10 Sam’s Club Outlets To Be Closed In 2010

January 12th, 2010 - 8:20 pm ICT by GD  

By Ranjan Bhaduri
sams-clubJan 12, (THAINDIAN NEWS) In a recent development, Wal-Mart Stores Inc., which is the biggest retailer of the world, has decided to close operations for its 10 Sam’s Club outlets in various parts of the USA. According to the company, the main reason for closing the outlets is that they are not performing at per with other outlets. The stores that will face the axe include the ones in Illinois, New York, Irvine and La Quinta. This closure is going to affect around 1,500 workers employed in the Sam’s outlets. Wal-Mart has near about 1.54 million people in its workforce in the USA.

The company has plans to revamp some of the Sam’s Club outlets and relocate some others. The Sam’s Club outlet at La Quinta will cease its operations at the month end. The store will put its shutters down on Jan. 22nd while the pharmacy will be shut down after 3 days. The vice president and regional general manager of Sam’s Club Paul stone said in his statement that despite several efforts to keep the profit up, the Sam’s club outlets are losing money. This makes closure the only available option for the company. This outlet started functioning in 2007.

The employees will be provided with 2 months salary and benefits till March of this year. The financial effect on the company is not yet known. The Wal-Mart authorities will arrange a job fair to aid the workers to relocate within the company. The company is trying out various options to cut down operational costs and raise profits for the last two years.

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