Walmart Cuts 1,000 Corporate Jobs in AI-Led Restructuring Push

Walmart disclosed the job cuts in a memo to employees Tuesday, with Suresh Kumar, the company's chief technology and development officer, and Daniel Danker, executive vice president of AI acceleration, product, and design, announcing the changes. The executives framed the restructuring as an effort to "simplify how the work is organized, make ownership clearer, and better align roles to the work and skills we need going forward." The decision affects corporate workers at Walmart, which employed 2.1 million people globally as of January—roughly 1.6 million in the U.S., of which 92% are hourly staff. Affected employees have been offered options to relocate to Walmart's corporate hubs in Bentonville, Arkansas, or Northern California, according to reporting from The Wall Street Journal. A person familiar with the restructuring told Business Insider the cuts were not driven by AI automation, but rather part of a broader consolidation of duplicate roles. This represents Walmart's second significant white-collar reduction in as many years. The company laid off approximately 1,500 corporate employees in May 2025, citing a need to "remove layers and complexity" from its operations. Earlier this year, a New Jersey state filing revealed Walmart had planned around 100 additional layoffs at its Hoboken corporate offices, suggesting the current reorganization is part of a calculated, long-term strategy to reshape its corporate structure. Walmart's restructuring coincides with the company's efforts to attract wealthier consumers while enhancing its marketplace and delivery services—a direct response to competitive pressure from Amazon. Under CEO John Furner and a restructured leadership team, the company is intensifying its technology-driven approach. Danker, formerly an executive at Instacart, was appointed earlier to the newly created position of global AI acceleration leader, signaling Walmart's commitment to embedding artificial intelligence across its operations. The company's stock rose 2.16% on news of the restructuring, suggesting investor confidence in the efficiency gains. Walmart is scheduled to release its quarterly earnings on May 21, where executives may provide additional context on the reorganization's expected financial impact. Despite cost-cutting measures, the company reported robust sales growth in its most recent quarter, with leadership indicating plans to maintain stable consumer pricing while managing profitability.