Walmart is implementing significant changes in its corporate structure, including job cuts and a shift in remote work policies.
In a memo shared with USA TODAY, Donna Morris, the company’s chief people officer, announced that “some parts of our business” would see a reduction of several hundred campus roles. Additionally, employees currently working remotely in Walmart’s smaller offices in Atlanta, Dallas, and Toronto are being asked to relocate to larger hubs, primarily the Home Office in Bentonville, with some exceptions for offices in the San Francisco Bay Area or Hoboken/New York.
While Walmart will still allow staff to work remotely part-time, they are expected to spend the majority of their time in offices, according to reports by The Wall Street Journal and Bloomberg.
Morris emphasized the importance of in-person collaboration for fostering innovation and strengthening the company’s culture. Despite the job cuts being a small percentage of Walmart’s workforce, the company is committed to supporting affected associates through the transition.
This move comes shortly after Walmart announced the closure of its virtual health care service and all 51 Walmart Health centers, citing sustainability concerns.
The timing of these corporate changes, coupled with the recent health clinic closures, suggests a broader restructuring aimed at reallocating resources to more profitable areas of the business, such as advertising and fulfillment, according to retail analysts.
Walmart has been actively reshaping its corporate strategy, including the closure of underperforming stores, while investing in remodeling existing stores and opening new ones. The company’s recent acquisition of Vizio and focus on alternative revenue streams signal its commitment to diversifying beyond traditional retail.
CEO Doug McMillon highlighted Walmart’s ongoing investments in store remodels and supply chain automation to enhance the customer experience and increase productivity. The company plans to remodel nearly 1,000 stores globally over the next year, with a significant focus on the U.S. market.