Finance

Walmart cuts hundreds of corporate jobs after warnings of falling profits

FILE – A woman wheels a cart with her purchases out of a Walmart, on Nov. 18, 2020, in Derry, N.H. On Monday, July 25, 2022, Walmart Inc., lowered its profit outlook for the second quarter and the full year, citing surging inflation on basics like food that is forcing shoppers to cut back on discretionary items, particularly clothing, that carry higher profit margins. (AP Photo/Charles Krupa, File)

The retail giant Walmart is laying off about 200 corporate workers, a source familiar with the situation told The Hill on Wednesday, a week after it reported inflation was affecting its overall profits. 

The layoffs come as consumer confidence dips and inflation reaches record highs.

Higher food and fuel costs are “affecting customers’ ability to spend on general merchandise categories and requiring more markdowns to move through the inventory,” the company wrote in a fiscal update last week. 

The layoffs won’t affect front-line workers, the source told The Hill, and are part of a restructuring effort the company hopes will create new jobs over time.

“We’re updating our structure and evolving select roles to provide clarity and better position the company for a strong future,” a Walmart spokesperson told The Hill on Wednesday, adding that the company is ramping up investment in arenas such as e-commerce, advertising sales, and health and wellness. 

The Wall Street Journal reported Wednesday that the corporate jobs affected include merchandising, global technology and real estate teams.

Tags falling profits inflation job loss layoffs profits Walmart
See all Hill.TV See all Video