How Walmart prepares America's largest private workforce for an AI-driven future

AI For Business


Bentonville, Ark – As artificial intelligence and demographics change reshape the US job market, the nation's largest private employers are trying to identify the skills that their workers and the broader workforce will need in the future.

On Thursday, Walmart hosted more than 300 workplace experts and representatives from other companies participating in the Skill First Workforce Initiative.

Retailers have already launched their own employee training and certification programs to meet Walmart's needs for truck drivers and maintenance technicians. This is two roles that US companies say cannot hire quickly enough as experienced merchants leave.

Walmart says it plans to offer a similar AI skills program next year through a new collaboration with Openai, the company behind ChatGpt.

The Associated Press sat with Walmart CEO Doug McMillon at the company's vast headquarters in Bentonville, Arkansas, talking about AI and the American workforce. Interviews have been edited for clarity and length.

McMillon: I say I'm almost in a stable state. The number of employees is decreasing. I remember what happened during the pandemic and now I feel that things are much more stable compared to that experience. I think the pace of change in the job market is smaller and easier to manage.

McMillon: We continue to invest in wages. So I think it helps some, and the process will continue. I think our people are keen about it because it relates to the future of AI and employment, as we've seen new tools that make their jobs better. It helps them take fewer steps.

And our sales are growing significantly. I think people are optimistic about the future of what their lives will look like.

McMillon: I don't think anyone knows how exactly this unfolds. And the way that feels to me is that essentially all of the jobs change. And I think the best way to think about it is to get a “plus-up.” So, regardless of what the role is, how can I lean towards the role I have, in order to adopt new tools, utilize them, and make things better than the other ways?

When we look at our company, we have everything from our store buddies to supply chain associates. Of the 2.1 million people (worldwide), fewer than 75,000 of them are home office work. Everything else works in stores, clubs and distribution centers. And I think those jobs will change more slowly. We still want to serve people to our customers and members. Changes related to home office work will probably happen faster.

McMillon: I don't know there are moments when we all become clear. I think we all talk to people in real time about how we all approach it, especially here at Walmart, in a very transparent, honest, human, easy way, about what we are learning, what we are doing, and why we are doing it. That's how we're going to lead through this.

McMillon: One of the biggest areas of change in the last decade has been related to fellow workers in our store, choosing to order delivery and pick up. And we have something north of 200,000 people doing that job, but about the same number of people working at Walmart in the US (total)

How did you do that? Other tasks and other jobs have changed, allowing me to pay more and create fewer new jobs out of the old ones that have disappeared. What happens when we guide this is that there are positives and negatives, but the net has more ideas about how to grow, so it becomes even more people.

McMillon: The first thing that comes to mind is the store manager. Being a store manager is a great job and a challenging job. And it's a job that rewards you well, and there's a reason. You interact with many people and the community. I have many friends. You have a large sales number to offer. And the skills that store managers have are both human and technical. I think the skills we have as humans are valuable. They have always been and that will become even more true in the future.

McMillon: To some extent, it's a lack of awareness. I think most Americans can probably help us to learn what technology will make and how to become a technology that will help us care for our stores and clubs. The same applies to drivers. So we need to put the words out, just as people know there is a great job.

McMillon: So far, I've been able to do that. I hope that I will continue to find amazing people who want to join the company. This is helpful.

McMillon: I think we are all working to learn and navigate the future towards a world where AI is fulfilling its promise. You can speed up your ability to preempt this and do better work to help your associates succeed. And that's what we're trying to do in the end. Changes happening in the world happen. Our choice is to lean and learn (and learn) to achieve better results for everyone involved.



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