Walmart Expands 10% Staff Discount to Cover Almost All Groceries – Here's What's Included

Walmart has stepped up its support for staff by extending its 10 per cent employee discount to nearly all grocery categories—including essentials like milk, meat, dry goods, and seafood—both in-store and online, effective immediately, following persistent feedback from employees and as part of a broader push to improve retention and ease the burden of food inflation.

The move, effective immediately, marks a shift from the previous policy, which limited year-round discounts to fresh produce and general merchandise, with broader food discounts only available during the holiday season.

Why Extending the Grocery Discount Makes a Difference

The employee discount, which had traditionally been limited to fresh produce and general merchandise, will now cover most food categories year-round—covering approximately 95 per cent of regularly priced grocery items—to better support Walmart's 1.6 million U.S. associates.

The change stems directly from employee feedback. Kieran Shanahan, Executive Vice President and Chief Operating Officer of Walmart US, said in a LinkedIn video that the company had heard from staff during listening sessions and holiday meetings that the discount programme needed to be 'simpler, more accessible'.

Donna Morris, Walmart's Chief People Officer, echoed this sentiment in a memo, stating: 'We've heard your feedback that these savings make a real difference for you and your families.'

Employees become eligible for the discount card after 90 days of service, and those who reach 20 years with the company receive the benefit for life.

Competitive Edge in Retail Labour Market

Walmart's decision to broaden its employee discount programme comes at a pivotal moment for the retail sector. With inflation continuing to affect consumer purchasing power and renewed tariff pressures driving up the cost of imported goods, food prices have surged, placing additional strain on household budgets across the United States.

Retaining and Attracting Talent

By extending its 10% discount to cover nearly all grocery items, Walmart is not only easing the financial burden on its 1.6 million US employees but also strengthening its position in the fiercely competitive retail labour market. The company hopes the expanded benefit will:

• Improve employee retention by offering meaningful financial relief
• Attract recruits seeking stable employment with tangible perks
• Reinforce loyalty among long-serving staff, especially those eligible for lifetime discounts after 20 years of service

Kieran Shanahan, Walmart's US COO, noted that the change was driven by direct feedback from employees who wanted a simpler, more inclusive discount structure.

How Walmart Compares to Rivals

The move also places Walmart ahead of several major competitors in terms of employee benefits:

While Target offers a similar base discount, its exclusions and limited seasonal offers make Walmart's new policy more comprehensive. Kroger and Hy-Vee provide targeted savings, but often restrict them to store-brand products or specific categories.

Strategic Implications

Beyond employee satisfaction, the expanded discount may have broader strategic implications:

• Internal Sales Boost: Encouraging employees to shop at Walmart increases in-house revenue
• Brand Reputation: Demonstrates responsiveness to staff needs and economic realities
• Industry Benchmarking: Sets a new standard that other retailers may feel pressured to match

As the cost-of-living crisis continues to shape consumer behaviour and workplace expectations, Walmart's proactive approach could serve as a blueprint for retail employers nationwide.

Beyond employee satisfaction, the expanded discount may also encourage staff to spend more of their wages within Walmart stores, boosting internal sales. Analysts suggest that such benefits can foster loyalty and enhance morale, particularly in a sector characterised by high employee turnover.

With the cost-of-living crisis still affecting millions, Walmart's decision to broaden its discount programme could set a precedent for other retailers to follow.

A Benefit That Aligns Walmart with Industry Peers

Walmart's move brings its perks closer to those offered by competitors: Whole Foods grants a 20 per cent in-store discount from day one, and Target offers a 20 per cent discount on select food items, plus 10 per cent on most merchandise—making Walmart's expanded benefit more competitive in today's retail environment.