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Wal-Mart Takes Out Life Insurance Policies on Employees, Collects on Deaths, in Secret


Society & Culture  (tags: Wal-Mart )

Mark
- 2582 days ago - news.tbo.com
Armatrout was one of about 350,000 employees Wal-Mart secretly insured nationwide, said Texas attorney Michael D. Myers, who estimated the company collected on 75 to 100 policies involving Florida employees who died.



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Comments

Debbie belanger (127)
Tuesday July 3, 2007, 12:25 pm
thats nuts!!!!
 

Phyllis P. (427)
Tuesday July 3, 2007, 12:34 pm
I have heard it all now....???!!!
 

Catman P. (912)
Tuesday July 3, 2007, 1:09 pm
Another example of corporate greed.
 

Past Member (0)
Tuesday July 3, 2007, 1:26 pm
I boycotted Wal-mart last year for a long list of reasons, and have not been back. I didn't even know the work place could do this. Thanks for the enlightenment Mark.
 

RC deWinter (418)
Tuesday July 3, 2007, 1:39 pm
Wal-Mart SUCKS...I NVER ptrnize them or Sam's Club either!
 

Orion Karl Daley (140)
Tuesday July 3, 2007, 1:47 pm
I read the article and find it horrific, and should be considered illegal. Further in addition to tthe Call Action Law Suit, these characters should be imprisoned for no less that 20 years. The Insurance Companies should be closed down, and those also imprisoned; and finally serious corporate reform is way over due in our country. Free interprise in our country can serve consumers well, and make a decent profit. But Capitalism at its worst should with out latitude shouldbe penalized.
 

Past Member (0)
Tuesday July 3, 2007, 1:51 pm
For any Brits out there reading this, I have just discovered that Wal Mart now own Asda, once a successful supermarket chain set up by farmers. Now I am going to boycott Asda as well as Tesco, who are just as bad as Wal Mart Please support small grocers and markets direct from primary producers - try and keep these disgusting corporations at bay.
 

. (0)
Tuesday July 3, 2007, 3:05 pm
i do not go to walmart any more
 

Erika S. (799)
Tuesday July 3, 2007, 3:50 pm
Someone needs to take them to court. It's also very suspicious.
 

karen e. (29)
Tuesday July 3, 2007, 4:27 pm
What an underhanded, cold and calculating thing to do. All they care about is making a buck, even if it's blood money. It's disgusting! I agree with Erika. It is extremely suspicious. I have never heard of a company taking out life insurance policies on their employees in my life. It makes me wonder if there is something illegal going on here. It is all very weird. It definitely should be looked into further.
 

Pommawolf In GrizzLand (11)
Tuesday July 3, 2007, 4:52 pm
Noted ...the jerks are always looking for the money.
 

Jennie B. (14)
Tuesday July 3, 2007, 5:39 pm
No more Walmart-I have to admit I hadn't given them up til I heard this- which is beyond the pale. Good Grief! Ugh! Walton is turning over in his grave. He was really a good honest man and worked hard for his money but he was good to his people. This is just disgusting-evidently what is left of his family are all money hungry jerks. Noted. Forwarded.
 

Dusty w. (1339)
Tuesday July 3, 2007, 6:35 pm
I don't shop Walmart!
 

Past Member (0)
Tuesday July 3, 2007, 7:30 pm
This policy was actually started by Sam Walton many years ago. I worked for them in the 80's and it was considered a company perk because if you died the family received the insurance payout which was up to 150% of your salary. It seems the boys have again messed up what their dad worked so hard to build
 

karen e. (29)
Tuesday July 3, 2007, 8:20 pm
Michael- now that makes sense and is right that the family get the pay-off on the policy. This original intent being twisted like it is now is just another example of corporate corruption. Also, to take out insurance policies on employees without their knowledge, using their personal information, is such a violation and invasion of privacy. The whole thing just smacks of deceit and corruption.
 

Nuraini A. (41)
Tuesday July 3, 2007, 9:00 pm
i'm pretty sure that even if many companies take out policies on behalf of employees, sometimes without the employee being told explicitly (maybe just notified that it is a part of the company benefit package), the beneficiary of those policies are the EMPLOYEE'S FAMILIES!! not the company! how can you take life insurance without someone's knowledge and then name yourself as the beneficiary? :S it's just so wrong!
 

Mark F. (302)
Tuesday July 3, 2007, 9:24 pm
the company stopped taking out the policies in 1995 but continued to receive payouts on employees who died, even those who had left Wal-Mart.

The above is from the article...that is the part that gets me...Wal-Mart continued to receive payouts even AFTER people had left the company. Those benifits were not going to the families.
 

Serena Luna (347)
Tuesday July 3, 2007, 10:41 pm
Wow!! I live near this Walmart and I have WORKED for Walmart in 2006 for the holiday season only. Before I started, we all sat down and filled out LOADS of forms and one was life insurance where I put down my ex hubby. But this is ADDITIONAL life insurance for them? They do have all the info. I had a beef with them when I found out about the GLUE TRAPS TO TRAP SMALL ANIMALS!!!! So, I started my own pettions on them and still ongoing. You can visit this petition from my profile page towards the bottom. I am so disgusted with Walmart. Why are they still in buisness when so many crimes are being commited in this workplace? I worked there of course before I knew them all. Weird. I cannot believe I worked there!!!
 

Carolyn T. (234)
Wednesday July 4, 2007, 3:41 am
What a black-eye this underhanded practice has added to the increasing string of despicable practices Wal-Mart has perpetrated. I would rather pay a bit more and shop elsewhere than spend my money there. For all I know, Sam's Club and Wal-Mart use the information they get about their patrons and take out policies on them. Ghoulist and greedy.
 

Joycey B. (750)
Wednesday July 4, 2007, 5:10 am
This does not surprise me. Walmart seems to get worse in everything anymore. Thanks for this story Mark.
 

Julia D. (92)
Wednesday July 4, 2007, 5:12 am
the only thing greater than the universe is corporate greed!
 

Past Member (0)
Wednesday July 4, 2007, 6:58 am
Whatza matter poor Walmart doesn't make enough money on its own? Billions in profit every year and they have the audacity to pull this on the very people who make the money for them? How dare they? They should be forced to give that money to the families whom they insured! They have no right to that money after all. This is despicable! What else are they hiding? How about having the IRS stepping in and taking a look at them? I wonder what they would say? hmmmmmmm..........
 

Esther S. (45)
Wednesday July 4, 2007, 8:17 am
I am not saying it is right but as long as they didn't cause the death of the employees, it is not that bad whether you agree with it or not.
 

ray brian (5)
Wednesday July 4, 2007, 8:27 am
greed people
 

Mike H. (217)
Wednesday July 4, 2007, 9:22 am
I guess this gives walmart motivation to work them to death. This makes me wonder about my own employer.
 

Patrick Clement (228)
Wednesday July 4, 2007, 10:07 am
I am not surprized concerning Wallmart. I do not shop there anymore. this will encourage me to never shop there. Wallmart must have a party when one of their employees die.
 

Eyes O. (411)
Wednesday July 4, 2007, 11:29 am
Wallmart? Could someone please tell me who or what Wallmart is? Never heard of them!!
 

Past Member (0)
Wednesday July 4, 2007, 11:47 am
And as if they need it to...HUH? What is a Wally World anyway?
 

Sandra K. (57)
Wednesday July 4, 2007, 12:16 pm
Noted...thanks for posting this story Mark.
Doesn't surprise me in the least that WalMart would do something like this.
 

Past Member (0)
Wednesday July 4, 2007, 12:33 pm
Isn't this an illegal practice of some kind?????????

Just plant seeds........Grow trees.........Make a forest.......For the animals............
 

Anthony Costa (54)
Wednesday July 4, 2007, 1:42 pm
This is upsetting...I think I'll start taking out fire insurance claims on Walmarts...
 

Past Member (0)
Wednesday July 4, 2007, 1:48 pm
Anthony.........Very funny but a great thought!!

THINK OF TOMORROW-
PLANT SEEDS
GROW TREES
MAKE A FOREST
FOR THE ANIMALS..............................
 

Cynthia S. (3)
Wednesday July 4, 2007, 5:46 pm
Are we sure Bush & Cheney don't secretly own this? Or is it partof the EXECUTIVE branch????
 

Linda D. (41)
Wednesday July 4, 2007, 6:16 pm
Well, this is a new financial angle I never heard of before. The company actually benefits if an employee, present or past, dies before their time, so what is their motivation to promote a healthy working environment? None at all. I can't believe this is legal. It's like being reimbursed for wages paid and any other expenses and still have a margin of profit. The ultimate kick-back scheme!
 

Past Member (0)
Wednesday July 4, 2007, 9:22 pm
ick! walmart is terrible!
 

Veronique P. (99)
Wednesday July 4, 2007, 11:58 pm
The only thing I ever gave Wal-Mart was a bad check!
 

Past Member (0)
Thursday July 5, 2007, 3:48 am
DOES WALMART HAVE A RIGHT TO DO THIS? CAN ANYONE DO THIS TO A WORKER? IT DOESN'T SOUND LEGAL!!
 

Susan F. (116)
Thursday July 5, 2007, 5:30 am
I have to wonder like Cynthia S, above if perhaps, George W.(weasel) Bush, Cheney and others in high
positions in Washington didn't all take the same course, or read from the same book. Corporate greed is
out of control, and this administration just keeps smiling and nodding at them while they fleece the working
class people of America (provided they get their cut or kick back). Take a good look around because this
is just one of the disgusting, arrogant practices of big business and a good number of your elected
officials. Business and politics need to be put on notice that we need to elect watch-dog committees
so that their lies, indescretions, and under-handed maneuvers will be brought out in the open and they
will be held up to public ridicule. Finally, does anyone know if Wal-Mart is being investigated for this
practice? What insurance company went along with this scam? I hope the attorney general will investigate
and hopefully make Wal-Mart return all monies, and fine them for such an arrogant under-handed
practice. What is lacking in the Walton clan and company are a conscience and ethics!
 

Lisa M. (17)
Thursday July 5, 2007, 7:58 am
Wow. Just - wow. I can't initiate a boycott of Wal -Mart because I already AM boycotting them. Cashing in on an employee's death?!? WHO came up with that idea? Sick!!!!
 

Past Member (0)
Thursday July 5, 2007, 11:12 am
As if all the imports from China wasn't enough. I am sure Sam Walton and his proAmerican ethics is turning around and around. Only thing to do is make sure you shop elsewhere.
 

Christina M. (57)
Thursday July 5, 2007, 12:15 pm
This sounds illegal, isn't it? Noted. Thanks Mark.
 

Michael Brewster (412)
Thursday July 5, 2007, 12:35 pm
I can tell you folks that this person is helping to tell you a lie. They didn't take the time to think about it and or to even investagate it to make sure it was true or not first. They just believed what someone else told them. This is another one of those lessons that needs to be learned. Never ever believe what someone tells you until you investagate it yourself and find proof that it is true. IN this case, this is a lie. What is happening though is that a few years ago, Walmart started offering its employees a life insurance policy that the employee pays half the premium and the company pays the other half as a benefit. It is not manatory for the employee to take such policy, it is up to them and they can sign up for it at any time. As was mentioned before, the person is right, it would be illegal for any company to purchase life insurance against its employees and collect if the employee should pass away. There are so many things that are being said about Walmart that are just untrue. Because someone is upset with Walmart for whatever reason, they spread all these lies, and to many people are believing it just because they are told about it from a friend, and they don't take the time to think about it or investagate themselves to make sure it is true or not. I hope Care2 will delete this news story, and also ban the member who posted it for a period of time so that they will learn that they can not just believe everything they hear and post things like this when in the end, its a lie, and it hurts a business. Walmart should also take action against this person for spreading a lie about their company. This is also a violation of the Terms of Service here, we are only to post the truth and not tell lies about others. So let this be a lesson learned to all of us. Never post, or forward anything we hear unless we first investagate first and make sure what is being said is the truth and the whole truth, for you can be held legally responsible for liable and slander when you post things like this that is untrue.
 

Moonfly T. (166)
Thursday July 5, 2007, 3:48 pm
Wal-Mart is nothing but a money hungry company that abuses their employees constantly...I've heard so many bad stories about Wal-Mart, about how they have put so many GOOD companies out of business with their cheap labor and trades, I wish we could all just shut them down!
 

Linda D. (41)
Thursday July 5, 2007, 3:51 pm
Michael, did you read the article? Do you work for Wal-Mart? Newspapers are careful before they publish an article. Here's the contact for the reporter: Reporter Elaine Silvestrini can be reached at (813) 259-7837 or esilvestrini@tampatrib.com.

The attorney says 25% of Fortune 500 companies are taking policies out on their employees. As for insurance companies, they'll give a policy to anyone who pays them money. I think you can take a policy out on anyone. Just don't have anything to do with the person passing into the next life if you or a close relative are named the beneficiary. What should be illegal is if a company or person uses personal information that was not voluntarily and freely given and the purpose revealed, such as obtaining a life insurance policy. For corporations, it's a win-win proposition. Live or die, they company wins. An early demise, or in later years when the employee no longer works there, is like redeeming a bond or winning the lottery for the day.

If this article is truly false and total fiction, it should be stated and retracted. But if someone submits an article that they truly believe to be true, they have done nothing wrong.

Here is the link to the lawsuit filed by the husband against Wal-Mart: http://media.tbo.com/tbo/pdfs/070307walmartlawsuit.pdf
 

Mark F. (302)
Thursday July 5, 2007, 6:10 pm
Michael; You don't one damn thing about me. How dare you tell people that I am helping to spread a lie. I did no such thing. I posted a article that was put on the internet by a news outlet in Tampa. I urge you to show me where I violated the Care2 Terms of Service. I dead serious Michael, I'm waiting for you to show me. If this article is a 'lie', then I will post another news link here proclaiming such.
 

Mark F. (302)
Thursday July 5, 2007, 6:14 pm
Michael, since you said I lied, (still trying to figure out how you came to that conclusion, since I have NOTHING to do with the article), where are your sources from? I noticed you don't back up any of your claims. How do we know that you aren't lying?
 

Past Member (0)
Thursday July 5, 2007, 6:59 pm
Tuesday July 3, 2007, 9:24 pm
the company stopped taking out the policies in 1995 but continued to receive payouts on employees who died, even those who had left Wal-Mart.

The above is from the article...that is the part that gets me...Wal-Mart continued to receive payouts even AFTER people had left the company. Those benifits were not going to the families.

Mark wrote this up above Michael, you are talking a few years ago, A MUCH NEWER POLICY, so you have proved nothing here. Before you talk about having somebody banned why don't you read it THOROUGHLY first. I believe it is you completely evading the actual events and time periods taking place in this article. Mark has brought some skeletons out of a closet, true or false this piece was written and he is sharing it. In life I have learned secrets don't stay secret, but there are those who keep covering them up by putting the focus where it does NOT belong, it is still lying. I feel you owe Mark an apology AND you need to completely RESEARCH the actual story he has posted here and bring us back what you have found. Until I see your facts to this SPECIFIC piece it is YOU DOING THE SLANDERING. I suppose now you want to have me banned too because I am not glorifying you and your babble without substance. On Mark's behalf, he has helped me find the facts on a story I was passing around and it was a hoax. He was a gentleman gave me proof and I retracted it gracefully. You don't need to be a bully Michael, just talk to Mark on an intelligent level, and for goodness sakes get your facts first, you are talking about what happened next which does not apply.
 

Nadia Donato (476)
Thursday July 5, 2007, 7:13 pm
Well said Peaches.... I have nothing further to add but emphasize on the apology to Mark.
 

Moonfly T. (166)
Thursday July 5, 2007, 7:36 pm
I second the apology to Mark....I have had friends and family work for Wal-Mart in the PAST (note) and I believe this to be true..how they treat their employees is a DISGRACE!
 

Veronique P. (99)
Friday July 6, 2007, 9:21 am
Peaches is right. Michael should apologize to Mark for the slandering. As far as I know, Mark has always been honest in his postings. I found them interesting and informational.
 

Dee C. (23)
Friday July 6, 2007, 11:30 am
Wal-Mart is and has been under investigation in NYS and several others States for quite some time..for just about anything and everything a company could do wrong.. And though Wal-mart is not the only company that has done this..They have indeed done so..and the lawsuits are still piling in on them..

I'd like to add that even if this story was not true..which hands down it is..it was most inappropriate to call Mark a liar simply for posting what he felt was an important story..

I often receive alerts and they are not true..however that does not make the sender of them a liar..
I also feel an apology would be the right and decent thing to do here..I hope that will happen..
 

Past Member (0)
Friday July 6, 2007, 3:00 pm
Greetings. I normally do not do this so offerd all reference and think it is good reading. My first search revealed too much to post but I offered the ref URL, next one revealed results with opened article to share and my next search includes hits with care2!

Anyway hope you all have a bright day.I ~dg~

keyword(s) WalMart & complaint & FTC http://search.aol.com/aol/search?query=WALMART+COMPLAINTS+FEDERAL+TRADE+COMMISSION&page=6&nt=null&invocationType=spelling&clickstreamid=4657529077527766180
Reference:
Federal Trade Commission http://www.ftc.gov/bcp/conline/pubs/general/guidetoftc.shtm
FTC works to eliminate unfair or deceptive marketplace practices. Site includes areas of FTC involvement plus a complaint form for consumers.www.ftc.gov/ftc/consumer.htm Complaint Form http://www.ftc.gov/bcp/conline/pubs/general/guidetoftc.shtm

There were too many hits to research for this one particular item.

http://search.aol.com/aol/search?invocationType=topsearchbox.search&query=Armatrout+was+one+of+about+350%2C000+employees+Wal-Mart+secretly+insured+nationwide%2C+said+Texas+attorney+Michael+D.+Myers%2C+who+estimated+the+company+collected+on+75+to+100+policies+involving+Florida+employees+who+died

Attorney: Wal-Mart Collected On Deaths
Armatrout was one of about 350000 employees Wal-Mart secretly insured nationwide, said Texas attorney Michael D. Myers, who estimated the company collected ...
www.tbo.com/news/metro/MGB5SEJVN3F.html
http://www.tbo.com/news/metro/MGB5SEJVN3F.html
Wal-Mart collected money on deaths of employees
Armatrout was one of about 350000 employees Wal-Mart secretly insured nationwide, according to Texas attorney Michael D. Myers, who estimated that the ...
shedit.us.publicus.com/apps/pbcs.dll/article?AID=/20070704/NEWS/707040334/-...
http://shedit.us.publicus.com/apps/pbcs.dll/article?AID=/20070704/NEWS/707040334/-1/Help0530


http://shedit.us.publicus.com/apps/pbcs.dll/article?AID=/20070704/NEWS/707040334/-1/Help0530Wal-Mart collected money on deaths of employees
BY ELAINE SILVESTRINI THE TAMPA TRIBUNE
TAMPA -- When Karen Armatrout died in 1997, her employer, Wal-Mart, collected thousands of dollars on a life insurance policy that the retail giant had taken out without telling her, according to a lawsuit filed in U.S. District Court.

Armatrout was one of about 350,000 employees Wal-Mart secretly insured nationwide, according to Texas attorney Michael D. Myers, who estimated that the company collected on between 75 and 100 policies involving Florida employees who died.

Myers is seeking to make the Armatrout lawsuit a class-action case on behalf of the estates of any Florida employees who died while unwittingly insured by Wal-Mart.

"Creepy's a good word for it," Myers said. "If you ask the executives that decided to buy these policies and the insurance companies that sold them, they would say this was designed to create tax benefits for the company, which would use the benefits for benevolent purposes" such as employee medical benefits.

"If you asked me, I would say they did it to make more money," Myers said.

Wal-Mart spokesman John Simley said he could not comment on the lawsuit because the company has not yet been served.

The company settled two lawsuits with employees represented by Myers in Texas and Oklahoma, one for about $10 million and one for about $5 million. He said Karen Armatrout came to his attention when Wal-Mart mistakenly gave her husband's phone number to an Oklahoman who called the retailer inquiring about the settlement.

Myers said he also has filed a lawsuit against Wal-Mart in Louisiana.

Richard Armatrout, who is retired, does not want to speak publicly about his case, Myers said. Armatrout did not return a message left by The Tampa Tribune.

Karen Armatrout was 50 when she died of cancer, according to Myers, who said she had worked several years in the pharmacy of the Wal-Mart on West Waters Avenue.

Myers said the policy payouts ranged from $50,000 to $80,000, depending on the age and sex of the person who died.

They were taken out on all full-time Wal-Mart employees who, in December 1993, were between the ages of 18 and 70 and participated in the medical benefits plan.

He said the company stopped taking out the policies in 1995, but continued to receive payouts on employees who died, even those who had left Wal-Mart.

Wal-Mart, which said it canceled its policies in early 2000 because it was losing money on the arrangement, says the program was intended to reduce its income taxes to help pay rising employee health-care costs. Workers were notified and given the chance to opt out, the firm says.

The Armatrout lawsuit says the policies were all written in Georgia, where the laws allowed such policies to be obtained.

The lawsuit says Wal-Mart used confidential information it received from employees for use in their employment, such as Social Security numbers and dates of birth, to obtain the life insurance policies.

Myers said this corporate practice is not uncommon, and estimates are that as many as 25 percent of Fortune 500 companies have taken out such policies on their employees.

The vast majority of the time, the employees did not know, Myers said.

Myers said the practice evolved over time. Corporations started by taking out large life insurance policies on key executives, getting tax breaks when they paid the premiums and collecting the payouts.

The amounts of those policies grew to the point where Congress stepped in and set limits on how much a company could insure an individual, Myers said.

Insurance companies then suggested purchasing lots of small policies on companies' entire work forces, Myers said. He said the IRS has labeled the practice a sham and has successfully litigated the issue against a handful of corporations.

Myers said his law firm has sued a number of corporations for the practice, including Winn-Dixie and Fina Oil and Chemical. None of the lawsuits, until now, have been in Florida.
Information from The Associated Press was used in this report.
Last modified: July 04. 2007 12:00AM
W-WAssociates
nationwide, said Texas attorney Michael D. Myers, who estimated the company collected on 75 to 100 policies involving Florida employees who died. ...
groups.msn.com/W-WAssociates/general.msnw?action=get_message&mview=0&ID_Mes...
http://groups.msn.com/W-WAssociates/general.msnw?action=get_message&mview=0&ID_Message=27811&LastModified=4675629730993560512
Blue Dot: Walmart Took Secret Life Insurance Policies Out On ...
Quoted: Armatrout was one of about 350000 employees Wal-Mart secretly insured nationwide, said Texas attorney Michael D. Myers, who estimated the company ...
bluedot.us/users/gravitymax/dot/89581899873
http://bluedot.us/users/gravitymax/dot/89581899873

(contintued) :)
















 

Past Member (0)
Friday July 6, 2007, 3:02 pm
SECOND SEARCH SAME KEY WORDS BROADER ENGINE
Wal-Mart Takes Out Life Insurance Policies on Employees, Collects on Deaths, in Secret

http://search.aol.com/aol/search?invocationType=topsearchbox.webhome&query=Wal-Mart+Takes+Out+Life+Insurance+Policies+on+Employees%2C+Collects+on+Deaths%2C+in+Secret+


Attorney: Wal-Mart Collected On Deaths
They were taken out on all full-time Wal-Mart employees who, in December 1993, ... Corporations started by taking out large life insurance policies on key ...
www.tbo.com/news/metro/MGB5SEJVN3F.html?imw=Y
http://www.tbo.com/news/metro/MGB5SEJVN3F.html?imw=Y

Wal-Mart takes out life insurance polici... - Care2 News Network
Wal-Mart takes out life insurance policies on employees, collects on deaths, in secret .... I guess this gives walmart motivation to work them to death. ...
www.care2.com/news/member/560456586/414444
http://www.care2.com/news/member/560456586/414444
Wal-Mart - Society & Culture - Care2 News Network
Wal-Mart Takes Out Life Insurance Policies on Employees, Collects on Deaths, ... Armatrout was one of about 350000 employees Wal-Mart secretly insured ...
www.care2.com/news/category/society/Wal-Mart
http://www.care2.com/news/category/society/Wal-Mart
'Wal-Mart takes out life insurance policies on employees, collects ...
Topic: Wal-Mart takes out life insurance policies on employees, collects on deaths, in secret Forum: WAYS TO BE AN ANGEL. Topic created by: Jerilyn M. ...
community.adlandpro.com/forums/thread/721446.aspx
http://community.adlandpro.com/forums/thread/721446.aspx
Attorney: Wal-Mart Collected On Deaths [Life Insurance Policies on ...
Many employers take out term life insurance policies on their employees, .... is that Wal Mart is killing itís employees in order to collect on itís life ...
www.freerepublic.com/focus/f-news/1860226/posts
http://www.freerepublic.com/focus/f-news/1860226/posts
Okayplayer.com Boards - Viewing topic #107708 - companies collect ....
Subject: "companies collect on secret insurance policies when u die" .... Morgan Chase and Wal-Mart have been secretly taking out life insurance policies on ...
board.okayplayer.com/okp.php?az=show_topic&forum=9&topic_id=107708&mesg_id=...
http://board.okayplayer.com/okp.php?az=show_topic&forum=9&topic_id=107708&mesg_id=107708&page=
Better Off Dead
Wal-Mart Corporation loves its employees so much that it takes out life insurance on them. But this is not an insurance policy that pays death benefits to ...
www.iplexingtonplant.org/better_off_dead.htm
http://www.iplexingtonplant.org/better_off_dead.htm
links for 2007-07-03 ę Clintís blog
CORPORATIONS: Wal-Mart has secret life insurance on many employees ó and ... takes out life insurance policies on them, then collects money when they die! ...
clintjcl.wordpress.com/2007/07/03/links-for-2007-07-03/
http://clintjcl.wordpress.com/2007/07/03/links-for-2007-07-03/
The Austin Chronicle: News: The Hightower Lowdown
Wal-Mart loves its employees so much that it takes out life insurance on them. ... Gene Green of Houston is working to stop these secret death policies. ...
www.austinchronicle.com/gyrobase/Issue/column?oid=oid%3A93226
http://www.austinchronicle.com/gyrobase/Issue/column?oid=oid%3A93226
Dead Peasant Insurance on Texas State Retirees? Good God! What's Ne...
But word has gotten out now that Wal-Mart and a few other companies have been sued for taking out secret life insurance policies on their employees and ...
www.texassportfishing.com/editorial_5.htm
http://www.texassportfishing.com/editorial_5.htm

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So many pages! This is a big story I think and hope all works out for best. Thanks Mark for sharing....bright blessings and sweet day, ~dg~
 

Roseann D. (178)
Friday July 6, 2007, 3:27 pm
Dispicable.
 

Brandy Ramos (235)
Friday July 6, 2007, 4:04 pm
I think that Mark has opened our eyes to a Corporation that has been abusing their employees for a very long time. I have in the pass filled out applications to the company and now knowing what type of company they are I will turn them down if they called and I will no longer shop there. Big corprations like this have been putting small business out of business. Which is bad when those small businesses are taking care of the community by helping schools, churches, and etc. Soon as the Walmart is built the small business lose the ability to support their community.
 

Brandy Ramos (235)
Friday July 6, 2007, 4:06 pm
Thank Dgetal for all the information that you have posted.
 

Mary R. (53)
Friday July 6, 2007, 4:27 pm
I do like the basic principles of the Walmart Corp. They treat their employess badly and are very demanding. They take advantage of people that employed with them that are handicapped or special need. I feel that they have lost sight of everything bet the dollar sign.
 

Past Member (0)
Friday July 6, 2007, 6:04 pm
Thx Brancy Well please do not let it be said I offered
partial~incomplete.re-aligning margins & reposting
to include ALL those impressive numbers and names...
thanks again for your kind patience and have a good
one. ~dg~

http://shedit.us.publicus.com/apps/pbcs.
dll/article?AID=/20070704/NEWS/707040334/-1/
Help0530Wal-Mart collected money on deaths of
employees
BY ELAINE SILVESTRINI THE TAMPA TRIBUNE
TAMPA -- When Karen Armatrout died in 1997, her
employer, Wal-Mart, collected thousands of dollars on
a life insurance policy that the retail giant had taken out
without telling her, according to a lawsuit filed in
U.S. District Court.

Armatrout was one of about 350,000 employees
Wal-Mart secretly insured nationwide, according
to Texas attorney Michael D. Myers, who estimated
that the company collected on between 75 and
100 policies involving Florida employees who died.

Myers is seeking to make the Armatrout lawsuit
a class-action case on behalf of the estates of
any Florida employees who died while unwittingly
insured by Wal-Mart.

"Creepy's a good word for it," Myers said
. "If you ask the executives that decided
to buy these policies and the insurance
companies that sold them, they would
say this was designed to create tax
benefits for the company, which would
use the benefits for benevolent purposes"
such as employee medical benefits.

"If you asked me, I would say they
did it to make more money," Myers said.

Wal-Mart spokesman John Simley said
he could not comment on the lawsuit
because the company has not yet been served.

The company settled two lawsuits with
employees represented by Myers in
Texas and Oklahoma,
one for about $10 million
and one for about $5 million.
He said Karen Arm trout c
ame to his attention when
Wal-Mart mistakenly gave
her husband's phone number
to an Oklahoman who
called the retailer inquiring
about the settlement.

Myers said he also has
filed a lawsuit against
Wal-Mart in Louisiana.

Richard Armatrout, who is retired,
does not want to speak publicly about
his case, Myers said. Armatrout did
not return a message left by The Tampa Tribune.

Karen Armatrout was 50 when she died
of cancer, according to Myers, who said
she had worked several years in the
pharmacy of the Wal-Mart on West Waters Avenue.

Myers said the policy payouts ranged
from $50,000 to $80,000, depending
on the age and sex of the person who died.

They were taken out on all full-time
Wal-Mart employees who, in December
1993, were between the ages of 18 and 70
and participated in the medical benefits plan.

He said the company stopped taking out
the policies in 1995, but continued to
receive payouts on employees who died,
even those who had left Wal-Mart.

Wal-Mart, which said it canceled its
policies in early 2000 because it was
losing money on the arrangement, says
the program was intended to reduce
its income taxes to help pay rising
employee health-care costs. Workers
were notified and given the chance
to opt out, the firm says.

The Armatrout lawsuit says the
policies were all written in Georgia,
where the laws allowed such policies
to be obtained.

The lawsuit says Wal-Mart used
confidential information it received
from employees for use in their
employment, such as Social Security
numbers and dates of birth, to obtain
the life insurance policies.

Myers said this corporate practice
is not uncommon, and estimates
are that as many as 25 percent of
Fortune 500 companies have taken
out such policies on their employees.

The vast majority of the time, the
employees did not know, Myers said.

Myers said the practice evolved over time.
Corporations started by taking out large
life insurance policies on key executives,
getting tax breaks when they paid the
premiums and collecting the payouts.

The amounts of those policies grew to
the point where Congress stepped in
and set limits on how much a company
could insure an individual, Myers said.

Insurance companies then suggested
purchasing lots of small policies on
companies' entire work forces, Myers
said. He said the IRS has labeled the
practice a sham and has successfully
litigated the issue against a handful
of corporations.

Myers said his law firm has sued a
number of corporations for the
practice, including
Winn-Dixie and Fina Oil
and Chemical. None of the lawsuits,
until now, have been in Florida.
Information from
The Associated Press
was used in this report.
Last modified: July 04. 2007 12:00AM
 

Ramona Gehl (141)
Sunday July 8, 2007, 5:29 pm
Just one more reason to despise Wal-Mart!!!!!!!!
 

Christine P. (9)
Monday July 9, 2007, 4:35 pm
Wal-Mart just needs to be obliterated. There is obviously no end to their greed and abuse.
 

Elizabeth C. (0)
Tuesday July 10, 2007, 7:54 pm
Wow, and this company has been trying to buy into and/or take over companies here in Australia.
I will keep this one on the computer and pass it on to the local media if they shouild try again.
 

Greta R. (0)
Monday July 16, 2007, 10:00 am
Who are the other corporate bandits? It cannot be only one retailer.... I suspect this is fairly common where health plans do exist. More please.
 
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