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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U.S. Manufacturing

In the News: Inside Our Open Call for American Manufacturing

Shrimp, hair gel, sweet potato cake.

Forbes sent a film crew to Walmart’s corporate office in Bentonville, Arkansas, to capture the excitement as suppliers pitched these and hundreds of other products at our annual U.S. Manufacturing Open Call event.

Forbes shared its inside look today. Take a look at what the big day is like for the people behind the products.

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Opportunity

Retired Store Manager Fashions Second Career Out of Dreams and Opportunity

Sometimes it’s not enough to follow your dreams. You also need someone else to see your potential.

My career at Walmart was a dream – so unanticipated! And that set me up to follow yet another dream. After nearly 20 years, I retired Feb. 17 as manager of supercenter #2914 in Massillon, Ohio, to start my own business as a fashion stylist – something I’ve been passionate about for years – and to spend more time with my precious family.

I have long had an interest in fashion, starting back when my mother was a seamstress and would create her own designs as I was growing up. Most of my wardrobe was handmade by her! I always loved how wearing something special made me feel. Working at Walmart, particularly with women, rekindled a passion in me to witness the impact of dressing well. Increased confidence, better communication, direct eye contact – we all know how that feels. Feeling positive about ourselves can be transformational.

My retail career had simple beginnings in 1997, when I was a stay-at-home mom with five small children in a single-income family. That August I was looking to get a little extra money for Christmas and applied for the first clock-in-and-out job of my life. Walmart hired me as a temporary associate despite my having dropped out of college to start a family and having zero experience in retail. I never would have dreamed I’d take a job stocking store shelves overnight and end up managing 500 people.

This company backed me every step of the way, seeing and believing in a potential I didn't recognize. One of my first store managers took a significant interest in challenging and pushing me to see opportunities that existed. It taught me how important the human touch can be.

I remember one young man who was doing a really good job as an hourly supervisor at my store. Not long after we talked about his potential, he put his job in jeopardy by clocking in late on multiple days. Instead of giving up on him, his direct supervisor asked him what was going on. He shared that his car had broken down, and with no other transportation he’d had to walk the four miles to and from the store. After hearing this, I bought him a bicycle to help put him back on the right track. He ended up going into a management program and is doing really well today.

As for me, my story has come full circle. Walmart not only gave me the acumen and process to run my own business, it also gave my husband and me the financial security to start this second phase of our lives. My baby was in kindergarten when I started my career, and now all my children are grown and college-educated. Freedom in my schedule allows me to be a stay-at-home grandma to five grandchildren.

Having been at the Massillon supercenter for the last four years, it was bittersweet to turn over my keys and the responsibility. But, I’m excited to continue being a cheerleader from the outside. The people I hired are going to go even further than I did with the belief they can have limitless careers.

Photos courtesy of Massillon Independent.

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Innovation

How Easy Reorder is Making Shopping Even … Easier

Peanut butter beats jelly. Water beats soda. Tortilla chips beat potato chips. These are just a few of the things revealed to us by our new Easy Reorder feature.

What is Easy Reorder? Instead of telling you, let me try and show you. Imagine this … last week you purchased diapers while at your local store. Then you realized you forgot a few things. So, you logged onto Walmart.com and purchased wipes as well as some cleaning supplies and paper towels.

The next time you open the Walmart app, you may notice something different. The site remembers the Walmart.com items you purchased, but also the diapers you bought in your local store – including the brand and size.

Easy Reorder, which is available now on desktops and our mobile app, makes it … well, easy for you to reorder items that you previously purchased at Walmart. Here’s the cool part: We’re integrating both in-store and online purchases to provide you with a single spot to view (and repurchase) the items that you buy most frequently – items like dog food, cereal, shampoo and diapers.

Let me share a little bit more on why we’re doing this. I’ll use myself as an example. I have 151 different items on my Easy Reorder list. I challenge you to go online and try and find 100 individual products to build a list. You’ll find it takes a really long time. Now, you can simply go into a Walmart store, buy the things you need and then, when you come home, everything will be neatly organized on Walmart.com. For me, that means that I get to save a ton of time when I need to repurchase the items I’m looking for. Trust me, with two kids at home, I have to replenish the snack cupboard a lot. Easy Reorder is a game changer.

I’m not the only one who loves this feature. Our customers love it as well, and we’re seeing it in our results – Easy Reorder contributed to the growth we saw in the first quarter.

For fun, I thought I’d share some of the top items on customers’ reorder lists:

Easy Reorder is part of our team’s laser focus on helping customers save both money and time by leveraging our more than 4,700 stores and Walmart.com.

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Community

Why This Associate Wants You to Start With #HelloMyNameIs

“Hello, my name is….” It’s a phrase made up of only four words.

It takes very little time to say – it’s an easy way to begin a conversation. Yet, when people say these words, they can have such a big impact.

My late wife, Kate, started the #HelloMyNameIs campaign in 2013 while living with terminal cancer. As a medic herself, she had become frustrated with nurses and doctors who never introduced themselves to her before providing medical care.

Kate had already been speaking to hospitals and conferences about her experience as both a medical provider and a patient, but through the campaign she hoped to share some key values that resonate beyond people working in healthcare: communication, small acts of kindness, putting the patient at the center of every decision and seeing each person as an individual.

Kate was one of the most determined, resilient people I have ever known. I firmly believe that through adversity, comes legacy. July 23 is International “Hello My Name Is” Day – both the anniversary of Kate’s passing and what would have been our 12th wedding anniversary. We invite everyone – from people to corporations – to join us in celebrating Kate’s legacy by introducing yourself and using #HelloMyNameIs.

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