Another round of job cuts is happening in Canada, this time at Walmart (NYSE: WMT), where the retailer has eliminated roughly 750 jobs to cut costs and restructure employees' schedules.
Walmart says the move will help the company place more store associates on the sales floor during peak shopping hours and give associates greater access to their managers. The new staffing schedule has been tested over the past six months, according to the company.
"We are implementing a new management structure in our stores that will enable us to provide improved service to our customers and enhanced career opportunities for our associates," Walmart spokesperson Alex Roberton told the Toronto Star.
The new management structure has also resulted in roughly 1,300 promotions within Walmart Canada stores and the addition of more than 200 new store management roles.
"The role eliminations make up less than 1 percent of our Canadian workforce and average out to less than two positions per store. Overall, Walmart Canada is a growth company and is generating many new jobs as we expand our store network and our food and e-commerce businesses," said Roberton.
It's a much different story than its competitors. Target's losses in Canada now total $1.6 billion and forced a management change. And Sears recently revealed it was considering the sale of its 51 percent interest in Sears Canada.
Walmart is offering severance packages and professional career services to the 750 associates who have been eliminated. These employees also have the option to apply for other positions at Walmart.
Walmart in February said it would spend approximately $500 million this year to grow its business in Canada, building 35 supercenter stores and creating more than 7,500 jobs in the country over the next year. Walmart Canada will spend $376 million on building supercenters, and another $91 million to expand its distribution network to support the growing number of stores. The company will also invest $31 million for e-commerce projects for its online unit, Walmart.ca.
By January 2015, Walmart Canada's store count will reach 395, including 282 supercenters and 113 discount stores.
-See this Toronto Star article
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