Rule number one in business: Don’t insult your customers. (Spoiler alert: More vulgar version of this rule below.)
When Whole Foods Market CEO John Mackey argued in a Wall Street Journal op-ed that American citizens do not have “any intrinsic right to health care, food or shelter . . . . [t]his "right" has never existed in America,” he succeeded in violating that prime rule. Thousands of Whole Foods customers have reacted with a boycott effort, including an online petition with 20,000 signatures so far.
This raises a question: Does Whole Foods deserve this kind of attack? After all, Mackey is a U.S. citizen and entitled to his political opinions. Nor is he the only CEO in the U.S. who is against health care reform. Perhaps it is unfair that Whole Foods is somehow being singled out. Moreover, a consumer boycott is more likely to hurt hourly employees than the CEO himself. Layoffs from tumbling sales could result in more people without insurance rather than less.
From a practical standpoint, Whole Foods’ problem is that it caters to a liberal progressive clientele. It advertises on its website that it “sells the highest quality natural and organic foods available” and is “caring about our communities and our environment.” It further claims that “our success helps us bring about change in the marketplace, which we hope will lead to good things for you and us and the planet.” A company like that is angling for upper class liberals, coincidentally one of the core groups pushing for health care reform. Mackey should have taken the hint when the Journal agreed to run his piece in the first place. Any article conservative enough to get past the editorial staff at the WSJ is bound to anger an upper class liberal.
On one hand, I sympathize with Whole Foods. It’s just an opinion, after all. Whole Foods isn’t in charge of U.S. health care, and certainly its CEO has as much right to express his opinion as anyone else. The problem, however, is that there is a good time and a bad time to express obstructionist views. Health care reform is becoming a more and more urgent matter, and obstructing its passage looks less and less like loyal opposition and more and more like a high stakes game of organic chicken. This year, health care costs are north of 17% of GDP, and by 2015 will exceed 20% of GDP. To do nothing is to court economic catastrophe. And to argue for a conservative free market approach at this late date is nothing short of hypocritical.
Republicans ruled Washington from 1994 to 2008, and did nothing over that span to reform health care. After the Republicans shot down the Clinton plan in 1994 and won the House and the Senate, they had every opportunity to put their own ideas into action. Bill Clinton was always a centrist president, and probably would have gone along with any reasonable proposal. None was offered.
America is at the point now where the condition of our health system has passed the point of urgency, and is headed towards emergency. Expenses are rising at 7.5% a year. Did you get a 7.5% raise last year? If so, can you expect to get a 7.5% raise next year, and every year until you retire and can apply for Medicare? If your answer is no, you will eventually lose your private insurance plan. Premiums will outstrip your income until you can no longer afford it. That is a certainty.
That's why it is way too late in the game for us to go back to the free market drawing board. Conservatives had their chance, a long, lingering chance, and they chose to sit on stacks of corporate profits instead. Mackey, a self-described libertarian, wants to let free markets work. Even if free markets do work, how long will it take? The only thing the current free market system has done is drive prices relentlessly upward. Mackey blathers about future deficits, but we have a deficit right now, and I fail to see how private insurance is going to pay it off. Since the rapid growth of Medicare costs doom us to deficits for the next few years anyway, why not quickly institute a public option, get control of costs from the bottom up, and reform the entire system all at once? That seems like the sensible path to a balanced budget. But expecting Blue Cross, United Healthcare, and Cigna to save us is a fool’s hope. These companies are motivated by profit. They couldn’t care less how large the federal deficit is.
We are in the eleventh hour, which is why, reluctantly, I favor the Whole Foods boycott. Heath care has dominated the news for about a month. It has taken a herculean effort just to get the fight to this point, which in my estimation still only offers a 50-50 chance of workable reform. We have reached take-no-prisoners time. We are at the point in the hockey game when the team that is behind pulls its goalie out so it can charge the opponent’s goal with every available player. If we lose here, it could be years before the chance comes around again, and by then, the carnage will only have mounted.
If Whole Foods has to be made an example of, so be it. For decades, corporations have been steering health care debate in a direction favorable to them. Billionaires always seem to have bigger megaphones than thousandaires. The only way corporate America will go along with reform is if it learns the lesson Whole Foods is about to learn today: Don’t piss your customers off.


Salon.com
Comments
Thanks for the boycott link, gonna go there right now.
But, life is arbitrary. If Whole Foods is going to be the target of people's anger, then that's just Mackey's tough luck.
Good post.
But I began boycotting Whole Foods long ago. I expressed to a manager my outrage at paying nearly $1 more for a 32-ounce carton of yogurt at Whole Foods in Ann Arbor, Mich., than for the same thing at my neighborhood supermarket in a small town about a half-hour away, the kind of place where you'd expect prices to be a bit higher. No one seemed to take my complaint seriously and I've not been back since.
I agree with your post. It's a shame that in the richest country in the world, children and poor people go without health care. Just like education, access to basic health care should be a right, not a privilege.
Hoot. Ay, hoola-hoop.I heard through the "grape vine" !
From reliable sources (anonymous workers who knows ?
They work there and say:`if a food looks pretty they will?
?
sad to say this to the consumer who is a discriminating,
but, there is rumor the organic shelf foods may be Fraud!
I honestly was told this. The two workers were pondering.
2- were gonna report, file grievances, and considered:`Quit.
'off-topic'
I think my Granddaughter and I saw a Tiger Swallowtail !
Beautiful.
That a butterfly.
We saw a Orange Monarch.
We saw plenty of Cabbage Butterfly. They frolic like a flying caterpillar. The Yellow and black with a few orange spots are called :`Dog Face.
Butterflies season is great. I'll share this piece. I don't know much about the Whole Food Mess. Buy local. Some day trucker will not be able to fill the gad tank. The economy may falter slowly? It's not sustainable. Wise merchants a "small is beautiful economy" thinkers are not asking IF there will be a crash - But wonder when! not IF! Yes!
Truckers can't afford to haul a green pickle Piked in Madagascar to a Whole Food Editor Pickle Barrel. Dill. Deal? tease and serious. Good read to share and discuss.
These are at least 20 million of the uninsured. Not lazy greedy people who refuse to pay for their healthcare, but people vicitmized by a lazy greedy system. It's time to change it.
As for the Whole Foods CEO - free speech does not mean speech that is consequence free. If he's so deeply out of touch that the customers that made him wealthy actually hate his viewpoint and would prefer to buy their goods elsewhere, he should either take another look at his views, or keep his mouth shut.
First his argument that health care is not an innate right is ridiculous. What is he saying? That every other country in Western civilization is simply foolish for considering it a right?
But more importantly, corporations should not be able to get away with greenwashing their unethical labor policies (and any corporation that advocates against health care, something considered a right in every democracy except the U.S., is telling you everything you need to know about its attitude towards its workers and its customers.) This should go triple for a country which does so little to protect the vulnerable, and regulate the greed of its business community.
And what exactly does he mean by "other people's money?" I can only guess that he believes the taxes being paid by a coddled gang of overpaid CEOs are stolen by the government. This isn't an argument against health care reform, it's an argument against long overdue tax reform.
It's time for these people to grow up and start paying their dues.
I hate boycotting Whole Foods, but I am pissed off too, that he had to say it the way he did. It was condescending and off-putting to those who need this health care bill more than anyone - the uninsured, those fighting to stay above water and those dying because big insurance is dictating their care.
I don't care about deductibles or FSAs or any of that stuff. I care that a person who is the head of a company that is supposed to be so socially responsible ignored the other 90% of the people in this country who can't afford to shop at Whole Foods. Some of them could have been future customers as the economic recovery continues, but I hope he pissed them off too.
He explained how they do things at Whole Foods, which pays 100% of employees' premiums, but no deductibles, for everyone who clocks in 30 hours or more per week. It also gives each worker $1,800 a year in to use for health and wellness expenses.
Sounds pretty much not like corporate greed to me. Do I agree with his stance? No, but he has a right to have it just as much as I have a right to not have it.
I'm confused as to why we're all up in arms, other than Whole Foods wares are outrageously expensive for something that's supposed to be trucked in locally. If anyone should be all het up, as my grandmother used to say, it should be businesses, who would surely balk at paying and doing what Whole Foods does with their employees. My employer pays 70% of my premiums. Most pay around 50%.
Would we be as peeved if it was Safeway's CEO?
I sent a note saying such to Whole Foods. Would be nice to be able to tell the other board members too. One of them is the CEO of the Container Store. Sigh. I liked that store, but not right now.
It will hurt the workers more than it will hurt Mackey.
Health care does not work this way in countries with low mortality rates. The U.S. claims to have one of the best health care systems. So why does it have one of the highest mortality rates in the Western world? For this CEO to lecture people about obesity, and preventative care while opposing the right to basic health insurance is hypocrisy at its worst.
As a result, the CEO doesn't get a break when he opens his mouth and stupid falls out. Stupid fell out of the mouth of the Corporation, an individual, and the consequences should be as severe as the rest of us people can make them.
While Mr. Mackey, the corporation, has a right to put his foot in his mouth, I have a right to make sure that I boycott his business, which isn't the best fresh and wholesome food store in my part of the world, anyway.
Oh, yeah - I can't afford Whole Foods anyway, as good as their stuff is. There is a reason it is derisively known as "Whole Paycheck."
We gotta tend to our rat killin'
and we gotta do it now
~~~~~~~~~~~~~~~~~~
Great, concise, cogent post.
thanks, Doc.
Boycott? Do more than boycott. Buy from your local farmers directly, join a local coop, or form one if you don't have one.
General Motors Canada spends roughly 8 dollars an hour less per employee than the company’s U.S. branches, simply because Canada has a public health care system.
I don't like boycotts because they don't take into account the pain and suffering that can visit other people with the unintended consequences. You want to hurt Mackey? Fine. Can you leave our daughter's family out of it please?
On a different topic, I'm going to take a minority view here, to say that there are respectable arguments to be made that health care is not an innate human right. (Philosophers argue about the nature and even the existence of human rights in general; there are subtle issues involved.) That said, I strongly believe that the U.S. government should provide all its citizens with health care, regardless of human rights issues. It's the right (and civilized) thing to do.
The point is that if a person is starving to death and you have a pantry loaded with food, you have a moral responsibility to help him. Especially if that person is your neighbor. The problem is not whether people have a right to health care or not. The issue is, is it moral to allow people to go without when we clearly have the resources to do otherwise?
If we have the money to pay people $4500 to buy a new car, we can take that same $4500 (which in most developed countries is more than enough to pay for a year's worth of medical treatment) and provide decent medical care.
It's the vision thing. I want the Obama administration to argue that this is the moral and ethical thing to do—that a country like the United States should be providing for those of its citizens in need. We should all be arguing on those grounds, rather than waving protest signs at Whole Foods.
See my new post on Open Salon: "New Age Guff: What's the Whole Foods Boycott Really About?"
I agree completely with Susanne on this.
I strongly support health care reform, I disagree utterly with Mackey's logic. Health is not only an intrinsic human right, I think the government is required to help provide it when private enterprise fails - under the general welfare provision of the Constitution. And I think private enterprise is intrinsically contradictory with provision of health care - pursuit of profits means you need to limit costs, which in turn means denial of treatment to people.
But boycotts add nothing to this debate.
What we need are rational arguments, and continued exposure of Republican lies.
The Democrats beginning with our President have to face up the reality of our situation. Now is not the time to try to work in a bipartisan manner. The economic future of this country is at stake not to mention the very lives of the uninsured men,women, and children.
Forget bipartisan cooperation with these people. The wealthy and their bought and paid for congress people and senators are SERIOUS. They don't care how many of us have to die or even if the economy is wrecked as long as the wealth still flows their way.
I love a good boycott. It is about time we stood up instead of being sat upon.
Nobody is taking Mackey's right to say what ever the hell he pleases for whatever reason he likes away. I'll just be exercising my right to spend my money where ever the hell I please for what ever reason I like.
He was making about $50,000.00/year, which to us was a decent salary, as the grocery buyer/team leader at WF.
The health benefits were exceptional. I had the same 100% coverage as a domestic partner; the PWA (personal Wellness Account) rolls over, and we both had major dental work done that we would never have been able to afford.
I wrote a post about Mackey and Whole Foods - and why I don't like Whole Foods and loathe his stupid editorial.
Whole Foods is not going anywhere - they (it) consistently post exceptional profit margins even in a great recession.
Boycott if you want - I suspect most people are doing so for other reasons, reasons that are more valid than protesting that editorial.
I suggest everyone wear their most raggedy clothes and go hang out eating all the free cheese samples they can until the store asks them to leave (not sure what the WF policy is on cheese eating loafers) as a protest against their business model being based on serving the privileged, and thus making food at a grocery store a commodity available ONLY to the privileged, via location, pricing and destroying smaller businesses.
My goodness. Is it really that much?
It has taken a herculean effort to get the issue of universal healthcare on the front burner in the media. Thank you 'Salon' for all the coverage you are providing. We have to continue the effort, we can't hesitate, we can't tire. If it doesn't happen now, (real healthcare reform), the opportunity might not happen again for many years and too many lives will be lost. If there ever was a 'live or die' domestic issue in this country, universal heathcare is that issue!
Yes, boycott Whole Foods. But also please forward this article to your friends and acquaintances. Passing on informed opinion and fact is one of the ways 'we' can impact legislation in this nation...One of the only ways.
Lets tell our leaders, let's tell the shakers and deal makers in this country that on this issue we mean business!
So, now the guy from Whole Foods is getting it from the other side of the political spectrum.
He could have kept his mouth shut and nobody would have known about his views. But he chose to print something in the Wall Street Journal.
Now he can deal with the backlash, and if it bankrupts his company, he's got only himself to blame.
As for boycotting Whole Foods, I am sorry for the employees, but perhaps this boycott would do the company some good in the end. A new CEO for example, someone who isn't such a pinhead? It might work to the employees' advantage.