THE NEWS Thanks to AI tools, a backroom employee at a Walmart supercenter now spends two-thirds less time figuring out whether a product inside a box is needed on store shelves. What used to require a manual scan of every single package is now done by a smartphone app, which uses augmented reality to scan a wall of boxes and immediately tell a worker whether they contain items that are out of stock. Walmart, the largest U.S. private sector employer, has a growing arsenal of AI software that its 1.6 million employees use. It could provide a case study in how AI might affect workers, at least in the short term. Despite the AI-powered boost in efficiency, the company’s Secaucus, N.J. store — one of the top 20 in the company for product volume — still employs about the same number of people as it did before the tech was rolled out, the company said during a tour of the 190,000-square-foot superstore this week. Walmart and its labor policies are closely watched; most recently, it reduced the starting pay for some roles like personal shoppers and people who stock shelves, which are some of the jobs that increasingly utilize AI. In January, Walmart increased its hourly minimum wage from $12 to $14.  WalmartTHE SCENE During the tour, reporters were shown several AI-based tools, including one that automatically determines the most efficient way to load a truck. On the store floor, an algorithm determines the best way to organize a shelf based on customers’ buying patterns. And there’s a conversational app that can help employees answer questions for customers. All of this is aimed at reducing the time it takes to complete routine tasks. “It has helped our team move at a very exponential pace, to make sure that we’re protecting our sales floor,” store manager Josh Strudl said. “We want to make sure we’re giving the customer the face time, not a box.” His store in Secaucus employs about 740 associates. Ivy Barney, senior vice president of operations, said the AI innovations haven’t led to a single person being let go, but “what they do is actually different.” Some employees, she added, have been moved to other jobs within the store — such as fulfilling online orders or overseeing a self-checkout section. Company-wide, Walmart plans to employ about the same number of people or more as additional AI tech is rolled out over the next several years, a Walmart spokesperson said. For J.D.'s view and the rest of the story, read here. → |
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