Dive Brief:
- Walmart is continuing reductions to its fulfillment center workforce at facilities across the country, based on information released by Texas and Pennsylvania in accordance with federal labor laws.
- Nearly 1,050 people will lose their jobs at a fulfillment center in Fort Worth, and Walmart plans to cut nearly 600 people at a fulfillment center in Bethlehem, Pennsylvania, according to state-level WARN notices.
- Workers at the Texas and Pennsylvania locations will be let go effective June 2. Along with cuts in Florida, and New Jersey, Walmart plans to cut over 2,300 fulfillment center personnel, according to a Retail Dive tally. An unspecified number of people may lose their jobs at a Chino, California facility.
Dive Insight:
Walmart this week highlighted that it has revamped its website and mobile app for shoppers. But it appears that the company will now rely on fewer people working in its fulfillment centers.
A March 31 letter to the Texas Workforce Commission from Walmart stated that impacted associates can apply for open positions at other Walmart or Sam's Club stores during a paid job search period. The retailer also is providing support services and severance pay, subject to eligibility requirements. Walmart officials sent a similar letter to Florida officials March 24.
Walmart previously confirmed to Retail Dive that it has “adjusted staffing levels” at fulfillment centers “in select markets.” Walmart did not immediately respond to a request for comment on Tuesday from Retail Dive regarding layoff number totals.
The federal Worker Adjustment and Retraining Notification or WARN Act requires companies that employ more than 100 employees to give 60 days advance notice of mass layoffs or facility closures. New Jersey has extended that to 90 days.
Outside of WARN notice numbers of confirmed layoffs, layoffs are impacting a Walmart facility in Chino, California, as previously reported.
Walmart is Pennsylvania’s largest private company employer, according to the Philadelphia Inquirer. The Bethlehem workers were notified of layoffs in late February and offered an opportunity to accept another warehouse or in-store position with Walmart, according to The Morning Call.
The Fort Worth and Bethlehem area e-commerce fulfillment centers opened in 2013. They were among Walmart’s first dedicated to filling online orders.
