Layoffs Begin At Wal-Mart (700)

[Pale Blue Dot]

Source: Arkansas Morning News

Wal-Mart Stores, Inc., began laying off 700 employees at Wal-Mart and Sam's Club home offices this morning.

Ed Clifford, president of the Bentonville/Bella Vista Chamber of Commerce, said he began hearing of the layoffs about 9:30 a.m. today. He said the effect of the action will be widespread across Northwest Arkansas.

A person who lost her job today as a recruiting coordinator for Wal-Mart told The Morning News that she was called into a meeting at 8:30 a.m. with a group of other people from her department and was told that they were among 700 people being laid off.

Those being laid off were given packets with information about severance arrangements and escorted from the building, she said. They will be allowed to come back after hours to retrieve personal belongings and clean out their desks, she added.

"You could tell who was leaving because we all had our folders with us," she said. "It was very quiet."

Read more: http://www.nwaonline.net/articles/2009/02/10/news/021109azwalmartlayoffs.txt

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But all our problems have been solved becasue the stimulus bill passed.

[CoffeeCat]

1. This is bullshit!

In early Jan, the media was all abuzz because Walmart was the only major retailer that
announced earnings increases in Q4. Everyone else lost their shirt...and their pants.

Walmart's earnings were up 16 percent from Q4 07. So, what the hell? Why are they laying off people?

My husband keeps saying that many companies are just trimming their workforce to cut costs, and using the
poor economy as an excuse.

If Walmart's earnings increased in their latest quarter, then why are THEY laying off?

[Tashca]

8. This isn't about current conditions

I believe this is a more about what they believe is coming.

If you listen to our President....he has been telling us that this is going to be painful and long. I think they are reacting to the future. If it turns around they will hire back. Their business model is based on continuous growth.....it's not going to happen....for awhile anyway.

[snappyturtle]

24. I could go along with what you stated if the U.S. hadn't given up so

many jobs to WM's suppliers' outsourcing. I predict, if you're right, that when the economic future becomes better, WM will keep their employees numbers static (in present stores)having learned that they survived with less workforce and can further maximize their profits...and oh, goody, they'll be better positioned to grow some more! Can you tell, I'm not a Wal-Mart fan because, as far as I am cocerned, they should have been an early indicator of our now awful economic status....or at the very least one of the reasons for our present condition: low wages.

[Donnachaidh]

22. Walmart is setting themselves up to beg for Stimulus money

They'll continue layoffs so they can get their hands on stimulus cash. Watch the next few months.

[TBF]

33. Funny how it's called "stimulus" or "bail-out" when rich folk are requesting it.

"Looting" is the word they use in non-upscale neighborhoods.

[TwixVoy]

23. I work for one of the major retailers

This is about what is coming down the pipe. We are getting constant communication from corporate that they expect third and fourth quarter to be devastating to sales, and WORSE next year.

[4_TN_TITANS]

35. I'm with your husband.

This is the perfect economic climate for American companies to shed U.S. workers and outsource.

[snappyturtle]

2. ..and the people left will have to work harder for their meager wages.

Guess they had to prevent a ripple of discontent by only allowing personal belongings to be picked up after hours. What's with THAT?

[FarCenter]

12. You don't want to let fired people have access to their workstations

Particularly if they were firing Human Resources people, as seems to have been the case.

Pretty standard IT security practice. You revoke all their passwords and security tokens and escort them while they remove personal effects.

[snappyturtle]

14. THAT I understand but that's not what they're doing. Waiting until

after hours is for a reason and as you have just explained it could have been done 'on the clock' during business hours.

[FarCenter]

15. You need the time to revoke passwords, and you don't want to disrupt operations

Depending on the degree of automation, you may need time to make sure that all systems are secured from the fired employees.

Plus, you don't want the fired employees disturbing the rest of the workforce, even if it is to say tearful goodbyes.

[snappyturtle]

18. Yes, finally you said it......it's the tearful goodbyes! Look, those fired could

have been individually escorted to their cubicle, whatever, to get their belongings period but Wal-Mart in it's infinite wisdom doesn't want to disrupt the worker bees...Oh, OK. Don't you think the 'rest of the workforce', as you put it, will realize those fired didn't come back? That will get the hive buzzing. There's lots about Wal-Mart I don't like; I'll just add their firing practices to my list.

[cap]

19. what about closure for the existing employees

pretending like nothing happened is going to be psychologically damaging in the long run

[dustbunnie]

25. WalMart is behind the times.

I've been through several waves of layoffs over 7 years, 5 of them as a "survivor" and the last one not.

In earlier times, the strategy was to escort people out and only allow them to return much later to retrieve personal belongings. I guess the wisdom was dictated by what you wrote, and perhaps fears that someone would go hysterical and cause harm to property or people.

In recent years progressive companies have changed their policies. The hour or so wasted on tearful good-byes seem to comfort those remaining, and makes the corp appear more "human" and caring. The time gets made up later. There is also something repulsive about throwing loyal employees out onto the street without their personal belongings, like human waste... it makes the remaining people distrustful, uneasy, and less likely to remain loyal. It encourages people to take advantage where they can - extending breaks etc... I'm not making this up. It's been explained to me by HR people as the latest in lay off psychology.

[FarCenter]

27. Well... yes... but we're talking WalMart here.

"human" and caring?

[dustbunnie]

29. Ha, notice I used the word "appear."

None of them are, but at least they sort of dress it up a little. WalMart corp is as cheap and crap as the stuff they sell.

[spookybutt]

3. I take it you're not a fan of the stimulus bill? What do you suggest?

I saw the movie "IOUSA," which dealt with the national debt and printing money w/o back up...but I just don't know what the alternative is. I wouldn't mind socialism.

[Pale Blue Dot]

4. There is no easy alternative except to face reality. nt

[Tikki]

6. Welcome to DU...spookybutt..

:hi:

We are truly living in interesting times. I have to agree with you.
Some aspects of Socialism are appropriate at this time.


Tikki

[spookybutt]

7. Hi...Funny, I heard someone say that exact thing ("interesting times")

From the domino effect job losses, I don't know if I am really enjoying this fascinating period! It's very harrowing, but it does enliven the spirit somehow.

[Spider Jerusalem]

5. You can't expect the stimulus bill to be a magic bullet.

Things don't go from 'fucked' to 'great' all at once. Do you happen to have any idea of what unemployment was, during the Great Depression? It was 27% in 1933, and in 1938 it was still as high as 19%. Economies don't recover THAT quickly, not when there are deep systemic problems and a massive loss of consumer confidence and highly curtailed consumer spending and credit availability. It'll be a few years yet, probably, before things noticeably improve; it hasn't really BEGUN to get bad yet.

[Pale Blue Dot]

9. Oh, I think it's a bullet all right.

Just not in the way you mean. And yes, I am VERY familiar with life during the Great Depression. You might say it's a hobby.

[Dr.Phool]

13. More like a bullet in the back of the head.

On a brighter note, Thrift stores are hiring.

[HillbillyBob]

10. typical of the slave plantation mentals..you are fired as of now get out

don't collect your belongings we'll put them in a box. While they are at it they will confiscate anything interesting.
Been there before, had my own personal electricians tools taken more than once.
I got to where I packed my tools into my trunk everyday or had them on my person.
Same old shit, The right to fire you on a moments notice.
The walton family are the greedyest shittyest people I have ever known..my ex mother in law was a neice of Sam Walton, He was actually pretty nice..the rest of them should go back to Hell where they came from.
Then again I had the dishonor to meet Leona Helmseley. mm toss up she was a bitch those people are a bitch and they're crazy selfish too.

[FarCenter]

11. Almost any headquarters operation can be cut by 10% without losing productivity

The person interviewed was a "recruiting coordinator".

If you are not opening new stores, doing major expansions, going into new geographic areas, etc., there is probably a lot less need for "recruiting coordinators". And for HR droids in general.

Store managers can probably recuite all the employees they need without help from Bentonville.

Most organizations can be improved by eliminating the bottom 10% of performers, and then slowly recruiting back better employees. CEOs of companies that are doing well are taking the opportunity to thin out the ranks.

[Earth Bound Misfit]

34. Bingo.

"CEOs of companies that are doing well are taking the opportunity to thin out the ranks."

From their website

Wal-Mart Reports Strong January Sales Performance

Walmart U.S.
“We are pleased that we exceeded our expectations for comp store sales in January,” said Eduardo Castro-Wright, vice chairman, Wal-Mart Stores, Inc. “Our sales results were driven by a continuation of gains in customer traffic. Clearly, our stores are performing very well, as we continue to emphasize customer service and innovative merchandising.”
Comparable store sales were strong in grocery and health and wellness. Walmart U.S. met or exceeded expectations in home, entertainment and hardlines and continued to outperform the market in these merchandise units.
“Every day, our stores deliver our promise to customers that they can save money and live better by shopping at Walmart,” Castro-Wright said. “Our 52-week comp growth is three times higher this year than it was last year. Our January results contributed to a strong performance for the fourth quarter and the year.”

“We expect U.S. comparable sales without fuel during the period from January 31 through May 1 to increase between one and three percent,” Schoewe said. “The shift of Easter from March to April this year will affect comparable store sales results for the March and April periods.
“Because our value proposition is so relevant to our customers and members, we believe our underlying business around the world will remain very healthy,” Schoewe added.

[d_r]

16. It isn't just walmart

Look. Companies are taking advantage of the economic situation to cut employees and cut costs. They have the excuse and they are using it.

[LostinVA]

17. Exactly!

[underpants]

20. Well they can always work at ....uh.....

[Pale Blue Dot]

21. I really wish that wasn't so funny.... nt

[Sultana]

26. Does Kmart have a superstore chain like Walcrap?

Because many stuff are so much cheaper in Kmart than in Walcrap.

Walcrap is huge and the layoff will be huge too :-(

[cabluedem]

32. Thats true. Walmart is not always cheaper. Replacing junk with more junk is costly.

[southern_dem]

28. It should be illegal for a profitable company to do mass layoffs

Especially in the current economic climate.

[high density]

30. 60 days + severence isn't bad

I'm sure these people would rather have a job, but that's slightly better than being kicked to the curb with nothing. I agree that it is ridiculous to hear of people not even being able to clear out their stuff.

Sales up 2.1% and they're still cutting jobs... It makes me wonder what it will take to get these companies hiring again. We've got a -3.5 million jobs to recover from, not to mention 8 years of Bush's job "growth" that didn't even keep up with population growth. These are scary numbers to think about and aren't going to be saved by even $2 trillion in spending.

[Omaha Steve]

31. Wal-Mart Laying off Hundreds of Employees

Source: KARK 4 News

Reported by: KARK 4 News

Wal-Mart is laying off employees from it's home office in Bentonville.

According to Ed Clifford with the Bentonville Chamber of Commerce, Wal-Mart began laying off several hundred employees early this morning.

Workers affected by these layoffs say they were given packets with information about what to do next including severance options.

We've made several calls to Wal-Mart headquarters and are waiting for a response.


Read more: http://arkansasmatters.com/content/news/fulltext?cid=189802