Walmart's Mixed Messages: Wage Increases Followed by Voluntary Pay Cuts for Pharmacists
Portfolio Pulse from Lekha Gupta
Walmart Inc (NYSE:WMT) is reportedly asking some of its 16,000 pharmacists across the U.S. to take voluntary pay reduction. The company aims to lower costs by reducing the working hours. This comes after Walmart had raised wages for about 3,700 U.S. pharmacists and over 4,000 opticians in May. Walmart reported second-quarter FY24 sales growth of 5.7% year-on-year to $161.10 billion, beating the analyst consensus estimate.
August 30, 2023 | 11:55 am
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Walmart is asking its pharmacists to take voluntary pay cuts, aiming to lower costs. This follows a wage increase for pharmacists and opticians earlier this year. The company's Q2 FY24 sales beat analyst estimates.
The news of Walmart asking its pharmacists to take voluntary pay cuts could have mixed impacts on the company's stock. On one hand, it shows the company's efforts to control costs, which could be seen positively by investors. On the other hand, it could raise concerns about employee morale and retention, which could negatively impact the company's operations. The company's strong Q2 FY24 sales could offset any negative impact.
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