How Wal-Mart Helps Employees Attain a University Education

The world’s largest retailer, Wal-Mart, has struck a deal with American Public University to provide Wal-Mart employees with online educational services. Wal-Mart employees are provided with credits they can redeem for specific courses at the university:

“…cashiers with one year’s experience could get six credits for an American Public class called “Customer Relations,” provided they received an “on target” or “above target” on their last performance evaluation … A department manager’s training and experience could be worth 24 credit hours toward courses like retail ethics, organizational fundamentals, or human-resource fundamentals…”

The end result is that Wal-mart employees can significantly lower the cost of getting a college degree. Up to 45 per cent of the cost of tuition can be eliminated based on credits earned as Wal-Mart employees.

Critics argue, though, that tuition fees at American Public University are higher than at other institutions providing online degrees. Even with Wal-Mart subsidizing education, paying the non-subsidized portion of the tuition fee will be difficult for the lowest paid, $12 per hour employees. Critics also argue that credits for courses taken at American Public University may not be transferable to other academic institutions.

Although it has a few wrinkles, this is a model that I expect to see adopted by more businesses. Employees benefit by having an opportunity to go to college. Organizations benefit by having a more educated workforce and possibly through higher employee retention. The educational institutions benefit from a large new market of potential graduates. The Wal-Mart/American Public University deal alone could produce as many as 140,000 new degrees. (RN)

News Analysis: Is ‘Wal-Mart U.’ a Good Bargain for Students? | The Chronicle of Higher Education | Marc Parry | 13 June 2010

Tagged as: academic, American Public University, Learning and Development, Wal-Mart