October 6, 2025

Walmart, once ordered to “eat prices”, gives employees a reduction of 10% all year round to help them eat

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In its largest employee perk deployment for years, Walmart has expanded its 10% grocery discount to cover almost all food categories for its 1.6 million American workers, which has increased a significant boost on the social benefits of the country’s largest private employer. Announced in a LinkedIn video by Kieran Shanahan, executive vice-president and chief operating officer at Walmart US, the change is in force immediately and applies both in store and online, signaling Walmart’s attempt to support his workforce in the midst of prices of prices and retention challenges.

In a separate article in LinkedIn, JD Mahaffey, group director and global executive manager of total executive awards, has widened the new advantage: before, the 10% delivery of Walmart for employees was limited to fresh products and selected general products, and most grocery articles were excluded, except during the holiday season from November to December. With the new policy, almost all food categories are covered all year round, including staples such as dairy products, frozen foods, dry grocery products, meat and seafood. In total, around 95% of items at regularly in stores are now eligible for discount.

All eligible employees and staff receive a reduction card after 90 days of employment. This decision was caused by the persistent feedback of workers who called for more complete and accessible advantages, in particular because food inflation has pressed household budgets. “We have heard your comments according to which these savings make a real difference for you and your families,” wrote Donna Morris in a service note shared with a memo. Fortune. In fact, she described it as “one of our most requested advantages”.

Why is Walmart doing this now?

Expansion comes as economic pressures weigh on households on a national scale. Recent government data shows that food prices for staples such as eggs and meat have jumped from one year to the next. This decision also coincides with increased concerns concerning new prices that threaten to further increase prices between the main retailers, Walmart included. More than half of grocery buyers questioned in August cited the prices as their main concerns about food costs.

By increasing the benefits of employees, Walmart reacts both to external market forces and internal demand. This is a strategic step designed to strengthen recruitment and retention at a time when competition for retail talents is fierce. Analysts note the business efforts to improve their work cultivation, including previous extensions of training programs, employee hikes for hourly staff and the introduction of bonus programs for front -line workers.

The head of the Shanahan exploitation explained in the company’s video: “We know the impact of this reduction for so many partners and their families, and a coherent comment that we hear is to see how we can improve our partner reduction program.”

How does Walmart compare to other retailers?

With the new advantage, the advantages of Walmart are now aligning more closely with those of the main competitors. Target offers a similar reduction of 10% on most goods plus 20% reduction on certain food products, while Kroger offers staff 10% reduction on brand products and other categories. Hy-VEE (a midwest grocer) and Trader Joe’s have even more generous policies, with discounts up to 20% for employees.

The moment of the announcement is crucial, coming only a few days before the release of the quarterly benefits of Walmart and as a company struggling with the challenges of the supply chain and inflation pressures. While economic uncertainty continues to go around the retail sector, the extended reduction in the Walmart grocery store is distinguished both as an intelligent commercial maneuver and a measure aimed at promoting good will among its massive base of employees.

In May, Walmart issued a warning as well as its profits report that it may have to increase prices due to the planned impact of President Donald Trump’s prices. “We are wired to maintain the low prices, but there is a limit to what we can bear, or any retailer elsewhere,” said the financial director John David Rainey at the time.

Trump replied by ordering Walmart to “eat the prices”. This Walmart decision seems to confirm that Walmart cannot eat them all, and this will at least help its employees bring something to eat for the pre-tangif prices they have used.

Walmart did not immediately respond to a request for comments.

For this story, Fortune Used a generative AI to help an initial project. An editor checked the accuracy of the information before the publication.

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