Walmart to Close Three Tech Hubs, Require Employees to Return to Office
Walmart (NYSE: WMT) has announced plans to close three of its tech hubs in Austin, Texas, Carlsbad, Calif., and Portland, Ore., with the hundreds of employees at the locations invited to relocate to San Bruno, Calif., or Bentonville. The retailer declared that they will cover the costs of relocating, and those who do not transfer will receive severance pay.
In addition to these closures, Walmart will require all its tech workers to return to the office at least two days per week, according to a memo from Suresh Kumar, Walmart’s global chief technology officer. The company also said it will pay for staff to relocate to other offices and hopes to relocate most employees, some of whom may become full-time remote workers.
The news comes after the company last year said it was expanding its global tech team by more than 5,000 employees and adding offices in Toronto and Atlanta. Walmart is the biggest employer among Fortune 500 firms, boasting approximately 1.7 million U.S. employees and a total of 2.3 million staff worldwide.
The move back to in-person work and central offices aligns with the trend at other big U.S. companies such as Uber and Starbucks. Walmart said it will raise the minimum wage for store and warehouse workers and recently announced plans to raise its minimum U.S. wages amid a tough job market for hourly workers.
Walmart is also closing eight stores for various reasons, including three in the Chicago metro. Workers in the shuttered locations can transfer to other stores in their areas.
Major technology companies such as Microsoft Corp. and Alphabet Inc. have recently been forced to make job cuts, which has brought about this decision.’s Google and Meta Platforms Inc., which have all cut employees in the Northwest and made plans to exit office leases. Employees in the tech centers that are closing will be paid to relocate by the Bentonville, Arkansas-based retailer. Those who resign due to the resolution will be given severance pay.
Each week, approximately 230 million customers and members visit Walmart’s stores and e-commerce websites around the world. The company employs approximately 2.3 million associates worldwide. The retailer is also preparing to cease store operations at a site on Silver Spring Drive in Milwaukee and is closing one store in southeast Albuquerque, N.M., as well as a Walmart Neighborhood Market in Pinellas Park, Fla., near Tampa.
0. “Walmart makes big decision affecting hundreds of workers in U-turn from expansion plans announced last year…” The US Sun, 14 Feb. 2023, https://www.the-sun.com/money/7385817/walmart-closes-tech-hubs-jobs/
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