Politics & Government

Despite Wal-Mart Threats, Living Wage Bill Passes

Wal-Mart has said it would not proceed with three unbuilt DC stores if wage bill become law.

The District Council passed the Large Retailer Accountability Act by a vote of 8 to 5 Wednesday, just hours after Wal-Mart said doing so would mean the cancellation of three planned DC stores. The bill now goes to Mayor Vincent Gray to sing into law or veto. 

The Large Retailer Accountability Act of 2013 requires business occupying more than 75,000 square feet and whose parent company makes more than $1 billion a year to pay workers a living wage of no less than $12.50 an hour, rather that the minimum wage of $8.25,

Tuesday night Wal-Mart said it would scrap plans for stores in Skyland Town Center and Capitol Gateway in Ward 7 and a store planned for New York Avenue and Bladensburg Road NE in Ward 5, according to DCist

Ward 2 Councilman Jack Evans voted for the bill, saying a living wage would not keep businesses from coming to the District.

Evans said tax breaks and other incentives that have helped some of the city's most up-and-coming neighborhoods lure development. He said he would be willing to sit down with anyone who wants to come to the District to make it possible, living wage and all. 

Councilwoman Mary Cheh (D-Ward 3) voted against the bill. She was joined by Councilwoman Yvette Alexander (D-Ward 7), Councilwoman Muriel Bowser (D- Ward 4), Council Chairman Phil Mendelsohn and Councilman Tommy Wells (D-Ward 6). Both Bowser and Wells are running for mayor. 

“The ‘Large Retailer Accountability Act’ is a flawed and unwarranted bill and a prime example of why the District is consistently ranked as one of the worst places to do business in the nation.  It is also a prime indicator as to why unemployment remains consistently high for District residents even as it improves in surrounding jurisdictions," National Retail Federation Senior Vice President for Government Relations David French said in a statement issued Wednesday.

Mayor Vincent Gray was involved in bringing Wal-Mart to the two sites in Ward 7 where the retailer had no interest in locating, but where jobs and affordable food are in high demand. 

He has not said he would veto the legislation, but did advise the council to reconsider it. After the vote Wednesday he told reporters that he has "serious concerns" about the legislation, according to several media outlets. 

“The National Retail Federation, which represents retailers of all shapes and sizes, encourages Mayor Gray to stand firm for job creation and veto this legislation," French said in a statement.


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