Walmart Layoffs 2026: News, Restructuring & Severance Pay in Canada

As of May 2026, Walmart is planning to cut — or relocate — approximately 1,000 corporate workers. Sources told The Wall Street Journal that the retail giant is looking to combine more of its global technology and product teams.

While Walmart decides what it ultimately wants to do with the affected positions, impacted staff have been encouraged to apply to vacancies within the company.

• SEE ALSO: Slip and Fall Injury in a Walmart: Understand Your Rights in Canada

If you’re a non-unionized worker or manager at Walmart in Canada, which is a provincially regulated employer, understanding these developments is the first step in ensuring your legal rights are protected during this period of restructuring.

Walmart Layoffs: A Timeline of Recent Job Cuts

• May 2025: Walmart is reportedly planning to eliminate approximately 1,500 corporate roles as part of a restructuring.
• May 2024: Walmart is reportedly cutting hundreds of corporate jobs and closing its tech hub in Toronto.
• Feb. 2024: Walmart Canada is reportedly restructuring, a move that impacts multiple roles including the retailer’s home delivery drivers.
• April 2023: Walmart laid off 3,000 employees at U.S. facilities due to the integration of robotics technology.
• June 2020: The retail giant is closing all of its Tire & Lube Express auto centres across Canada to focus on its core business.
• Nov. 2014: Walmart Canada fires 210 people from its head office in Mississauga, Ont.

Your Rights as a Non-Unionized Employee

Whether your departure is labelled a “layoff,” “restructuring,” or a “voluntary package,” your legal rights are governed by Canadian common law.

How Severance Pay Works

For non-unionized staff and managers at Walmart, severance pay isn’t determined by a single internal policy.

Instead, it’s based on the unique circumstances of your situation:

• The 24-Month rule: Depending on your age, length of service, and the nature of your role, you may be entitled to up to 24 months of severance pay.
• Managerial complexity: For managers, severance must often account for bonuses, RSUs, and stock options.
• Provincially regulated status: Because Walmart is a provincially regulated employer, specific rules under a province’s employment legislation apply alongside common law standards.

Defining Wrongful Dismissal

A “wrongful dismissal” is a specific legal term. It occurs whenever an employer in Canada terminates a non-unionized worker without “just cause” but fails to provide the proper amount of severance pay.

This isn’t a reflection of the company’s intent, but rather a calculation of whether the package meets the high standards set by Canadian courts.

If an employment contract’s termination clause is unenforceable, or if a “temporary layoff” is implemented without a prior written agreement, an employee may have a claim for full severance.

Recommended Steps for Affected Walmart Canada Staff

If you’ve been notified of job loss or offered a “voluntary departure” package at Walmart in Canada:

1. Don’t sign anything immediately: You’re legally entitled to a reasonable period to review any offer. Signing a release prematurely can waive your right to pursue full compensation.
2. Use the Severance Pay Calculator: Get an anonymous, instant estimate of your entitlements.
3. Check your compensation: Ensure your offer includes all variable pay, including bonuses and benefits.
4. Seek legal advice: An experienced employment lawyer can ensure that you receive fair compensation.

Walmart Layoffs: Frequently Asked Questions

Are layoffs at Walmart permanent?

For non-unionized employees, a layoff is typically treated as a permanent termination of employment requiring full severance.

Can a manager at Walmart negotiate a better deal?

Yes. Initial offers from large employers often focus on minimum standards rather than full common law entitlements.

Does Walmart have to include bonuses in severance?

Often yes — especially if bonuses were a regular part of compensation.

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Samfiru Tumarkin LLP has helped over 60,000 Canadians secure the compensation they’re owed, and has earned more than 3,000 5-star reviews across the country.

Disclaimer: The materials above are provided as general information about the rights of non-unionized employees in Canada. It is not specific to any one company and SHOULD NOT be read as suggesting any improper conduct on the part of any specific employer, or a relationship between Samfiru Tumarkin LLP and a specific employer.