Wal-Mart takes health care criticism to heart

This quarter may be indicative of the beginning of a turnaround in Wal-Mart (NYSE: WMT)'s fortunes. On the social responsibility front, there is also evidence that the company is heeding calls to improve the health coverage it offers its employees. After years of criticism, the giant is realizing that the reputational damage may have been just as material as the effect of high gas prices on store traffic.

According to The New York Times, "All the criticism was hurting its reputation and its ability to expand. So now, after spending two years seeking advice from everyone from Bill Clinton to executives at Starbucks, Wal-Mart is overhauling its health plans."

Health care is now available to more workers and may actually be easier to afford for some Wal-Mart employees than it is for Target (NYSE: TGT) workers. Having made huge strides in offering inexpensive prescription drugs to associates and customers, Wal-Mart is now mulling selling health insurance and starting weight-loss clinics.

The ruthless efficiency that has made Wal-Mart a leader in retail could have a meaningful impact on the cost of health care in this country. Be sure to read the New York Times piece to see what Wal-Mart is doing about health care.