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Walmart closing more than 60 Sam's Club stores — The Latest


The first store to be converted is in Memphis, Tennessee, and the remaining stores will be closed over the next few weeks, according to Walmart. Sam's Club, also owned by Wal-Mart, employs 200 people in the city.

A scene from a Sam's Club store.

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Customers who use the Sam's Club pharmacies will be able to use the ones at the Oakley and Loveland locations until Jan. 26.

Sam's Club is a warehouse club, with yearly memberships ranging from $45 to $100. Sam's Club replied to some questions with a brief statement.

"Our hope is that many associates will choose to stay with the company via transfer and we'll begin working to make that happen".

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One-time payouts are far less valuable to employees than permanent pay raises.

And TJ Maxx (TJX) has also done the same in recent years. "We'll convert some of them into e-commerce fulfillment centers - to better serve the growing number of members shopping with us online and continue scaling the SamsClub.com business". The move could impact as many as 11,000 employees.

Several other states where CNNMoney confirmed stores will be closing did not have such notices posted as of Thursday afternoon.

The company hasn't said much about the reasons or given much explanation.

Walmart says the wage increase benefits all hourly U.S. workers within its stores, including Sam's Club, its website, and logistics. Some reported that bewildered employees showed up to work to find out they no longer had a job.

Eventually, a manager vouched that he was an associate and he was allowed inside, Corona said.

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For his part, Corona, who made $12 per hour at Sam's Club, said he's not looking to transfer. "What they're doing is absolutely wrong".

"Today, we are building on investments we've been making in associates, in their wages and skills development", said Doug McMillon, Walmart president and CEO.

Walmart says there's a specific reason for the change.

Sam's Club has been a good performer for the world's largest retailer.

Mnuchin responded saying some companies will invest capital while others will return money to workers. The company said it will provide support and resources to affected employees.

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