Walmart cutting hundreds of corporate jobs, asking remote workers to return to office: memo

Walmart to announce first-quarter earnings Thursday

Walmart is about to have hundreds fewer people working in corporate offices, and remote workers are being asked to return to offices, a memo shared with associates obtained by FOX Business confirms.

The U.S. retailer is asking workers at offices in Dallas, Atlanta and Toronto to relocate to Walmart's corporate base in Bentonville, Arkansas, a northeast office in Hoboken, New Jersey, or a central hub in Southern California.

The company will allow what is referred to as a hybrid schedule - where employees can work part-time remotely, so long as they are in office for the majority of their work week. 

"While the overall numbers are small in percentage, we are focused on supporting each of our associates affected by these changes," the memo by Chief People Officer Donna Morris states, adding that associates impacted have already been spoken to and the company will "work closely with them in the coming days and months to navigate the best path forward." 

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Shopping cart outside Walmart store

Walmart is currently the largest retailer in the U.S. and the world. (David Paul Morris/Bloomberg via Getty Images / Getty Images)

Walmart ranked 97 on this year's Fortune "100 Best Companies to Work For." Fortune's website says the company has 103,776 job openings. 

"There are 2.1 million proud Walmart associates across the globe, from truck unloaders working their first jobs to some of the most influential executives in the industry – and everything in between," Walmart says on its corporate website. "In fact, our CEO – Doug McMillon – has been in both roles, and his story isn’t uncommon among Walmart’s top leaders."

WALMART CLOSING 51 HEALTH CENTERS OVER LACK OF PROFITABILITY

Walmart employee

A Walmart employee working at the first high-tech Market Fulfillment Center in Arkansas. (Walmart)

The company states 75% of salaried managers began as hourly associates, and the average U.S. wage is close to $18 an hour. 

Last month, the Arkansas-based retailer said it decided to shutter all 51 Walmart Health centers and the Walmart Health Virtual Care offerings after realizing it was not a sustainable business model. The company opened the centers in 2019. 

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Walmart pharmacy

A customer walks past the pharmacy during the grand opening of a new Walmart Stores Inc. location in Torrance, California, on Wednesday, Sept. 12, 2012. (Patrick Fallon/Bloomberg via Getty Images / Getty Images / Getty Images)

The company's 4,600 pharmacies and more than 3,000 vision centers will remain open. 

Walmart said that workers affected by the upcoming health center closures will be eligible to transfer to any other Walmart or Sam's Club store. Walmart said it will pay them for 90 days unless they transfer to another store within that time or leave the company. 

Walmart

A customer shops at a Walmart store. (REUTERS/Daniel Becerril  / Reuters Photos)

After 90 days, eligible employees who do not transfer or leave will be given severance.

The company also said last year it expects about 65% of its stores to be serviced by automation by the end of its fiscal year 2026.

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The retailer is set to report first-quarter results on Thursday.

Reuters contributed to this report.