Walmart to Lose 269 Stores, 154 in US; 10000 Employees Impacted

The world’s largest retailer is closing 269 stores, including 154 in the US that includes all of its locations under its smallest-format concept store called Wal-Mart Express. Wal-Mart also said it would open 50 to 60 new Supercenters, 85 to 95 new Neighborhood Markets and seven to 10 new Sam’s Clubs across the U.S.in fiscal 2017.

Wal-Mart announced it will instead focus on strengthening Supercenters, optimizing Neighborhood Markets, growing the e-commerce business and expanding pickup services for customers.

The retailer also said in a statement Friday that opening two new stores in Washington “is not viable at this time”.

Most of the stores to be closed in the United States were Wal-Mart Express stores, which the company built as part of a pilot project in urban centers starting in 2011.

The move was made after Walmart CEO Douglas McMillon reviewed the company’s 11,600 stores worldwide, analyzing their financial performance and how they fit within the company’s broader plans. Last week, in the press release, Macy’s stated that it has made a decision to close 40 of its stores, out of the current total of 770.

Three of the Walmart stores in the Sarasota area are Neighborhood Markets, and a fourth is slated to open January 27 at 1100 S. Main St.in North Port. The other stores are supercenters.

A Wal-Mart spokeswoman said that the closures would impact approximately 650 jobs at the San Jose and Oakland stores.

Overall, the store closures in the U.S., Brazil and other countries (no closures in Canada) represent but 1 percent of Wal-Mart’s global revenue and square footage. More than 16,000 employees will get impacted, tens of thousands of which work in American stores, Fox News noted.

Over 95% of the stores that will be closed in the United States are 10 miles or less from another existing Walmart store and the company has pledged to ensure workers are placed in locations close to their current store or where they live.

Davis was quick to add the move won’t affect his store and the Crescent City Walmart will continue to operate as usual. Associates who are cut will receive 60 days of pay, severance if eligible, and help with resumes and interviewing skills.

Wal-Mart is just the latest chain to announce store closures after the retail industry struggled through the holiday season.