Hello, it’s IINO.
I would like to broadcast IINO san’s logistics radio today.
There was a news article in the logistics section of the Wall Street Journal about Walmart hiring 20,000 full-time supply chain operators in North America.
I would like to talk about it today.
Daily Logistics Radio by IINO san in 2nd Sep. 2021
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World’s Largest Retailer, Walmart
First of all, Walmart in the U.S. is the world’s largest retail chain, operating now in 27 countries around the world.
As of the end of January 2021
Total: 11,400 stores
Within North America: 5,339 stores
Very well-stocked and cheap
Walmart really does sell everything.
There are food, alcoholic beverages, health-related products, household goods, toys, electronics, outdoors equipment, car-related products, crafts, and more, which is like a shopping mall run by a single company.
That’s why they are able to stock large quantities and the prices are very low. Even organic foods and products are sold at reasonable prices.
Walmart’s Hiring Strategy in 2021
Why are they hiring 20,000 full-time employees? It’s because the competition for workers will heat up for this year’s holiday season. In particular, Amazon, the largest online retailer in the U.S., needs staff for its warehouse operations and has begun to recruit.
Normally, the company would hire seasonal workers, but this year’s supply chain is expected large disruptions.
Therefore, they need to secure human resources as soon as possible. Generally speaking, trying to acquire human resources suddenly will lead to a big wage increase. This mass hiring will be a consideration of both “operations” and “wage stability” aspects.
Supply Chain Operators at Walmart
The 20,000 people who will be hired include Walmart distribution centers, fulfillment centers, transportation offices, order pickers, freight receivers and forklift operators, who are office and warehouse operations people.
The average hourly wage for Walmart’s supply chain staff is about USD20.27. In addition to it, they will offer a special bonus of USD150 for corona vaccination and a bonus for the holiday season. I thought that was very generous treatment.
E-commerce at Walmart
You may have a strong image Walmart as a store, but since the spread of Corona, the company has been focusing on e-commerce. Last year, the company hired 20,000 seasonal workers for its e-commerce supply chain.
However, the growth started to slow down in the second quarter of this year. It is supposed that consumers returned to shopping in stores rather than online because the vaccination was done faster in the U.S. Nevertheless, e-commerce sales grew by 5.2% year over year, and they will need to keep up with the changes for the way consumers buy.
Summary
It seems that Walmart expects economic recovery in the U.S. to remain strong in the future. The international logistics and supply chain logistics industries may continue to boom in 2022, even if the supply chain is not so much disrupted as this year.
