Walmart closes 63 Sam’s Club locations, lays off thousands of employees

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Walmart closes 63 Sam’s Club locations, lays off thousands of employees

By
Trévon Austin

13 January 2018

Walmart, which owns Sam’s Club, is closing 63 Sam’s Club stores across the country, reducing the number of stores from 660 to 597. According to Business Insider, 12 of the units will be converted into eCommerce distribution centers. Some stores have already closed and others will be closed within the next few weeks.

Many employees were not informed that their store had closed before showing up to work Thursday morning. Employees arrived at their stores only to find the doors locked and a notice posted announcing the closing. According to Business Insider, police officers even turned away workers at some stores.

Sam’s Club CEO John Furner notified employees of the closures in a company-wide email sent Thursday.

“After a thorough review, it became clear we had built clubs in some locations that impacted other clubs, and where population had not grown as anticipated,” he said. “We will be closing some clubs, and we notified them today. We’ll convert some of them into eCommerce fulfillment centers—to better serve the growing number of members shopping with us online and continue scaling the SamsClub.com business.”

Some employees were told of the closings via notices that were sent through FedEx on Thursday.

“FedEx showed up at my door with a package from Sam’s Club and I was thinking that maybe it was my W-2,” Nic Townsend, an employee of a Sacramento, California Sam’s Club, told Business Insider. “It was a letter saying they are closing down. … I’m unsure of what to do. I have a baby and a mentally sick mother. I’m lost. I’m heartbroken. I’m scared.”

A Walmart official has stated the closures will affect approximately 9,400…

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