Walmart announced Wednesday it is planning to build or convert more than 150 stores over the next five years while also continuing to remodel existing stores.
During the next 12 months, the retail giant also plans to remodel 650 stores across 47 states and Puerto Rico. The new remodels will help create “tens of thousands of jobs” in support of these infrastructure projects, while each location will also bring hundreds of new jobs to each store’s community.
In a news release, Walmart U.S. CEO John Furner said the retailer is finalizing construction plans on 12 new projects it intends to start this year, along with converting one of its smaller locations to a Walmart Supercenter.
It also has two Neighborhood Markets set to open in the spring in Santa Rosa Beach, Florida, and Atlanta, Georgia, according to the company.
“These efforts represent millions of dollars in capital investment of labor, supplies, and tax revenue, which benefit their respective communities. And they’ll help us reach and serve even more customers,” Mr. Furner said in a statement.
Its new and remodeled stores will reflect Walmart’s new concept, featuring improved layouts, expanded product selections, and innovative technology to help workers better support customers and make shopping more convenient, the company said.
The expansion plans mark a reversal of strategy for the retail giant, which in 2016 announced it was slowing new store openings as it focused on online growth to compete with Amazon. The chain hasn’t opened a new store since November 2021, according to The New York Times.
“These new and remodeled stores will better enable us to meet and exceed customer expectations whether in a store, online at Walmart.com, or through one of our mobile apps,” Mr. Furner said.
The newly opened and remodeled locations are also more sustainable than previous builds, with energy-efficient equipment and lighting, lower-impact refrigerants, and more, according to the announcement.
Walmart had 4,616 stores including supercenters in the United States as of October 2023, employing more than 1.6 million people, according to the company’s website.
The Bentonville, Arkansas-based chain is one of several retailers expanding stores as customers return to in-person shopping post-pandemic.
The company in November raised its annual sales and profit forecasts as it continued to attract inflation-hit customers to its stores with a selection of cheaper groceries and daily essentials.
The chain is also raising the annual average salary and bonus for its managers. U.S. store managers, for example, will receive up to $20,000 in Walmart stock grants every year, while their average salary will be at $128,000 a year, up from $117,000.
Walmart has been investing in its store workers to retain more employees, and in September, the company announced a change in the wage structure to align the hourly starting pay across all job roles and departments.
And though turnover rates for U.S. store managers and the rest of its workers have stabilized since 2022, pressures on employees have increased. The acceleration of online services like BOPIS—“buy online, pickup in stores”—since the pandemic have created more challenges for store leaders, as they balance inventory for both store customers and online shoppers.
