Not long after Bentonville, Arkansas, U.S.A.-based retail giant Walmart warned it would have to raise prices on customers due to tariffs, it is now planning to cut around 1,500 corporate positions as part of a restructuring push to simplify its operations, according to a memo reported by Reuters.
Teams in its global technology operations, e-commerce fulfillment in U.S. stores, and its advertising business Walmart Connect will be impacted, according to the firm.
"To accelerate our progress delivering the experiences that will define the future of retail, we must sharpen our focus," the memo said.
The retailer began a restructuring and broader relocation strategy last year; it then announced plans this February to lay off or relocate more than 800 corporate employees.
Following that, Walmart CEO Doug McMillon said that his firm will likely have to raise prices due to tariffs instituted by U.S. President Donald Trump. Walmart is the largest importer in the U.S., according to Reuters, with about 60 percent of its imports coming from China.
Trump responded on his social media platform Truth Social that “Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain.”
“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!!!” Trump said.
Several other retailers in both the U.S. and U.K., as well as many restaurant operators, have conducted layoffs this year, citing industry headwinds as the reason for necessary restructuring.
“This is definitely an uncertain time. Both consumers and the food industry have to remain flexible and nimble in order to adapt to this in real time,” FMI – The Food Industry Association Vice President of Tax, Trade, Sustainability and Policy Development Andy Harig said earlier this year. “Shoppers are and continue to be very resilient … [and] very sophisticated. They are much more in tune with current events than people recognize.”
