Sources close to Walmart (NYSE:WMT) and its Sam's Club brand reported that 1,000 jobs will be cut at corporate headquarters by Nov. 1, including up to 200 vice presidents. In addition, the big-box retailer announced the release of 2,000 online discounts to rival Amazon's Prime Day on July 15.
Walmart has not confirmed or denied the layoffs, The City Wire reported. This is the second round of corporate layoffs this year after 50 employees were let go in February. The paring down of corporate employees aligns with U.S. CEO Greg Foran's plan to restructure the company and give some of the power back to lower-level store managers. In addition, the cuts will help support the retailer's announcement to increase hourly wages.
Walmart is not the only retailer downsizing corporate offices this year as Target (NYSE:TGT) and JCPenney (NYSE:JCP) have made similar moves.
In addition, Walmart announced a rival sale to Amazon's (NASDAQ:AMZN) recently announced Prime Day, or Black Friday in July. Walmart will roll back the prices on more than 2,000 online products during the same 24-hour period, July 15. Categories will include electronics, home, and baby and toys. The discounts are expected to last for 90 days. Starting July 13, Walmart is also reducing the minimum order for free shipping from $50 to $35 during the 30-day period.
Walmart pointed out that Amazon's Prime Day was for members only and that Walmart's sales were meant for all shoppers. The company is "standing up for customers and everyone else who sees no rhyme or reason for paying a premium to save," Walmart spokesperson Ravi Jariwala told USA Today.
-See this The City Wire article
-See this USA Today article
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