Hundreds of Workers at Walmart’s eCommerce Facilities Face Layoffs — Retail Bum

Walmart plans to lay off hundreds of workers at its eCommerce fulfillment centers in certain markets.

While the company stated that it has “adjusted staffing levels” at these facilities, it refrained from disclosing the exact number of employees who will be affected.

The layoffs follow the big box retailer’s efforts to ramp up its online business and stave off rising competition from Amazon. However, the retail giant is facing difficulties in growing its online business as consumers have cut back on making non-essential purchases and have reverted to in-store shopping coming out of the pandemic.

Walmart is far from the only retailer experiencing these challenges. Many retailers have thus looked to negate their cost of selling online by striking wholesale partnerships with established players or opening brick-and-mortar stores. Amazon, meanwhile, has utilized its lucrative AWS cloud services business to offset its comparatively less profitable retail operation.

“Customer expectations are changing, and we are moving quickly to meet and exceed their needs,” Walmart said in a statement. “As demand grows, we are maximizing our network of stores and fulfillment centers to deliver items for online customers when and how they want them.”