Walmart Cuts or Relocates 1,000 Tech Jobs in Restructuring Push

Walmart Inc. is cutting or relocating roughly 1,000 corporate jobs as it integrates its global technology and artificial intelligence product teams, according to people familiar with the matter and reports from The Wall Street Journal on Tuesday. The restructuring, outlined in a May 12 memo from executives Suresh Kumar, head of global technology, and Daniel Danker, who leads global AI acceleration, seeks to eliminate overlapping roles, simplify decision-making and boost efficiency. A source emphasized the changes are not driven by AI automation but by organizational redundancies built up over time. The memo, reviewed by the Journal, described the shifts as part of evolving teams to 'simplify the organization of work, clarify ownership, and align roles more effectively.' Walmart has spent the past year transitioning from siloed structures in Walmart U.S., Sam's Club and international units to a unified platform. Many impacted employees, primarily in tech and product roles, have been offered relocation to the company's Bentonville, Arkansas headquarters or offices in Northern California, per WSJ and CNBC reports citing sources. The layoffs spare Walmart's retail staff, which comprises 92% of its 1.6 million U.S. workers and the bulk of its 2.1 million global employees as of January 31. New U.S. CEO John Furner and a restructured leadership team are driving a technology-centric strategy to lure affluent shoppers, enhance its marketplace and delivery services, Reuters reported Wednesday, citing a source. This follows Danker's appointment earlier this summer from Instacart to spearhead AI efforts. Walmart's tech overhaul comes as it ramps up competition with Amazon, Costco and Aldi through digital improvements. The company confirmed job eliminations in Global Tech to 'speed up decision-making' and 'remove layers and complexity,' per a Wednesday employee email from Kumar and Furner quoted by CBS News. While some roles are being cut, Walmart is also creating new positions as part of the reshuffle. Shares of Walmart rose 2.16% Tuesday amid the news, with quarterly earnings due May 21.