The Money Man Behind Rick Santorum: Who Is Foster S. Friess?
Savings Experiment: Snow Removal
Wal-Mart Stores, Inc. (NYSE: WMT) looks to be cutting positions in China according to this source. Based on what Huang Jianling -- PR manager for Wal-Mart China -- says, the cuts are needed to reduce the level of redundancy from Wal-Mart's various Chinese operations, and will include purchasing positions up to senior management staff.Although these "cost redundancies" were not detailed out by Jianling, the cost estimated to cut these various positions was estimated at right over $120,000. In other words, a pinch in the bucket compared to the relatively low salaries many Wal-Mart China employees receive.
Purchasing departments look to be centralized as locations in Singapore, Sri Lanka, and Turkey will be closed. Wal-Mart's adjustments in these areas are due to a realignment of its global purchasing strategy, according to the company. That's admirable, but all things considered, it should have never reached this state. The splintering of so many purchasing departments across what could be seen as redundant coverage areas was most likely the result of not managing global growth appropriately on Wal-Mart's part.
But then again, the new "Employment Contract Law" that will take effect in China next year may be making Wal-Mart officials skittish when it comes to employee headcount in the region. The retailer has battled the formation of unions everywhere in the world, so the position reduction agenda here may fall in that territory.
Goldman Earnings Sink After Buffett Dividend
Johnson & Johnson's Income Falls 23%
Burberry Shares Leap on Sales Update
Reader Comments (Page 1 of 1)
11-06-2007 @ 9:50PM
Rob said...
Wow...even China is fed up with WalMarts employee and vendor abuse
11-06-2007 @ 9:51PM
CONNIE CHAFIN said...
WALMART HERE IN AMERICA NAME HAS BEEN CHANGE TO CHINAMART, WALMART SELLS PLAIN OLD JUNK, BE CAREFUL OF THE FOOD YOU BUT AT CHINAMART IT COMES FROM ALL OVER THE PLACE, WALMART USED TO BE A GOOD STORE TILL OLD MAN WALTON PASSED AWAY, THE MANAGERS WE HAVE NOW DONT EVEN TALK TO THEIR CUSTOMERS. THEY HAVE ALL THESE CASH REGESTERS AND PEOPLE HAS TO STAND IN LONG LINES MOST TIMES THERE WILL ONLY BE 3 REGESTERS OPEN. THE PHARMCY AT THE WALMART HERE IN MARIETTA OHIO THEY ARE VERRY NICE ILL KEEP GETTING MY MEDCINE THERE. THEIR BATH ROOMS ARE SO DIRTY.
11-07-2007 @ 6:47AM
EMIL JOSEPH said...
Walmart's success depends upon super cheap labor from overseas, and not buying any Made in USA products. The reason is greed. They care more about the bottom line and extinquishing American competitors than anything else. Last year they only made 92 billion dollars instead of 108 billion they budgeted for... wow so do you feel sorry for them? That is what they want from you is to feel badly and buy more import crap from them. They are a large reason so many people have lost their jobs here, and will continue to lose jobs until there are no jobs left at all. Then Walmart can have a big box store in every town across the country.... they may as well call it "China Mart". Gee, I wonder how all this happened since Sam Walton passed away in the early 90's? I'm sure he is rolling over in his grave watching his son give away our country.
11-07-2007 @ 7:45AM
Frank Tizzano said...
The American People are struggling with high cost of gasoline, homeoweners insurance, property taxes, high cost of drugs, medical insurance, college tution , etc. Americans are looking to get the most for their dollar. Why have the manufacturers moved their operation to foreign countries.Because of the cheap labor. If they produce their product in American the average citizen cannot afford to buy it. We have a tendency to blame Wal-Mart because it is the biggest. How many other companies, Macy, Target, and others are also buying overseas because of the cheap labor. Maybe if we had a government that would stop fighting over power and work on solving problems such as energy independence, lower health care coverage, lowering taxes smaller government etc so American can have more of their hard earned money they could buy things made in America. The manufacturers would produce here. Createring more jobs for Americans.