Walmart, once ordered to ‘eat the tariffs,’ is giving employees a year-round 10% discount to help them eat

Announced in a LinkedIn by Kieran Shanahan, executive vice president and chief operating officer at Walmart U.S., the change is effective immediately and applies both in-store and online, signaling Walmart’s bid to support its workforce amid rising food prices and retention challenges

With the new policy, nearly every food category is covered year-round, including staples such as dairy, frozen foods, dry groceries, meat, and seafood

All employees and eligible corporate staff receive a discount card after 90 days of employment

The move was mpted by persistent worker back that called for more comprehensive and accessible perks, particularly as food inflation has squeezed household budgets. “We’ve heard your back that these savings make a real difference for you and your families,” Chief People Officer Donna Morris write in a staff memo d with Fortune

In fact, she described it as “one of our most requested benefits.” Why is Walmart doing this now? The expansion comes as economic pressures weigh on households nationwide

Recent government data shows food prices for staples such as eggs and meat have jumped sharply year-over-year

The move also coincides with heightened concerns over new tariffs that threaten to further raise prices across major retailers, Walmart included

More than half of grocery shoppers surveyed in August cited tariffs as their top worry food costs

By ramping up employee benefits, Walmart is responding to both external market forces and internal demand

It’s a strategic step designed to bolster recruitment and retention at a time when competition for retail talent is fierce

Analysts note the company’s efforts to imve its work culture, including earlier expansions of training grams, wage hikes for hourly staff, and the introduction of bonus grams for frontline workers

Kieran Shanahan, chief operating officer at Walmart U.S., explained in a company : “We know the impact this discount has for so many associates and their families, and one consistent piece of back we hear is to look at how we can make our associate discount gram even better.” How does Walmart compare to other retailers? With the new perk, Walmart’s benefits now align more closely with leading competitors

The timing of the announcement is crucial, coming just days before Walmart’s quarterly earnings release and as the company grapples with both supply-chain challenges and inflation pressures

As economic uncertainty continues to roil the retail sector, Walmart’s expanded grocery discount stands out as both a smart maneuver and a measure aimed at fostering goodwill among its massive employee base

In May, Walmart issued a warning along with its earnings report that it may have to raise prices because of the anticipated impact of President Donald Trump’s tariffs. “We’re wired to keep prices low, but there’s a limit to what we can bear, or any retailer for that matter,” Chief Financial Officer John David Rainey told the AP at the time

Trump responded with a famous expression, ordering Walmart to “EAT THE TARIFFS.” This move by Walmart appears to confirm that Walmart can’t eat all of them, and it will at least be helping its employees take something to eat for the pre-tariff prices they used to see

Walmart did not immediately respond to a request for

For this story, Fortune used generative AI to help with an initial draft

An editor verified the accuracy of the information before publishing

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