It seems to me that whether Walmart gains or loses from a welfare benefit paid to workers depends on the structure of the benefit. IANAE. If the benefit is tied

It seems to me that whether Walmart gains or loses from a welfare benefit paid to workers depends on the structure of the benefit. IANAE. If the benefit is tied to working, like the EITC, it makes the worker willing to work for a lower wage. i.e. the result of the benefit is to shift the supply curve for labor down, so that the equilibrium wage is lower. On the other hand, if the benefit is not tied to working, it seems to me that it shifts the supply curve up. I'm less willing to take a low-paying job once I know I at least won't starve. This means that Walmart pays more. That welfare benefits are means tested complicates things significantly.