Three months ago, retail powerhouse Walmart stated its intent to voluntarily increase the pay of 100,000 of its employees. However, it now appears that certain employees are having their work hours reduced as part of a cost-cutting measure. Walmart, the largest private employer in the U.S., shared that only a “small number” of stores are affected by this decision and these are those that have been “significantly” over-staffing. Despite not providing additional detailed information, the company was adamant that these changes would not negatively impact its ongoing endeavors to enhance customer service, an area perceived as one of its weaker points.
Walmart U.S.’s CEO, Doug McMillon, is being pressured by Wall Street to rejuvenate the company’s domestic operations, which have lagged behind in competition with a variety of rivals, including but not limited to TJX (parent company of TJ Maxx), Amazon, and dollar store chains.
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