WAL-MART'S Performance Pressure Major Shop Layoffs Desperation

This year, WAL-MART, the world's largest retailer, has been making big moves. First in January 15th this year, it announced that it would close 269 stores worldwide, including 154 stores in the United States and 115 overseas markets.

Another heavy news in the near future is WAL-MART announces that it plans to lay off 7000 people inside the back-office jobs.

It is understood that the main direction of the layoffs is the accounting departments and auditors of all branches, and the layoffs will also be part of the Wal-Mart Store Inc's earlier plan to abolish the staff of the west coast area of the United States.

While shrinking the European and American markets, WAL-MART is increasing the layout of the Chinese market and trying to gain better returns in the Chinese market.

According to the previous WAL-MART side in an interview with reporters,

It is a market full of opportunities for development. We have full confidence in China's economy and market.

WAL-MART plans to set up about 115 stores in China from 2015 to 2017, including hypermarkets and Sam stores. It is expected to create more than 30 thousand jobs.

Another heavy news in the near future is WAL-MART announces that it plans to lay off 7000 people inside the back-office jobs.

It is understood that the main direction of the layoffs is the accounting departments and auditors of all branches, and the layoffs will also be part of the Wal-Mart Store Inc's earlier plan to abolish the staff of the west coast area of the United States.

In this regard, there are retail industry insiders said that whether the previous global shop plan or the layoff plan, WAL-MART's original intention is nothing but to reduce costs and improve performance. In the slow growth of the global physical retail market and the impact of the electricity supplier represented by Amazon, WAL-MART has also begun to make a difficult pition. First, the "WAL-MART" store in the United States is "operating".

As to whether the subsequent layoffs will be involved in the Chinese region, the head of McDonald's China has confirmed in an interview with reporters that the background post optimization does not involve the Chinese market.

It is understood that WAL-MART, the world's largest retailer, has announced that it will cut back on us back office jobs.

Some of the employees will be given internal pfer jobs, engage in more work with customers, and promote sales and maintenance of storefront.

WAL-MART spokesman Deisha Barnett subsequently confirmed the layoffs, and revealed that WAL-MART will lay off 7000 employees in the coming months, mainly in the backstage departments of the company, such as accounting and development receipts.

WAL-MART said that some logistical and technical support departments were too crowded, and the company's future layoffs would cover 4600 WAL-MART branches throughout the United States, which would last for several months.

According to the latest news of Dow Jones, most of the 7000 employees are long-term employees and are often the highest paid employees in the stores.

The position directors of these employees are responsible for the daily cash flow of a particular store, or the manufacturers' bills for direct delivery to stores.

From the beginning of next year, most of these jobs will be handled by a central office or a new counting machine.

The centralized processing of data or the use of money counter to replace labor, reflecting the efforts made by WAL-MART to reduce costs, said that the retail industry said that more and more consumers began to shift to the pfer of electronic retailers such as Amazon, forcing traditional retailers to take measures to reduce costs.

In addition to performance pressure,

Another reason for the layoff is that WAL-MART management believes that centralization or automation of such work can improve efficiency.

It is understood that each branch of WAL-MART has its own bookkeeping department and accounting department, but the head office believes that the work of these offices can be integrated into the regional head office.

It is worth noting that the Wal-Mart Store Inc said in June this year that it would gradually reduce its staff to various branches.

The spokesman, Deisha Barnett, said the company wanted to invest more human capital in sales.

WAL-MART also said that some employees affected by the layoffs could also be pferred to the front desk service department.

For WAL-MART's massive layoffs, whether it involves the Chinese market, WAL-MART responsible person in an interview with reporters said that the background post optimization does not involve the Chinese market.

"WAL-MART will continue its development in China. In 2016, it will add 30 new stores and 60 existing stores in China."

While continuing to increase the Chinese market, the Chinese market has continued to contribute to WAL-MART's revenue growth. From the latest earnings report released by WAL-MART, WAL-MART's total revenue was 120 billion 854 million US dollars in the two quarter of fiscal year 2017, representing an increase of 0.5% 0.5% over the same period last year, and the fixed exchange rate income was 123 billion 593 million US dollars, an increase of 2.8%.

The group's operating profit period was $6 billion 165 million, an increase of 1.6% compared with the same period last year, an increase of 4.2% at the fixed exchange rate, from 6 billion 69 million US dollars in the same period last year to 6 billion 322 million US dollars.

Specifically, as WAL-MART continues to accelerate the layout of the country's stores, the total sales volume of WAL-MART in China in the second quarter has increased by more than 2.3%, an increase of 5% over the average passenger price.

Nelson data showed that as of June 2016, WAL-MART China's fast consumer goods had achieved a year-on-year increase in market share for 14 consecutive quarters.

However, judging from the global market,

The performance was unsatisfactory, especially in the beginning of January 31, 2016, when WAL-MART recorded its worst performance record. In the 2015 fiscal year ended January 31, 2016, WAL-MART's annual revenue declined by 0.7% to $482 billion 100 million.

Net profit fell 7.2% to 14 billion 700 million U.S. dollars over the same period.

WAL-MART's fourth quarter revenue fell 1.4% to $129 billion 700 million in the last fiscal year, and net profit fell 7.9% to $4 billion 570 million.

According to S&P Capital IQ data data analysis firms, this is the first annual sales decline since 1980.