Dive Brief:
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Bentonville, AR-based Wal-Mart Stores Inc. CEO Doug McMillon Tuesday urged Gov. Asa Hutchinson to veto the state’s “Religious Freedom Restoration Act” and warned that it would be bad for business in the state.
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Hutchinson has said he would sign the bill, passed by the legislature Tuesday, into law.
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Meanwhile, Indiana Gov. Mike Pence capitulated to severe pressure from business leaders and others Tuesday and asked for clarifying legislation that would make clear that the state’s new religious freedom law wouldn’t allow discrimination.
Dive Insight:
Wal-Mart Stores Inc. is just the biggest and most high profile of businesses in Arkansas working to head off the backlash that has been seen in Indiana after its “Religious Freedom Restoration Act” became law. The law is widely seen as protecting businesses that discriminate against LGBT customers or employees in the name of religious belief, despite some lawmakers insistence to the contrary.
Several companies, NASCAR, the NCAA, mayors, governors of other states, high-profile athletes, and other organizations have expressed opposition to the law in Indiana and taken steps or are considering steps to decrease business there. The Little Rock, AR, Chamber of Commerce has objected to the legislation, saying, "This is bad for business and bad for Arkansas,” and the state’s economic forecaster, Michael Pakko, said that it would affect decisions by some businesses that would be bad for state’s economy.
"Today's passage of HB1228 threatens to undermine the spirit of inclusion present throughout the state of Arkansas and does not reflect the values we proudly uphold," McMillon said in a statement.