Walmart laying off hundreds of employees to better prepare for future

Don't want to miss the best from Business Standard?

Retail giant Walmart is laying off hundreds of employees at its e-commerce facilities across the US as part of an adjustment in staffing "to better prepare for the future needs of customers".

Walmart is shrinking its workforce as many retailers plan on roughly flat or declining sales, reports CNBC.

A company spokesperson said that this decision was not made lightly.

"We're working closely with affected associates to help them understand what career options may be available at other Walmart locations," the spokesperson said in a statement.

About 200 workers will be affected at Walmart's southern New Jersey facility, reports Reuters.

Walmart's rival Amazon has slashed 27,000 jobs in two rounds and another retail major Target plans to cut up to $3 billion in total costs over the next three years.

Walmart anticipates slower sales growth and lower profits in the coming fiscal year.

The company said last month that it expects same-store sales for its US business to grow between 2-2.5 per cent, excluding fuel.

Online sales have continued to grow, though at a slower pace than during the peak of the pandemic.

In its fourth quarter, Walmart delivered strong revenue growth globally with strength in stores and e-commerce. Total revenue was $164 billion, up 7.3 per cent.

--IANS

na/dpb