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8/15/2005

Wal-Mart’s New Workforce Plans Cut Pay, Benefits

Source: Teamsters

The world’s largest retailer has instituted a new computerized plan for matching customer traffic with employee schedules, forcing many workers to lose pay and benefits as their hours fall below the full time level. The move appears to be spurring workers to leave the company, the South Florida Herald Tribune reported yesterday.

Reportedly, Wal-Mart is using a centralized computer program to devise schedule templates to guide store managers in scheduling employees. Company officials declined to tell the Herald Tribune when the program was put into effect.

The paper reported that several Wal-Mart employees in South Florida could no longer afford to pay for benefits the company offered after the company instituted the workforce management software. Several quit or are considering doing so, the Herald Tribune reported.

As Wal-Mart and other large retailers seek to keep costs down, workplace management software is becoming more popular. Several industry publications tout new technologies to match worker schedules to workloads as a money-saving venture.

A report completed by Aberdeen Group, a human resources industry research outfit, predicted that companies that increase their focus on scheduling and other workplace management details will prove to be more successful than competitors.

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