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Walmart Looks to Corporate for Hundreds of Cuts: Replaces Co-Management Positions

Walmart Looks to Corporate for Hundreds of Cuts: Replaces Co-Management Positions

Monday, January 15th, 2018

After last week's shakeup in terms of Sam's Club's storecount, sources report a shift for approximately 3,500 store co-managers, as well as up to 1,000 cuts of corporate jobs. The cuts, according to anonymous persons close to the matter, aim to boost efficiency, weed out poor performers, and create clearer paths to leadership.

Last week, in a rapid turn of events, the retailer announced the boost of wages for its traditional Walmart employees while simultaneously annoncing the closure of more than 60 Sam’s Clubs across the nation.

The Wall Street Journal has reported that people familiar with the matter have disclosed plans to eliminate hundreds of jobs on the corporate level. Expected to be completed by the end of the company’s fiscal year on Jan. 31, the job cuts are expected to be broad-based and primarily focused on workers  at the company’s headquarters, according to the source.

A spokesperson for the retailer told WSJ, without officially confirming a timeline, “We’ve been looking at our structure for some time as we explore ways to operate more effectively.”

Additionally, a salaried role, which Bloomberg described as a “lieutenant underneath each store manager” currently held by 3,500 employees will be removed. Instead, people familiar with the matter told the news source that Walmart will add about 1,700 assistant store managers—a slightly lower-paid role—who will oversee fast-growing areas like online orders. Impacted individuals will have the opportunity to apply for other roles.

Deli Market News will keep you updated as the situation develops.


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