Walmart is developing a new message promoting employment opportunities at its headquarters without requiring a degree.

• In the U.S., Walmart, which has 1.6 million employees, is constantly hiring at its over 5,200 retail stores and corporate campus in Bentonville, Arkansas.
• The company is revising job descriptions for numerous positions at its headquarters to emphasize that a college degree is not always necessary.
• Walmart is expanding its debt-free degree options while simultaneously working to identify in-demand corporate jobs that can be acquired through alternative means.

The country's largest private-sector workforce, with 1.6 million employees, is constantly hiring people for its more than 5,200 retail stores and corporate headquarters in Bentonville, Arkansas. However, this fall, the company announced that many of those corporate jobs will no longer require a college degree.

Walmart is revising its job descriptions for campus (headquarters) positions to take into account the skills individuals possess, in addition to any degrees they may hold. According to a corporate blog post co-authored by Lorraine Stomski, senior vice president, associate learning and leadership, and Julie Gehrki, vice president, philanthropy, in late September, candidates can be considered for the job if they have a related college degree or the necessary skills for the position, which can be acquired through previous experience or other forms of learning.

Large employers in various sectors, including tech, autos, and consulting, are increasingly adopting skills-based hiring for "new-collar" jobs. This trend coincides with a growing debate over the value of a college education and concerns about the debt loads carried by students. A tight labor market and a focus on workforce diversity and the use of generative artificial intelligence in employees' lives are also changing recruitment and retention strategies.

Stomski stated in an October interview that all learning experiences are valuable. He emphasized the importance of examining job requirements and recognizing that not all jobs necessarily require a college degree. While college degrees are important, Stomski argued that many campus jobs have an either/or scenario when it comes to education.

Stomski stated that the foundation for Walmart's new hiring process will be to identify the in-demand corporate jobs within its business and the specific skills required for them, then determine whether a college degree is necessary. Regardless of the decision, employees can utilize Walmart's upskilling and reskilling platform, Live Better U, with free college tuition at partner institutions including Southern New Hampshire University, the University of Arizona, and the University of Denver. "If you need a college degree, you can get it debt-free," Stomski emphasized.

Guild, an education platform, has partnered with Walmart and Target to offer debt-free degree and short-form learning programs.

In addition to bachelor and associate degree programs, Live Better U offers 25 short-term certificates in corporate-level fields such as data analytics, cybersecurity, supply chain management, and business economics. These skills-building courses take less than a year to complete. "In the past, individuals would pursue a cybersecurity college degree," Stomski stated. "Now, they can obtain a cybersecurity certificate in just six to nine months."

According to Ben Wildavsky, a visiting scholar at the University of Virginia who specializes in education and skills-building, and the author of "The Career Arts: Making the Most of College, Credentials, and Connections," Walmart is taking the appropriate approach. He stated that Walmart is attempting to establish an ecosystem within the organization that fosters skill development while also allowing for the recognition of short-term credentials that can contribute to a degree in many cases. This approach is based on the idea that everything must fit together in a way that is practical and workable for individuals.

Wildavsky emphasized that dismissing the value of a college degree is a mistake. He argued that the "human capital theory of degree value" is true, meaning that obtaining a college degree is not just a piece of paper, but rather a valuable learning experience.

Walmart stresses that point, too.

Stomski clarified that the statement is not about eliminating college degrees, as many of Walmart's corporate jobs will still require them. She suggested that it could be an "and" meaning that one could have some college education and supplement it with skills and experience.

Building a broader education system and career pathway

A broad college education not only teaches cognitive skills in popular majors like teaching, nursing, and computer science but also imparts non-cognitive skills, commonly referred to as soft skills, according to Wildavsky. These skills include communication abilities, teamwork, project planning, and execution. Therefore, it is crucial for organizations like Walmart to adopt a broader system approach to develop these skills in their employees.

Stomski acknowledged that college students can develop critical thinking and problem-solving skills, but she pointed out that these skills are not limited to college degrees. She suggested that students can also acquire these skills through serving in the Marines.

The trend of eliminating degree requirements for employment is not limited to the corporate world, but is more established in the public sector. On Tuesday, Minnesota announced that it would no longer require degrees for most state jobs, joining a growing list of states that have dropped two- or four-year degree requirements.

Walmart is considering eliminating college degree requirements for some corporate roles, including those in operations and merchandising. Stomski did not provide specific job titles, but said it's possible that hundreds of jobs could fall under this new category. They are in the early stages of the process, but that's their estimate.

In August, Walmart introduced an internal generative AI tool called My Assistant to all its campus workers. The tool has the potential to revolutionize how associates work and solve problems by speeding up the drafting process, serving as a creative partner, and summarizing large documents.

Walmart has launched a training program for its headquarters workforce to become familiar with the chatbot. The program includes an online tutorial and a safe playground where associates can practice using prompts in My Assistant. This allows Walmart to act as coaches to the business as they become more intimate with AI.

Walmart's move towards skills-based hiring is aimed at promoting diversity in its corporate workforce, according to Stomski. By removing degree requirements, the company is opening up its candidate pool to a more diverse group that better reflects the communities it serves.

Colleen Ammerman, director of the race, gender and equity initiative at Harvard Business School, stated that a talent-management strategy like Walmart's focuses on accessing the best talent rather than arbitrarily increasing numerical targets. "It's smart for companies to consider how to remove barriers, whether subtle or crude, that may hinder access to diverse talent," she said.

Stomski stated that Walmart's revised hiring process would enable front line and corporate associates to develop their careers and secure higher-paying jobs, ultimately improving their financial stability and quality of life. This change would positively impact all people practices.

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