- Walmart is cutting 1,500 corporate, tech-related jobs as part of a restructuring plan, reports say.
- News of the job cuts followed an announcement last week that Walmart is raising prices to counter President Donald Trump’s tariffs.
Walmart is restructuring its operations and cutting about 1,500 jobs as part of its new plan, Reuters reports.
An internal memo Walmart shared with FOX says the restructuring is an effort to simplify operations. The job cuts are mostly corporate and on Walmart’s technology team, but the note doesn’t specify how many jobs will be cut. It does say that they are “eliminating roles as well as opening some new roles.”
What we know:
The teams impacted include global technology operations, e-commerce in U.S. stores and Walmart Connect, the company’s advertising business.
What they’re saying:
“To accelerate our progress delivering the experiences that will define the future of retail, we must sharpen our focus,” the memo said.
Walmart raising prices to counter tariffs
The backstory:
Last week, Walmart CEO Doug McMillon said the retail giant will raise prices to counter higher costs from President Donald Trump’s tariffs, despite strong quarterly sales.
“We will do our best to keep our prices as low as possible,” McMillon told industry analysts. “But given the magnitude of the tariffs, even at the reduced levels announced this week, we aren’t able to absorb all the pressure given the reality of narrow retail margins.”
Walmart is expected to weather tariffs better than some other retailers: Two-thirds of Walmart’s merchandise is sourced in the U.S., with groceries driving much of that. Groceries account for roughly 60% of Walmart’s U.S. business. Still, Walmart isn’t immune.
“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain,” Trump posted on social media Saturday. “Walmart made BILLIONS OF DOLLARS last year, far more than expected. Between Walmart and China they should, as is said, “EAT THE TARIFFS,” and not charge valued customers ANYTHING. I’ll be watching, and so will your customers!!!”
By the numbers:
The Trump administration has imposed 30% tariffs on China for a 90-day period, down from 145% when tariffs were first announced. Tariffs on Mexico and Canada go as high as 25%, and most countries have a universal baseline tariff of 10% while Trump tries to get new trade deals in coming weeks. There are also various import taxes in place on autos, steel and aluminum, with plans to add tariffs on pharmaceuticals.
