By Sarah Nassauer

Walmart plans to cut around 1,500 jobs in a restructuring aimed at trimming its expenses and speeding up decision-making.

Walmart and other retailers have been cutting costs, putting pressure on suppliers, shifting production to other countries and increasing prices to offset the cost of tariffs. Last week, Walmart said that it would raise some prices because of tariffs, prompting President Trump to criticize the company. The company reported strong sales growth in the latest quarter and executives said they would work to manage profits to keep prices as steady as possible.

The company told employees Wednesday that it will reshape some of its teams in global technology operations, e-commerce fulfillment managers that support U.S. stores, and Walmart Connect, its advertising business. The changes will lead to the elimination of around 1,500 jobs, according to a person familiar with the matter.

"We have identified opportunities to remove layers and complexity, speed up decision-making, and help associates innovate rapidly," two senior Walmart executives wrote in a memo to staff. In addition to the job cuts, they said they were creating some new roles "aligned with our business priorities and growth strategy."

Walmart has worked to shift its labor spending carefully in recent years, investing in worker wages for its international business and Sam's Club warehouse chain, as well as increasing wages for store and regional managers. At the same time, it has cut some roles and perks for corporate workers, and used automation to reduce labor in its supply chain.

Walmart employs around 1.6 million U.S. workers, most of them in its stores.

"Reshaping our structure allows us to accelerate how we deliver and adapt to the changing environment around us," the executives wrote in the memo.

Write to Sarah Nassauer at Sarah.Nassauer@wsj.com

(END) Dow Jones Newswires

May 21, 2025 17:56 ET (21:56 GMT)

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