Walmart India executives contest layoffs at US headquarters
today Jan 27, 2020
A number of the executives recently laid off by Walmart India have contested the decision and written to Walmart’s US headquarters to argue that the layoffs were unfair, requesting an investigation.
After Walmart India announced that it laid off 56 employees on January 14, a group of the affected staff have asked for a review of the decision, ET Bureau reported. Walmart, which entered India in 2007 and acquired e-commerce platform Flipkart in 2018, also recently announced that it is closing down its Mumbai fulfilment centre and will cease new-store expansion in the country.
“We have written to [Walmart] individually as well as a group because the company went ahead with the firing process even after an assurance in December that there will not be any layoffs,” three former Walmart India executives told ET Bureau.
“Some had even threatened to be whistleblowers in recent real estate deals where due process was not followed… The US retailer has responded to our mail and a team from US compliance and ethics department could visit India to do a thorough investigation.”
“We take all allegations seriously and will review these accordingly,” a Walmart’s spokesperson said in reply to a query from the Economic Times.
“We are committed to growing in India, doing so in compliance with all applicable laws and in a way that benefits our associates, local businesses and the communities where we operate.”
The news is the latest in Walmart's battle to appear business compliant in India. The US heavyweight has previously come under fire from the Confederation of All India Traders, among other Indian organisations, for alleged foreign direct investment regulations violations.
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