Walmart announces layoffs amid lower profit forecast

Walmart confirmed on Wednesday that it was laying off company employees as part of a restructuring process.

“We are updating our structure and evolving certain roles to provide clarity and better position the company for a strong future,” a company spokesperson told FOX Business in a statement. “At the same time, we are investing more in key areas such as e-commerce, technology, health and wellness, supply chain and advertising sales and creating new roles to support our growing number of services for our customers, our suppliers and the business community.”

Walmart store

This file photo shows the entrance to a Walmart in Pittsburgh. (AP Photo/Gene J. Puskar, File/AP Newsroom)

A source familiar with the situation told FOX Business that the number of layoffs is around 200 company employees.

OHIO MAN QUITS TEACHING JOB IN FAVOR OF HIGHER SALARY AT WALMART: ‘DON’T USE MY DEGREE’

The news comes just over a week after the company lowered its second-quarter and full-year earnings outlook as soaring inflation wreaked havoc on the retail giant.

The company said it expects adjusted earnings per share for the second quarter to decline to around 8% or 9%, and fall into the 11% to 13% range for fiscal 2023.

CLICK HERE TO GET THE FOX BUSINESS APP

Walmart said in its statement that double-digit food inflation is higher than it was at the end of last quarter, noting that “it affects customers’ ability to spend in general merchandise categories and requires no more markdowns to move through inventory, especially apparel.”

FOX Business Breck’ Dumas contributed to this report.

Leave a Comment