Walmart The company is laying off hundreds of employees from companies across the country and moving many employees to its Arkansas headquarters.
The big-box retailer confirmed the layoffs and relocations in a memo sent to employees Tuesday.
In the memo, Human Resources Director Donna Morris said the move was aimed at bringing more employees back to the office after the Covid-19 pandemic. The company brought employees back to its headquarters in Bentonville, Arkansas, in February 2022.
Now, she says, Walmart is going even further. The majority of employees working remotely and in offices in Dallas, Atlanta and Toronto have been asked to relocate. Most will move to the company’s headquarters in Arkansas, but some will also move to offices in the San Francisco Bay Area or Hoboken, New Jersey, she said.
“Additionally, parts of our business have made changes that will result in a reduction of several hundred positions on campus,” she said in the memo. “While the overall numbers are low as a percentage, we are working to support each of our associates affected by these changes.”
Walmart did not say how many people were affected by the discounts.
The news comes days before Walmart’s highly anticipated earnings report on Thursday.
The layoffs are the latest cost reduction for the discounter. In late April, Walmart announced the closure of 51 health clinics in Arkansas, Florida, Georgia, Illinois and Texas. The new clinics, which offered doctor, dentist and therapy appointments, were part of Walmart Health, a broad effort by the discounter to lower prices in the health care industry. It had opened health clinics next to its big-box stores, but said in a statement on its website that the business was not financially viable.
Walmart is the nation’s largest private employer, with about 1.6 million employees, most of whom work in its stores across the country.
Walmart has another reason to attract more employees to Bentonville: It’s building a nearly 350-acre campus there. The major development, which is well underway, includes 12 office buildings, as well as parking, a hotel and other amenities. The first campus buildings have already opened, including a fitness center and daycare.
The Wall Street Journal was first to report the layoffs and relocations.
Read Morris’ full memo to Walmart employees:
It’s been just over four years since we faced the global pandemic that transformed our lives in so many ways, including the way we work. In February 2022, we made the decision to bring Home Office staff back to our campus offices. We believe that being together, in person, makes us better and helps us collaborate, innovate and move even faster. We also believe it helps strengthen our culture and help our associates grow and develop.
In an effort to meet more often, we are asking the majority of associates working remotely and the majority of associates in our Dallas, Atlanta, and Toronto Global Tech offices to relocate. Most moves will be to our headquarters in Bentonville, but some will be to our San Francisco Bay Area or Hoboken/New York offices.
Additionally, parts of our business have made changes that will result in a reduction of several hundred positions on campus. Although the overall numbers are low as a percentage, we are working to support each of our associates affected by these changes.
We have had discussions with associates who were directly affected by these decisions. We will work closely with them in the days and months to come to find the best way forward.
This is a developing story. Please check again for updates.
cnbc
