Mexican Supreme Court rules against Walmex

MEXICO CITY (AP) Wal-Mart's Mexico subsidiary on Friday defended a voluntary program that pays employees in food vouchers they must spend at company stores, despite a Supreme Court setback.

A Walmex employee challenged the policy before the Supreme Court, which on Thursday ruled the company could not require the employee to spend vouchers at Walmex. The court didn't order Walmex to abolish the program entirely because no other employees sued.

In a statement, the court said the program resembled those seen at "old company stores," a system in which employees were paid vouchers good only at shops their bosses owned, where prices were often inflated. Mexico's constitution outlawed those stores in 1917.

Walmex, Mexico's largest private-sector employer, stressed that its voucher program is voluntary and includes an electronic debit card that can be used at any Walmex outlet. Still, it vowed to review the program.

"We are a company committed to improving Mexican families' quality of life and complying with the laws and court decisions of this country," the Wal-Mart de Mexico SA statement said. "That is why we will carefully analyze the Supreme Court decision and its implications for the program."

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The employee who challenged the program no longer works for Walmex, it added.

Walmex, owned by Wal-Mart Stores Inc., operates more than 700 retail stores and 360 restaurants across Mexico, including Wal-Mart Supercenters, Sam's Clubs, Superama supermarkets, and the Suburbia clothing store.

Many Mexicans receive part of their wages in food vouchers, but can use them at any store nationwide.