Walmart's AI Workforce Prep Plan

Walmart, the largest private employer in the U.S., is actively preparing its workforce for the future by focusing on AI skills and collaborating with OpenAI. As artificial intelligence reshapes the job market, Walmart is working to identify the skills its employees and the broader labor market will need in the coming years.

In a recent initiative, Walmart hosted over 300 experts and representatives from various companies participating in the Skills-First Workforce Initiative. This program aims to create and fill jobs based on demonstrated skills, regardless of college attendance. Walmart has already begun implementing employee training and certification programs to address critical roles like truck drivers and maintenance technicians, which are increasingly difficult to fill as experienced workers retire.

AI Skills and OpenAI Partnership

Starting next year, Walmart plans to introduce an AI skills program in collaboration with OpenAI, the company behind ChatGPT. This program is designed to equip employees with the necessary skills to adapt to the evolving job market. The initiative reflects Walmart's commitment to staying ahead of technological changes and ensuring its workforce is prepared for future challenges.

"We believe every job will be changed to some degree by AI," said Walmart CEO Doug McMillon in an interview at the company's headquarters in Bentonville, Arkansas. "Our goal is to embrace these changes and help our associates succeed in the new landscape."

Turnover and Wages

McMillon noted that turnover rates have been decreasing, and the employment market now feels more stable compared to the pandemic. The company continues to invest in wages, which has been beneficial for employees. Regarding AI and the future of employment, McMillon expressed optimism, stating that employees are generally enthusiastic about the new tools that are improving their jobs and driving sales growth.

Gradual Changes in Store Roles

While Walmart employs 2.1 million people globally, fewer than 75,000 work in home office positions. The majority of employees work in stores, clubs, or distribution centers. Changes in these roles are expected to be more gradual, as Walmart intends to continue serving customers with people. However, changes in home office jobs may occur more rapidly.

McMillon emphasized the importance of transparent communication with employees about the company's plans and the reasons behind them. He highlighted the significant changes in the past decade, such as the creation of new, higher-paying roles for associates picking orders for delivery and pickup, while reducing older roles. This strategy has allowed Walmart to maintain a stable workforce while creating new opportunities.

Future of Employment

McMillon highlighted store managers as an example of a challenging and well-compensated role that requires both human and technical skills. He noted that human skills will become even more valuable in the future as technology advances. Additionally, he aims to raise awareness about opportunities for technicians and drivers, roles that are often overlooked but crucial for Walmart's operations.

"Working together, sharing information, and learning together is the best way to navigate the future of AI," McMillon said. "Our goal is to embrace change and help lead the way to better outcomes for everyone involved."

Walmart's proactive approach to preparing its workforce for AI-driven changes sets a strong example for other companies facing similar challenges. By investing in training programs and fostering a culture of continuous learning, Walmart is positioning itself to thrive in the evolving job market.