Updated 22 May 2025 at 07:54 IST
Retail giant Walmart announces strategic job cuts impacting tech, e-commerce, and advertising units amid rising supply chain costs. Walmart Inc., the largest private employer in the U.S., is set to eliminate approximately 1,500 jobs as part of a broad restructuring initiative aimed at streamlining its operations. According to an internal memo obtained by Reuters, the restructuring will affect employees across several divisions, including global technology operations, e-commerce fulfillment centers in U.S. stores, and its advertising arm, Walmart Connect.
“To accelerate our progress delivering the experiences that will define the future of retail, we must sharpen our focus,” the memo stated, highlighting the company’s ambition to remain agile and competitive in a rapidly changing retail landscape.
While some roles are being eliminated, the company also plans to open new positions, suggesting a strategic realignment rather than a blanket reduction in workforce. This comes as Walmart continues to invest in its main operational hubs in California and Arkansas, following the closure of its North Carolina office earlier this year.
Walmart currently employs around 1.6 million workers in the U.S. and 2.1 million globally, according to figures on its website. The move marks one of the most significant corporate shifts in recent months and signals growing challenges faced by major retailers amid economic uncertainty and evolving consumer expectations.
The job cuts follow recent announcements by Walmart to increase prices on select products by the end of May. This price hike comes as a direct consequence of President Donald Trump’s ongoing trade war, which has disrupted the company's supply chains and raised import costs—especially for goods sourced from China. Notably, about 60 per cent of Walmart's imports consist of items such as clothing, electronics, and toys from China, making it the country’s largest importer.
The Wall Street Journal was the first to report the planned layoffs, which reflect Walmart’s broader effort to simplify operations, improve efficiency, and adapt to new retail realities shaped by technology and shifting global trade dynamics.
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Published 22 May 2025 at 07:53 IST