Walmart Stores Will Be Fully Automated By 2026
What is the scoop?
Walmart, the largest private employer in the United States, announced plans on Tuesday to automate a significant portion of its stores and warehouses over the next three years.
This approach is consistent with the increase of artificial intelligence technologies being introduced into the industry to improve efficiency, but it also threatens to displace millions of jobs.
The mega-retailer, which employs over 1.6 million people in the United States, stated in a press release:
By the end of Fiscal Year 2026, Walmart believes roughly 65% of stores will be serviced by automation, approximately 55% of the fulfillment center volume will move through automated facilities, and unit cost averages could improve by approximately 20%.
As Walmart’s stores and warehouses become more automated, the requirement for human labor will decrease. Nonetheless, the store stated that the workforce decrease might result in higher salaries for the remaining employees.
As the changes are implemented across the business, one of the outcomes is roles that require less physical labor but have a higher pay rate.
