Walmart cuts 569 accounting/finance jobs in North Carolina
Walmart filed a Worker Adjustment and Retraining (WARN) notification with the state of North Carolina detailing the cut of 569 finance and accounting jobs located in Charlotte. WARNING Notice said the effective date was September 13.
The news comes on the heels of Walmart expanding its partnership with Genpact, which has begun to take over finance and accounting activities for Walmart last fall.
Talk Business & Politics reached out to Genpact to see if any of the 569 workers would be retained by the New York-based company. Genpact said none of the Charlotte workers would be retained, but the company is expanding its offices in Bentonville.
Walmart released the following statement regarding the WARN letter.
“This was a difficult decision that deeply affects the friends and associates we hold dear. We appreciate their important contributions and are committed to handling each transition over the next seven months with care and respect. We maintain a corporate presence in Charlotte. As our business continues to evolve, we said we needed to find the right balance between managing the needs of our business, our associates and our customers.
Walmart spokeswoman Robyn Babbitt said Walmart would continue to have a significant number of employees in the Charlotte market, which includes tech jobs as well as regional offices, to serve 216 Walmart and Sam’s Clubs stores in the Charlotte metropolitan area. After the downsizing, Walmart will still employ more than 56,000 workers in North Carolina.
Walmart’s partnership with Genpact is part of the retail giant’s efforts to accelerate its digital transformation and improve the quality and value of its services while freeing up potential savings for reinvestment in growth and innovation, the company noted. society.
Employees impacted by the North Carolina downsizing were notified last week and the timeline for closing operations will begin in September and continue through January 2020 before the company’s fiscal year end.
Walmart said employees who remain through their retention date will receive a special retention payment. Over the next few months, workers are also encouraged to apply for open jobs within the company. Walmart will also host outplacement services and job fairs to help displaced workers find jobs in the Charlotte market. If employees do not find other employment with Walmart, those who qualify will begin receiving severance pay at the end of their transition period.
The trend to cut back-office jobs is not new. Walmart has streamlined its home office and support jobs over the past few years. Virtually every segment of the retail business has been reduced to some degree, even the e-commerce division which continues to see considerable investment in capital spending.
The C-suite has also downsized, as Walmart US never replaced the COO position vacated by Judith McKenna more than 18 months ago. Additionally, Walmart recently announced that the CEO of Jet.com will be leaving the company as the management of Jet.com will be integrated into Walmart.com in the coming months.
Walmart CEO Doug McMillon said the company will continue to look for ways to cut expenses across the business. He said there were no cash registers at the home office.
Walmart US CEO Greg Foran said that as more technology is rolled out across the company and into stores, the balance of the workforce will change a bit. He said Walmart is continually monitoring its workforce and will continue to add and subtract as necessary.