Hundreds of Walmart employees are facing layoffs or have been asked to relocate to the corporate office or to other central offices.
Primarily, the employees at the smaller offices of Walmart in Atlanta, Dallas or Toronto have been asked to relocate as per the Wall Street Journal.
However, as per reports, employees may be allowed to work remotely part time, provided they spend most of their time working from the physical office.
The workforce strength of Walmart at the start of 2024, was about 2.1 million, globally. It has been trying to reduce the headcount for a year now, in preparation for automation. In fact, it hopes to automate about 65 per cent of its stores over the next two years.
In March 2023, Walmart had laid off several employees at its five e-commerce fulfilment centres across the US due to a reduction or elimination of evening and weekend shifts. The impacted workers had been assured by the company that they would receive payment for 90 days during their job search at other Walmart locations, including technologically advanced e-commerce distribution centres. At the time, these layoffs had raised concerns about a possible economic recession in the US,
Cut to February 2024, in a bid to attract and retain talent in a competitive labour market, Walmart rolled out a two-pronged strategy— stock grants for managers and a 3-for-1 stock split. This move came amidst rising inflation and pressure to lower grocery prices, while the retail giant grappled with high turnover, particularly among managers.
By offering stock grants of up to $20,000, coupled with a revamped compensation package boasting higher base salaries and potential bonuses of 200 per cent, Walmart aimed to incentivise an ownership mentality and long-term commitment among its managers.
