeks setting up shelving and stocking the Bay Area’s first Wal-Mart Supercenter. But amid the hype and pep surrounding the opening, opponents of the retail giant promised one last show of defiance.
“We think having a supercenter in Gilroy is a great fit,” Wal-Mart spokesperson Amy Hill said. “In addition to having more shopping choices, Wal-Mart shoppers are going to see savings on their groceries. It’s no secret that Wal-Mart groceries are extremely competitive.”
But not all are enthused.
Tony Alexander, a union organizer with United Food and Commercial Workers Local 428, said union members would picket the store on its opening day.
“We’d like to give them a good welcome,” he said.
The retail giant provided a “sneak peak” for reporters Tuesday as the company’s “associates” finished preparing the 220,000-square-foot supercenter, with a quarter of the space devoted to discount groceries, for a Sept. 28 grand opening.
A group of 225 employees – a third of the staff that will eventually man the store 24 hours a day, seven days a week – gathered shortly after 1pm at the beckoning of a rock-and-roll song with the refrain “We’re a Wal-Mart family.” Workers shouted the company’s pledge to put customers first and then spelled out the store’s name amidst a crescendo of applause.
“They do it with that much enthusiasm everyday,” Hill explained.
Of Wal-Mart opponents, she said “it’s certainly their right to protest, but I think this is proving to be a great thing for Gilroy.”
The new supercenter has hired 450 new employees to cover the expanded store and round-the-clock hours. The workforce will likely settle at 650, according to store manager Ken Higgins, although he said they will continue accepting applications for several weeks. So far, they have received 2,000 applications.
The store’s current inventory at 7900 Arroyo Circle has largely been relocated to its new site in Pacheco Pass, which includes expanded versions of many of its standard departments, according to Hill. The old site will close 6pm on Sept. 27 and the new store will open its doors at 7:30pm the following night.
As in other parts of the country, the path leading to opening night has included attacks by environmental groups, unions, and other critics.
“The wages that Wal-Mart pays compared to a Safeway or Albertson’s, which are unionized, are different,” Alexander said of two local grocery chains his union represents. “They say they’re going to pay those wages but they never do.”
On Tuesday, Wal-Mart officials allowed reporters to interview employees with a chaperone from its public relations company.
Without exception, employees expressed enthusiasm for the new store and their jobs, which in the Bay Area pay an hourly average of $10.82.
“I love being employed by Wal-Mart,” said Tammy Gonzalez, a 21-year-old Morgan Hill resident who was among the new hires. “It’s fun. I love my co-workers.”
Silvia Maciel is an eight-year veteran who worked her way up from a temporary cashier to department manager in charge of 36 people.
“I love the company,” she said. “If people weren’t happy, they wouldn’t stay with it.”
The new supercenter was originally billed as the first of its kind in Northern California, but was overtaken by a Stockton store due to a court challenge by opponents. The lawsuit, spearheaded by local union workers, alleged the city of Gilroy failed to adequately study the environmental and economic impacts of the supercenter. A superior court judge exonerated the city of those allegations in November 2004, freeing Wal-Mart to move forward with its project. Nearly a year later, people on both sides of the debate hold fast to their opinions.
Connie Rogers, an environmental advocate and former city councilwoman, said she has no “philosophical objection” to the store, but remains skeptical of its benefits to the local economy.
“I was against them moving and instituting the grocery store part,” she said. “It’s competition for our existing grocery stores. It seemed to me if they hurt the business of existing grocery stores, they’d be providing new jobs at half the pay rate of other grocery store workers.”
Mayor Al Pinheiro, one of five councilmen who approved the project in 2003, is still convinced of the supercenter’s benefits.
“It helps the consumer overall because the day that Wal-Mart opens, the other stores are going to all of a sudden adjust their prices to stay competitive,” he said. “That means they may have to adjust their profit margin and not be so fat. That’s a choice that they have to make, but who says I have to be the protector of what they do in their business.”
The desire to see new jobs and tax revenues carried the day two years ago, but opponents were able to wrangle a few concessions from Wal-Mart in the form of 42 conditions of approval. The following list illustrates how the company has met a few of the most publicized requirements:
• Business assistance: Wal-Mart paid around $2,000 for a series of workshops this summer to help small businesses learn ways to compete with its discounted services and products. The courses drew a few dozen attendees.
• Charitable contributions: The store has agreed to donate $10,000 annually for two years to the city for distribution to local charities. Store officials say they also plan to give an additional $50,000 annually.
• Environmental: Wal-Mart pledged to replace its standard children’s arcade with an “eco-room” to educate children and adults on environmental issues. The company met the requirement by placing a picture of a mountain lake in a corner of the store near video games and vending machines. The eco-room includes a plastic wall display of endangered animals and plants in California, along with a vinyl floor-mat with more endangered species.
The city’s planning department will review the list of 42 conditions in coming weeks, according to Mayor Pinheiro, to ensure the company has met its requirements. In the meantime, he touted the economic benefits for a city forced to dip more and more into its reserve funds.
“This regional draw of super Wal-Mart will bring people to our front door,” he said. “And they all of a sudden will look across the street and see Target and Old Navy and drop some more dollars in our city.”