Walmart will lay off thousands of corporate employees by August

Walmart plans to lay off hundreds of workers in California and Texas in the coming months.

The large-format retailer will eliminate 180 corporate positions at its Sunnyvale, California, office and 388 positions at its San Bruno, California, location by Aug. 9, according to Worker Adjustment and Retraining Notices (WARNs) filed with the California Department of Labor. Development Department (EDD) last week. These roles mainly involve supporting the corporation’s e-commerce operations.

In an email to employees obtained by the California Fox News affiliate, Walmart’s chief human resources officer and executive vice president Donna Morris wrote: “Some parts of our company have made changes that will result in the reduction of several hundred positions on campus.”

“While the overall numbers are a small percentage, we remain focused on supporting each of our colleagues affected by these changes,” she added.

Meanwhile, most employees currently working remotely across the U.S., as well as at Walmart offices in Dallas, Atlanta and Toronto, will be asked to relocate to the company’s headquarters in Bentonville, Ark., the San Francisco Bay Area or Hoboken. , New York, Morris’ email said.

The memo to the California EDD supports communication with employees, saying Walmart does not expect all employees impacted by the decisions to experience job loss.

Walmart Chairman, CEO and Director C. Douglas McMillon stood by the company’s plans during a May 16 earnings call. “Earlier this week, we also shared decisions to eliminate some home-based jobs and reduce the amount of remote work,” he said. “The vast majority of our home office colleagues have returned to work since we returned from the pandemic, and we want to see more of that. It’s important to be there in person.”

This week, Walmart made even deeper cuts in Texas.

The company has filed WARN notices that show 1,472 jobs at its Dallas office and call center are at risk. According to reports, the company has offered some employees the opportunity to transfer to another office. Walmart did not immediately respond to a request for comment on the layoffs.

The Texas cuts come just days after the company announced it had exceeded its quarterly earnings and revenue forecasts. Net income reached $5.10 billion in the first quarter, up from $1.67 billion in the same period a year ago.

To maintain sales momentum and address lingering customer concerns about inflation, Walmart said it plans to lower prices on about 7,000 products – a move Target implemented earlier this week. The competitor slashed prices on 1,500 household items on Monday, and further price rollbacks are expected over the summer.

“Together with our suppliers, we are making progress in lowering prices,” McMillon said, noting, “Our combination of everyday low prices and high recall numbers is resonating.”

Meanwhile, the company is banking on e-commerce, posting better-than-expected results in the first quarter of fiscal 2025. In-store pickup, delivery and advertising drove online sales to 22%, with higher-income customers accounting for the majority of gains. In February, McMillon said the company was hurtling toward e-commerce profitability.