A recent report by Reuters discusses the reduction of Wal-Mart's (NYSE:WMT) staff ahead of Obamacare reforms going into effect, in an apparent effort to control costs. The survey showed that more than half of the stores polled were hiring only temporary workers. Competitors Target (NYSE:TGT) and Costco (NASDAQ:COST) take a different approach to the management of staff. A recent Bloomberg piece outlined ongoing problems seen within Wal-Mart stores.
In the video below, Fool.com contributor Doug Ehrman discusses some of the implications of the policy, how Wal-Mart's staff has been managed over the past several years, and why the move by the discounter may not be a good idea.
Fool contributor Doug Ehrman has no position in any stocks mentioned. The Motley Fool recommends Costco Wholesale. The Motley Fool owns shares of Costco Wholesale. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.