Train Wreck: Wal-Mart Hiring Temporary Workers -- Any Idea Why? A New Poll

Updates

Later, 3:48 pm: on a day that the market surges, up 204 points, Microsoft is one of the losers, dropping more than half a percent. The announcement that MSFT is moving stores into Best Buy is seen as a lose-lose: a) Best Buy is not where folks are buying their electronics; and, b) this is an admission by MSFT that it cannot compete head-on with Apple. When folks can compare the Apple iPad or miniPad side-by-side with the Surface, there is no comparison, especially when priced about the same. It is down right (fill-in-the-blank) when seeing Apple stores across from Microsoft stores in malls. Apple stores are filled; Microsoft stores are empty. In addition, Apple stores are not found in many malls; only in upscale malls. Best Buy is not upscale.

It's also possible this is still a residual effect from the worldwide developers' conference hosted by Apple earlier this week. One can argue whether Apple can still innovate, but Microsoft announced the return of the "Start" button on the upgrade to its new operating system, while Apple announced hundreds of "innovations" to its new operating system.

Disclaimer: I apologize to all my non-Apple friends out there. I am Apple Fanboy #3. I am more passionate about Apple than I am about the Bakken. So, don't take me seriously. I'm just part of the cult. I do not invest in AAPL, never have, and never will. I have not read the Steve Jobs biography but I do have a copy (a gift from my wife), and plan to read it this summer.

Original Post

Reuters is reporting, in an "exclusive":

Wal-Mart Stores Inc has in recent months been only hiring temporary workers at many of its U.S. stores, the first time the world's largest retailer has done so outside of the holiday shopping season.

A Reuters survey of 52 stores run by the largest U.S. private employer in the past month, including one in every U.S. state, showed that 27 were hiring only temps, 20 were hiring a combination of regular full, part-time and temp jobs, and five were not hiring at all.

The survey was based on interviews with managers, sales staff and human resource department employees at the stores.

The new hiring policy is to ensure "we are staffed appropriately," when the stores are busiest and is not a cost-cutting move, said company spokesman David Tovar.

Temporary workers, he said, are paid the same starting pay as other workers.
Using temporary workers enables the company to have adequate staff on busy weeknights and weekends without having to hire additional full-time staff.

The headline is a bit misleading. First of all, it does not seem to be a company-wide policy. Only 27 of 52 stores canvassed were actually limiting new hires to temporary workers. Ninety percent of Wal-Mart employees are full-time. The number of temporary employees generally represents about 1% of their overall workforce; they are now represent about 10%.

Could Wal-Mart be preparing itself for the train wreck? Or is Wal-Mart simply responding to customers needs to improve customer service?

Time for a new poll.

But first, the results of the current poll in which we asked:  Will the US grant any more LNG export licenses in 2013?

• Yes: 65%
• No: 35%

Now, the new poll. In light of the Reuters story about Wal-Mart hiring more temporary workers to staff evenings, weekends, and holidays, is that credible. Is Wal-Mart hiring more temporary workers to improve customer service, to prepare for the Train Wreck, or both?

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Microsoft seems to have trouble finding its home. I don't know how many malls in which I've been in where Apple has a store and  either there is no Microsoft store, or there was one that had closed. Now I see, June 13, 2013, Microsoft has announced they will have a Microsoft store in 600 Best Buy stores across the nation.

They need each other.

Microsoft hardware, the Surface, has been a bust, and worse, Windows 8.0 was a bust. Microsoft was forced to upgrade to Windows 8.1 which included one new feature: a return to the "Start" button. I cannot make this stuff up.

On the other hand, Best Buy is the "last one standing" and this big box is also likely to downsize before it's all over.  I don't know where the argument "go private or die" for Best Buy stands any more. But I doubt it's good news.

As noted above: Best Buy is a good fit for Microsoft.