Walmart to lay off nearly 400 workers in August

Retail giant Walmart is set to permanently lay off 381 employees across four sites in Sunnyvale, California, as part of a broader corporate restructuring, according to official notices filed with the California Employment Development Department (EDD).

The layoffs are expected to take effect on 22 August 2025, and mark the latest move in Walmart’s effort to reshape its technology, e-commerce fulfilment, and advertising operations. According to the Worker Adjustment and Retraining Notification (WARN) filings, the job losses are spread across four addresses on West California Avenue in Sunnyvale:

• 135 employees at 840 W. California Ave.
  
  

• 129 employees at 640 W. California Ave.
  
  

• 98 employees at 860 W. California Ave.
  
  

• 19 employees at 680 W. California Ave.
  
  

Each filing lists the job eliminations as permanent, underscoring the seriousness of the restructuring initiative.

The announcement comes on the heels of previous WARN filings earlier this year, which revealed the elimination of 106 roles at Walmart’s Global Tech office in San Bruno, also located in the Bay Area. Taken together, the cuts form part of a nationwide restructuring programme affecting approximately 1,500 corporate positions.

An internal memo circulated last month, and reviewed by multiple media outlets, offered insight into the company’s rationale for the sweeping changes. “To accelerate our progress delivering the experiences that will define the future of retail, we must sharpen our focus,” the memo said.

The restructuring, executives wrote, is aimed at enhancing Walmart’s agility and decision-making speed — a shift they believe is necessary for staying competitive in a fast-evolving retail environment. “Reshaping our structure allows us to accelerate how we deliver and adapt to the changing environment around us,” the memo continued.

While the company has not issued a public comment specifically addressing the Sunnyvale layoffs, it has previously stated that while some roles are being cut, new positions are also being created to support Walmart’s digital transformation strategy. This includes investments in automation, machine learning, and customer experience technologies.

Still, the impact on affected workers is significant, especially in Silicon Valley’s competitive and high-cost labour market. Analysts note that while Walmart has long positioned itself as a retail innovator, restructuring at this scale reflects the pressures even large companies face to streamline operations and reallocate resources toward digital priorities.