Walmart Goes Off Script at Annual Meeting
June 03 2020 - 4:34PM
Dow Jones News
By Sarah Nassauer
Walmart Inc. executives weighed in on a range of topics at the
company's annual shareholder meeting Wednesday, from the global
coronavirus pandemic and the retailer's role in healing America's
racial wounds to out-of-stock products and the intense demand for
puzzles.
The company's 50th shareholder meeting was held over a
conference-call line, one of several signs of unusual times. The
annual gathering typically draws tens of thousands of Walmart
workers to its Bentonville, Ark., headquarters for a festive affair
with musical performances and pep-rally-style presentations from
executives.
"Obviously we are meeting under extraordinary circumstances,"
said Walmart Chairman Greg Penner to kick off the hourlong call.
"There is the pandemic which we have been responding and adapting
to for the past months, but also we are meeting under the shadow
being cast by the violence of racism which is tearing at our
country."
Walmart Chief Executive Doug McMillon has been more willing than
his predecessors to wade into social and political debates, as
American workers broadly have begun to expect their bosses to be
more vocal about causes they care about. Mr. McMillon has spoken
out in favor of gay rights and limiting the sale of guns and
ammunition in Walmart stores.
"The killing of George Floyd is tragic, painful and
unacceptable," said Mr. McMillon on Wednesday. "It's important that
we all understand that our problems as a nation run much deeper
than one horrible event."
At least a dozen Walmart stores have been damaged as some
protests in support of racial equality turned violent in recent
days. Walmart closed hundreds of stores pre-emptively earlier this
week, a spokesman said at the time.
After years of debate, earlier this week a Walmart spokeswoman
said the company helped broker a deal to move the confederate
soldier statue, erected in 1908 in the center of downtown
Bentonville, Ark., blocks from Walmart headquarters.
Mr. McMillon said that the coronavirus pandemic has put strain
on Walmart's workforce and supply chain. More than 270,000 of
Walmart's 1.5 million U.S. employees have taken coronavirus-related
leave in recent months, he said. The country's largest private
employer has hired over 300,000 workers to keep up, many of them on
a temporary basis, he said.
Surging demand hasn't been limited to food and household goods.
The company also has struggled to keep shelves stocked with crafts,
fabric and puzzles, Mr. McMillon said. "We are working intensely to
recover our in-stock position," he said.
Walmart is ramping up its health-care services to meet the needs
of the pandemic, said executives. Walmart currently has 187
drive-through Covid-19 testing sites in 31 states, said Mr.
McMillon, and is exploring ways to test its workforce, including
antibody testing.
The rapid consumer shift to online buying in recent months as
more Americans stayed home will likely linger longer-term, said
executives. Amid the pandemic Walmart is adding more, sometimes
faster, online delivery windows for shoppers, said Mr.
McMillon.
"It's been really successful and we are scaling it further," he
said. "I think it's here to stay."
Write to Sarah Nassauer at sarah.nassauer@wsj.com
(END) Dow Jones Newswires
June 03, 2020 16:19 ET (20:19 GMT)
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