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Wal-Mart's Sam's Club Farms Out 10,000 Jobs

Wall Street Journal - Jan 25, 2010

Sam's Club, engaged in a tough struggle to stand apart from competitors, is cutting about 11,000 jobs and is turning to an independent marketing firm to handle in-store product demonstrations at its warehouses nationwide.

About 10,000 of those jobs, or 9% of the Sam's Club work force, will come from outsourcing product demos at the company, a division of Wal-Mart Stores Inc. Most of those jobs are part-time, the company said Sunday.

Brian Cornell, president and chief executive of Sam's Club, said the move was aimed at boosting sales and customer loyalty, not cutting costs. "Operationally, we see this as a net neutral," he said. Mr. Cornell added that he expects many of his laid-off workers to be hired by the marketing firm, Shopper Events LLC of Rogers, Ark.

Read Full Article from Wall Street Journal

- Posted: 2010-01-25 11:19:39


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