Walmart to offload 570 office workers onto outside company

USA – Walmart, the American multinational retail corporation is transferring 570 workers from finance and accounting department to an outside company which will help in the retailer’s financial operations.

According to a New York Times report, willing workers will be hired by New York based global professional services firm, Genpact and will be based in Bentonville, where Genpact is leasing a building on Walmart’s campus.

Walmart informed employees that the development will take effect on November 28, and that the workers will have the same jobs at Genpact, with comparable pay and benefits.

Workers who decline the move will get 60 days with pay to search for other jobs.

According to Walmart Vice President Clay Johnson, the move will allow the retailer’s global-business services division to move its operations more into digital technology.

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Early in the year, Walmart laid out plans for store closures and thousands of layoffs at both the store and corporate level.

This was soon after the retailer said it would hand out bonuses and expand benefits to more than 1 million associates following new tax reform measures.

Walmart then confirmed 1,000 layoffs in California including 650 associates in Sam’s Club locations in Los Angeles, Sacramento and Orange County, and 359 at a Wal-Mart location in Sacramento.

They cover marketing, human resources, merchandising, real estate and other departments jobs.

The company had earlier cut as many as 500 workers in the corporate headquarters in Bentonville, Ark.

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Layoffs and change in fleet is Walmart’s strategy to manage its employment plan effectively.

On Jan. 11, Wal-Mart announced that it would raise the minimum hourly wage for all associates to US$11, expand maternity and parental leave benefits and offer a one-time bonus to eligible associates.

Bonuses could total up to US$1,000, but the maximum amount is reserved for those veterans with 20 or more years of service with the company.

Wal-Mart said these benefits would impact more than 1 million hourly U.S. associates.

The company had about 2.3 million associates around the world at the time of that announcement.

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