Walmart is reportedly cutting more than 1,000 corporate jobs, people familiar with the matter told The Wall Street Journal on Friday. Pink slips are expected to be handed out by the end of the company's fiscal year on Jan. 31, the sources said.
"We've been looking at our structure for some time as we explore ways to operate more effectively," a Walmart spokesman told Retail Dive. "We're not going to comment on rumors and speculation."
The news comes just days after the company touted plans to boost starting hourly pay to $11 an hour, among other benefits, as well as an abrupt Twitter announcement on Thursday that the company is slated to close 63 Sam's Club stores.
Since a $3 billion blockbuster acquisition of Jet.com, Walmart has slowly chipped away at its traditional business, with an eye set squarely on boosting e-commerce. Since the deal went through, the company has acquired a slew of digital brands like Bonobos and Modcloth, and made enormous investments in its digital business. The company has also set goals to vastly increase the number of products offered across Walmart.com and Jet.com.
As the retailer looks toward bolstering its marketplace and the competition with Amazon heats up, that means many stores will likely have to go — taking jobs with them. And for stores that remain intact, jobs may still shift. According to The Journal's sources, the company is reviewing its structure of store management, looking to increase the number of assistant managers focusing on features like buy online/pickup in store, and cutting other management posts.
At the National Retail Federation's Big Show on Sunday, CEO Doug McMillon told attendees the company is focused on investing in store-level employees, but made no mention of the store closures or the rumored job cuts. "The purpose is the purpose, the values are the values. Everything else is open to debate and may change," he said.