Synopsis
Walmart has cut 1,000 jobs as it simplifies its structure. The retail giant is focusing on technology to attract wealthier shoppers and grow its online marketplace and delivery services. This move follows a year of integrating operations onto a single platform. Walmart aims to better compete with rivals in the digital space. Many affected employees were asked to relocate.Listen to this article in summarized format
Under new CEO John Furner and a reshaped leadership team, the retailer is doubling down on a tech-focused strategy as it woos higher-income shoppers and builds its marketplace and delivery businesses.
"We've made changes to simplify how the work is organized, make ownership clearer, and better align roles to the work and skills we need going forward," said Walmart's head of global technology Suresh Kumar and head of global AI acceleration Daniel Danker in a memo to employees on Tuesday.
The company had moved from organizing separately for Walmart U.S., Sam's Club, and its international markets to building in a unified way on a single, shared platform over the past year, according to the memo.
Walmart, which became the first retailer ever to hit $1 trillion in market value in February, has been ramping up a digital transformation to better compete with Amazon.com , Costco and Aldi.
Many of the affected staff have been asked to relocate to Walmart's Bentonville or Northern California offices, the Wall Street Journal, which first reported about the development, said on Tuesday.
Walmart employs about 2.1 million people worldwide, as of January 31, according to its annual filing. It is the largest U.S. private employer with about 1.6 million employees, of whom 92% are hourly workers.
The company reports quarterly results on May 21.
