Walmart, America’s largest private employer, is laying off about 200 corporate workers, according to the Wall Street Journal, a week after the company cut its quarterly and full-year profit forecasts, saying it was being forced to reduce prices in stores
The restructuring effort will affect roles in departments across the Arkansas-based company, unnamed people familiar with the matter told the Journal, including merchandising, global technology and real estate.
Walmart did not immediately respond to a Forbes request for comment, but confirmed to the Journal that roles were being cut as part of a restructuring, and that additional roles would be created elsewhere.
Last week, Walmart warned of falling profits though the end of the year, which sent the company’s stock plummeting. The surging costs of necessities like groceries and gas has pushed shoppers to avoid spending in other sections of the superstores, like the clothing aisles, Walmart CEO Doug McMillon said. The company has rolled out heavy discounts to encourage sales, hurting profitability. Walmart employs 2.3 million around the world, including nearly 1.6 million in the U.S.
Walmart would be the latest in a string of companies to announce layoffs as fears of a recession grow. On Tuesday, online brokerage Robinhood said it was cutting 23% of its staff, just months after laying off 9% of its employees in April. Oracle, the Texas-based technology giant, began layoffs this week as part of a larger plan to reportedly slash thousands of jobs, according to The Information.
Walmart Lays Off Hundreds of Corporate Workers (Wall Street Journal)