BENTONVILLE, Ark. — Walmart has cut about 200 jobs at its corporate headquarters in what a spokesperson characterized as a way to “better position the company for a strong future.”
The layoffs, first reported by The Wall Street Journal, came just a week after Walmart revised its profit outlook for its second quarter and fiscal year 2023. The company projects lower earnings primarily due to pricing actions aimed at improving inventory levels and altering the sales mix at its Walmart and Sam’s Club outlets in the United States.
“The increasing levels of food and fuel inflation are affecting how customers spend and, while we’ve made good progress clearing hardline categories, apparel in Walmart U.S. is requiring more markdown dollars. We’re now anticipating more pressure on general merchandise in the back half; however, we’re encouraged by the start we’re seeing on school supplies in Walmart U.S.” Doug McMillon, Walmart’s president and chief executive officer, said in making the announcement. Walmart will report its second quarter results on August 16.
Walmart is the largest employer in the U.S., with nearly 1.7 million domestic workers, so its actions are seen as an economic indicator. The spokesperson said that the retailer is still hiring in many parts of the company to support growth in such areas as supply chain, e-commerce, health and wellness, and advertising sales.