Wal-Mart Halts Support to Gay Groups

NEW YORK CITY, NY -- Wal-Mart, the world's largest retailer, has decided no longer to support LGBT organizations after conservative Christian groups threatened a boycott, and after some of its own employees expressed disapproval.

Wal-Mart last year joined the National Gay and Lesbian Chamber of Commerce (NGLCC) and sponsored the annual convention of Out & Equal, a group that promotes gay rights in the workplace.

"We are not currently planning corporate-level contributions to GLBT groups," said Mona Williams, the company's senior vice president of corporate communications. Individual stores will still be allowed to donate to gay groups and the company will still support Wal-Mart Pride, a network of gay employees at the company, FORTUNE reports.

"I thought the company was moving in the right direction," an employee told Fortune. "But last week changed everything. Pulling funding from GLBT organizations is a slap in the face to gay employees and it sends a very clear message. Diversity within Wal-Mart is only partially inclusive." "They're catering to their conservative base," the employee added.

Gay-rights groups haven't given up on the retail giant quite yet, though. "Wal-Mart continues to engage on the issue of worker equality, and we will support them in that...This is a marathon, not a sprint, and so long as Wal-Mart keeps its doors open, we hope to give them encouragement," said Selisse Berry, the executive director of Out & Equal. Wal-Mart donated $60,000 to Out & Equal last year.

The Human Rights Campaign (HRC) also will continue to work closely with Wal-Mart. "With a company as large as Wal-Mart, it's not going to happen as fast as many of us would like," says Daryl Herrschaft, who oversees the HRC's workplace project.

Still, many had hoped that Wal-Mart's would have been ready to take the next step towards workplace equality by offering health care benefits to domestic partners. More than half of FORTUNE 500 companies do so.

"The lesson here may be that it's hard to find a middle ground when it comes to gay rights in the workplace. A company either believes in workplace equality for all, and is willing to stand up and say so, or it doesn't. It's pretty clear where Wal-Mart stands," FORTUNE concludes.