Opportunity

In Letter to Associates, Walmart CEO Doug McMillon Announces Higher Pay

Editor’s Note: Earlier today, Walmart CEO Doug McMillon sent this letter and video to our U.S. associates, outlining a new approach to the jobs we offer.

As many of you know, I’m really proud to have been a Walmart associate for a long time. This company has given so many of us opportunities beyond our wildest dreams. We joined Walmart because we wanted a job but found much more than that. This company is a really special place. One of the reasons we’ve had some success is that we’ve known that every person, every voice, every idea has potential. You’ve heard us say things like our secret to success is that we’re all working together and that “our people make the difference.” While that phrase started as a meeting theme in 1979, it became a way of thinking. It’s what we believe. It’s what I believe. Our actions must match our beliefs. So today, we’re announcing a series of important changes that demonstrate our commitment to you, our associates.

After all, we’re all associates. We have different roles at different times in our career and every one of them is important. Today’s cashiers will be tomorrow’s store or club managers. Today’s managers are tomorrow’s vice presidents. Tomorrow’s CEO will almost definitely come from inside our company. During our recent Walmart U.S. year beginning meeting, I asked all of those in the arena, more than 7,000 people, to stand if they started their Walmart career in an hourly role. It felt like almost everyone stood up. It was an emotional moment. It made the word opportunity real.  In fact, our statistics show that about 75% of our U.S. management teams began in an hourly role.

So, how do we make sure that each one of you has the same opportunity, or better, as those that came before?

It starts by making sure we’re setting you up for success. We need great store managers and assistant managers who know what they’re doing, care about you and know how to teach effectively. We need stores with the right tools and environment for you to thrive. I think you feel the same way.  When I’m out in stores today, one thing I hear from associates at all levels is that you want to be freed up and empowered to serve your customers better.  You also want to know that there’s opportunity here and that your hard work will be recognized and rewarded. Our business is pretty simple when we boil it all down; sometimes we make it too complicated.

I’ve seen us change a lot over the years. We’re always trying to do the right thing and build a stronger business. We frequently get it right but sometimes we don’t. When we don’t, we adjust.  In recent years we’ve had tough economic environments, a rapidly growing company, and fundamental shifts in how customers are shopping.  We also made a few changes aimed at productivity and efficiency that undermined the feeling of ownership some of you have for your business.  When we take a step back, it’s clear to me that one of our highest priorities must be to invest more in our people this year.

Today, we’re announcing a package of changes in Walmart U.S. that will kick off a new approach to our jobs.  We’re pursuing comprehensive changes to our hiring, training, compensation, and scheduling programs, as well as to our store structure, and these changes will be sustainable over the long term.  

One of the most immediate changes is that we’ll raise our starting pay, and we’ll provide opportunities for further raises based on performance.  For our current associates, we’ll start by raising our entry wage to at least $9 an hour in April, and, by February of next year, all current associates will earn at least $10 an hour.  I’m also excited about an innovative program we’re launching for future associates that will allow you to join Walmart at $9 an hour or more next year, receive skills-based training for six months, and then be guaranteed at least $10 an hour upon successful completion of that program.  We’re also strengthening our department manager roles and will raise the starting wage for some of these positions to at least $13 an hour this summer and at least $15 an hour early next year.  There will be no better place in retail to learn, grow, and build a career than Walmart.

Sam’s Club is also making some important changes today, specifically to starting wages. Around the world, we operate with the same set of beliefs, and we’ll continue to share what we learn across countries. Every associate matters.  

As important as a starting wage is, what’s even more important is opportunity, and we’ll continue to provide that ladder that any of you can climb.

I’ve seen it.  I’ve lived it.  And I want nothing more than for every Walmart associate today to feel that same connection to the company that I feel and to have the same opportunities I’ve had.  Let’s work together to serve our customers, grow our company, and take care of one another. 

Thanks for all you do.  You really do make the difference.


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Innovation

Why Pickup is a Time-Saving Treat This Halloween

As a dad of three, I love planning for Halloween. My family and I start in September thinking about the perfect costumes for a fun season of parties and trick-or-treating. This year, my 3-year-old, 5-year-old and 7-year-old are obsessed with Star Wars, and we will be trick-or-treating as their favorite characters. My 3-year-old is particularly excited to be Darth Vader (or as he says, "Darth Tater" – how cute is that?).

If you’re a parent, you know that finding the perfect costume isn’t always easy, especially if your children – like most kids – like to change their minds a few times along the way. (Of course, that never happens in our family. Right, kids?) And once your costumes are set, the last thing you want is to find the store doesn’t carry the right size.

This year, Walmart is sparing customers from that hassle through a simple solution: making the majority of our in-store costumes available through same-day Pickup. Think of it like a reservation system. Simply purchase the item online and then pick it up in the store the very same day. As long as your child’s friend doesn’t snag the last one of your favorites, there are no unpleasant surprises, and no scouring the aisles for that perfect wig or mask. (One heads up: We expect superheroes to be one of the most sought-after costumes this year.)

We know that the way customers shop has changed – they expect a connected experience and depend on us to deliver it. With thousands of physical locations, plus online shopping and convenient services like Pickup, Walmart is uniquely positioned to serve customers anytime, anywhere for all their Halloween needs however they wish to shop.

For the past few years, I have been on the team that has been working to develop our Pickup program, so I'm especially excited about this. I recently took my family to our local store to test it out. We bypassed the aisles, went straight to the Pickup counter and, within minutes, my kids had their costume selections in hand.

Whether your family chooses to dress up as Star Wars characters or superheroes this Halloween, I hope you save time shopping so you can enjoy the fun stuff: parties, costume contests and trick-or-treating. Happy Halloween, everyone!

Editor's Note: Walmart has this Halloween's popular costumes and candy exclusives. For more information on this year's top items, click here.

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Opportunity

This Mall in Indiana is Helping Retail Workers Succeed

No matter the job, real-world experience is the most valuable foundation for starting a career or advancing an existing one.

Training is a close second. But sometimes it’s unclear how both of these can move you forward, especially in the retail industry.

In Northwest Indiana, a new retail training lab is working to provide the answers.

Positioned in a local retail hub -- the Southlake Mall in Merrillville, Indiana – the retail training lab is a place where retail job seekers can take classes that cover the interpersonal and technical skills that are necessary to create an overall outstanding customer experience. Not only can workers gain this new knowledge, but they can also earn an official credential: Graduates can receive certifications in customer service and sales, loss prevention, retail management, and/or inventory management, all of which are recognized by the National Retail Federation and the Retail Loss Prevention Foundation.

While it may seem unusual to establish a training center in the middle of a shopping environment – for these students, it just made sense. Not only do participants have close access to technical instruction, but they can step out of the retail training lab and experience customer service and retail management in action, just by walking into one of the many stores in the mall.

A few weeks ago, the first round of graduates completed the NRF customer service and sales certification. I was taken aback by how passionate they were about everything they had learned, and as a previous store owner for 23 years, I knew that they were equipped with everything they would need to be successful in either starting or advancing in their careers. Not only were they armed with certified skills, but they were coming away with a renewed sense of confidence.

This lab, an initiative of the Northwest Indiana Workforce Board, was made possible through a grant from the Walmart Foundation to the Chicago Cook Workforce Partnership, which has enabled us to offer classes at no cost. That strengthens employment opportunities for everyone who walks out of our doors. We’re excited to provide such one-of-a-kind service for jobseekers and employers in retail.

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Life

#FiveThingsFriday: Jet.com, a Special Surprise and Appreciating Associates

ICYMI this week: Walmart acquired Jet.com and expanded the way we serve our customers, Miss America Savvy Shields returned to her home state of Arkansas to support Children’s Miracle Network Hospitals, and we’ve got Halloween decorations to make your house the spookiest on the block.

Walmart Acquires Jet.com

At the beginning of the week, we were excited to officially welcome a new company to the Walmart family. But why Jet.com? Our CEO Doug McMillon said it best: “Walmart and Jet.com obsess about saving customers time and money. By joining forces, we’ll be better at doing both, creating seamless shopping from app to site to store.”

A Special Request Inspires Custom Delivery

For the past three months, Danny Nolin’s Ocean Pacific striped T-shirt is the only one he’s wanted to wear. After being washed and worn dozens of times, the shirt finally ripped, and his family searched high and low for a replacement, only to find that it was no longer available in stores. After one of his relatives reached out to Walmart on social media, we were able to team with our supplier, dig through the archives and make 10 new shirts just for Danny.

Way to Go! Associates Earn Cash Bonuses

Our people work hard to serve our customers. So much so that 99% (!) of our stores met goals for cleanliness, faster checkout and better service in the second quarter. We were excited to recognize our associates’ hard work by recently paying out more than $200 million in quarterly bonuses to about 932,000 hourly associates.

Miss America Savvy Shields Visits Walmart

The newly crowned Miss America, Savvy Shields, made an appearance in Bentonville, Arkansas, this week to support a cause near and dear to her heart, bringing awareness to Children’s Miracle Network Hospitals. She toured a Walmart store and interacted with associates and customers all to raise awareness for the cause.

Have No Fear: Cool Halloween Décor is Here (All Under $18!)

You can always count on Walmart for some scary good deals. Check out some of the items we have this Halloween season to make your house one of the scariest on the block!

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Business

Five Big Reasons Walmart Bought Jet.com

Just a few moments ago, the ink dried on a deal that officially makes Jet.com a part of the Walmart family.

The close of this deal marks a big day for both companies. A lot of folks ask me, “Why Jet.com?” The answer is simple: Walmart and Jet.com obsess about saving customers time and money. By joining forces, we’ll be better at doing both, creating seamless shopping from app to site to store. Here are a few more reasons why we’re excited about this deal:

1) Jet.com brings more ways to serve our customers and reach new customers online. Jet.com created a unique, transparent way for customers to shop, helping them make choices that lower their prices as they shop — from building smarter baskets to opting out of free returns and using debit cards. This has helped Jet.com win fans among savvy shoppers and will help us put the power to save in more shoppers’ hands. Look for that on Walmart.com.

2) The deal will build on our e-commerce foundation and accelerate growth. We’ve grown Walmart.com to the second largest online retailer by traffic in the U.S. and in just the past six months we’ve expanded from 7 million items to more than 15 million on the site. We’re adding about a million more each month. We’ve built an impressive fulfillment network that uses mega-sized fulfillment centers and our stores to get orders to customers faster. Within a year, we’ve created one of the largest online grocery businesses in the country.

3) Jet.com’s and Walmart.com’s customer bases are complementary. Jet.com is a hit among urban millennials, and it will continue to focus on delivering premium brands and experiences. Walmart.com is winning value-conscious shoppers with everyday low prices by keeping costs low. And that’s enhanced by a wide assortment and convenient store pickup options. Together, both Jet.com and Walmart.com will be able to leverage each other’s assets to grow the ways we serve customers.

4) Jet.com boasts incredible talent. Marc is both a visionary e-commerce leader and a merchant. He brings with him a smart and talented team that, when combined with ours, will be the best in retail.

5) Together, Jet.com and Walmart can win the future of retail. We’re in the business of “saving people money so that they can live better.” But the value of our customers’ time cannot be overstated. To win the future of retail, we must save customers both money and time. By combining with Jet.com’s technology, shopping experience, customers and talent, we will do exactly that. We will exceed their expectations!

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