Wal-Mart Cuts More Than 10,000 Jobs
24 January 2010
, (The Street)http://www.thestreet.com/story/10666054/1/wal-mart-cuts-more-than-10000-jobs.html?cm_ven=GOOGLEFI
Wal-Mart Stores(WMT Quote) said Sunday that its Sam's Club warehouse stores would eliminate about 11,200 jobs.
The majority of the cuts -- affecting about 10,000 jobs, most of them part-time -- are related to a decision to outsource in-store product demonstrations at Sam's Club to Shopper Events, a third-party marketing company.
In a letter to employees posted on Wal-Mart's site, Sam's Club CEO Brian Cornell said Shopper Events would rapidly hire new employees to serve the Sam's Club account and that it expected to hire about the same number of people. He added that laid-off Sam's Club employees would be able to apply for work with Shopper Events.
However, The Wall Street Journal, citing a person familiar with the matter, reported that only about 25% of the laid-off workers would get rehired.
Cornell also said Sam's Club was eliminating the New Business Membership Representative position, affecting about two employees at each store. There are about 600 Sam's Club stores, so about 1,200 positions will be eliminated. These workers will be able to apply for other open positions at Sam's Club.
The news comes less than two weeks after Sam's Club said it would close 10 poorly performing stores in the U.S.
Wal-Mart Cuts More Than 10,000 Jobs 24 January 2010 (The Street) http://tinyurl.com/yb2em78