Thread regarding Sam's Club layoffs

The company is circling the drain

The company is circling the drain. People who have left the company in the home office will tell you of the “5 year Bust” plan. They are going to cut inventory, expenses, and payroll to the bare bone. If sales don’t increase the company will close the Sam’s portion by 2023.

Every role has either been eliminated or changed now in the past 3 years outside of a very small few. Marketing didn’t change because it’s gone by Q3.

The automated scrubbers will be in clubs by 2020 reducing some maintenance payroll. Cafe kiosks coming. Photo. Jewelry. Gone.

Look for most if not all bakery items to go pre baked. Meat pre cut. HMS pre packaged or 3rd party like Sushi.

This big change s---s but plan accordingly and don’t be caught off guard when the company sells or folds in 5 years.

Reposted from @YVc3CVu-1lxo

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Post ID: @OP+YWPjtns

15 replies (most recent on top)

I think Sam's Club will be around for awhile; I mean Wal-Mart conceding a loss at with Sams Club sounds too far-fetched the more I think about it. Sams Club won't close but their business will probably change to more of an Amazon type warehouse -- bare staff, 10am-8:30pm hours open inside the club, otherwise most transactions done at club pickup starting at 7am or at the improved club pickup designated pick up area at that time. There is no way Wal-Mart would just concede defeat and close Sams. Sams Club hasn't fully adapted to a new normal yet, big changes still occurring.

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Post ID: @1sle+YWPjtns

Sounds like home office logic. Cut inventory, cut expenses, and cut payroll (not to the bone but through the bone)--then expect a sales increase. Maybe it is just me, but that logic seems a bit flawed. Usually sales increases require more of the right product and more member service which requires payroll. This company loves to save a penny, but many times it costs them a dollar to save that penny. Then they go around and brag about how they saved a penny. You might be saving yourself tons of pennies by running off long term associates, but the costs in loss of experience and overall club morale exceeds the savings in my opinion. Perpetual rehiring and retraining is not effective or efficient particularly given our skill in the training realm. Strike that last point. I forgot that we have those nifty CBL's.

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Post ID: @1xtb+YWPjtns

OP is so right. This company is finished.

Been going downhill since the day they fired all the demo partners and brought in the trailer trash workers taste and tips employ.

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Post ID: @ryn+YWPjtns

I live in Bentonville and not my mothers basement. Sorry you have to be so blind to the inevitable. Q3 for marketing elimination because the company coming in to run the distribution of emails and phone numbers of potential member base hasn’t been finalized yet. When you have names and numbers like this it’s a very sensitive process from a member privacy standpoint.

There will still be membership drives for large businesses determined by a regional marketing director. Guess who will be doing those? Anyone in the member frontline positions.

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Post ID: @ohg+YWPjtns

I’m just gonna say it — Amazon has VOWED to beat Wal-Mart in margin, meaning they will under cut Wal-Marts profits (margin) at ANY cost. There is a lot of profit at Sam’s Club — Sam’s Club wants profit more than sales. Again Profit more than Sales. Amazon will take Sam’s Club down — Amazon can withstand the margin loss because they have other business they run like Amazon Web Services and the like that produce billions of dollars in profit. Amazon doesn’t pay Taxes. Didn’t you hear Wal-Mart snap at Amazon because Wal-Marts wages are less than Amazons?? Wal-Mart snapped because they know what lay ahead for them — Sam’s Club will most likely reduce storefronts by a huge amount, could close. Wal-Mart mad because they are losing those tax dollars — Wal-Mart pays taxes and Amazon doesn’t — not paying taxes leaves Amazon even more profit to use in their war chest against Wal-Mart. Wal-Mart won’t win the margin war and Sam’s club will be the first to fall — not the Wal-Mart stores. If you believe this view and the economics behind it — I’m glad I’m not the only one.

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Post ID: @qwf+YWPjtns

Priceless— the rebuke towards the “something happening in the basement” commentary. Geez yeah the basement is definitely not a typical comment seen is it.

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Post ID: @osj+YWPjtns

3rd quarter because they like to spread out the changes. @sio

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Post ID: @shr+YWPjtns

A few of us have said 3-5 years at our Club. Walmart has out grown us and and looking for ways to shut us down.

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Post ID: @hbm+YWPjtns

This sounds about right but the question is , why wait until 3 rd quarter?

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Post ID: @sio+YWPjtns

Why is you go to response always referencing someone living in their mother’s basement? I sometimes wonder if something bad happened to you in a basement? It’s odd that you repeatedly insult people with the same tired commentary.

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Post ID: @eib+YWPjtns

"Every role has either been eliminated or changed now in the past 3 years outside of a very small few. Marketing didn’t change because it’s gone by Q3."

Interesting I must say. Yes some positions were and have been eliminated, but if you know anyone who has been with this company for more than 15 years they will tell you this happens all the time.

"The automated scrubbers will be in clubs by 2020 reducing some maintenance payroll. Cafe kiosks coming. Photo. Jewelry. Gone."

There is alot you missed here. Self Check outs will increase. You might want to look at something that is happening in England and Europe, big box stores are being set up for pick up only. That is right order and pay for everything online and pick it up on your way home. Only need a couple part time workers to scan a bar code. The savings on payroll is phenomenal.

"Look for most if not all bakery items to go pre baked. Meat pre cut. HMS pre packaged or 3rd party like Sushi."

Well this is already a thing. The club I am at had a baker with a degree who left us after being with us for over 5 years. Bakery associates are on the bubble because like many others they do not want to work past 3 pm. Many of them can not even make it to work on time if at all. And when they are late they complain about having too much work and not enough help. So the sales floor and front end suffer because associates are pulled to help in bakery.

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Post ID: @xau+YWPjtns

Get your head out of the sand people! If you can't see that this is happening then you are delusional!

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Post ID: @dgh+YWPjtns

I kinda believe the marketing comment — it make sense in the current climate at work.

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Post ID: @rfe+YWPjtns

Well Sam’s will not exist in 5 years.

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Post ID: @eij+YWPjtns

My guess is you'll still be living in your mother's basement in 5 years

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Post ID: @vli+YWPjtns

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