Please create an account to participate in the Slashdot moderation system

 



Forgot your password?
typodupeerror
Businesses The Courts Technology

Walmart Whistleblower Claims Cheating In Race With Amazon (bloomberg.com) 35

An anonymous reader quotes a report from Bloomberg: In its race to catch Amazon.com in online retailing, Walmart issued misleading e-commerce results and fired an executive who complained the company was breaking the law, according to a whistle-blower lawsuit. Tri Huynh, a former director of business development at Walmart, claims he was terminated "under false pretenses" after repeatedly raising concerns about the company's "overly aggressive push to show meteoric growth in its e-commerce business by any means possible -- even, illegitimate ones." Under Chief Executive Officer Doug McMillon, Walmart has invested billions to catch up with Amazon in e-commerce over the past few years, and last year enjoyed quarterly online sales growth rates surpassing 50 percent, well above peers that include Target and Best Buy Huynh claims Walmart mislabeled products so that some third-party vendors received lower commissions, failed to process customer returns, and allowed offensive items onto the site. Huynh's dismissal in January 2017 -- just a day after a retail-industry publication singled him out as one of the sector's rising stars -- was in retaliation for warning senior executives about the misdeeds, he said in the lawsuit, filed Thursday by employment litigation attorney David M. deRubertis in San Francisco federal court.
This discussion has been archived. No new comments can be posted.

Walmart Whistleblower Claims Cheating In Race With Amazon

Comments Filter:
  • by Anonymous Coward
    Utilize cheap and ubiquitous illegal Mexican labor, pay with store credit and keep it under the table. Eliminate healthcare and retirement costs and aggressively track and ratchet up pressure on employees to work faster.

    Or, you could do it Walmart's way.
  • The site is horrible (Score:4, Interesting)

    by technosaurus ( 1704630 ) on Thursday March 15, 2018 @05:12PM (#56266403)
    I used to think Amazon was bad because your search results shit back whatever most expensive garbage they hoped theg could sell you based on those keywords... till I had the idea to just add site:amazon.com to a google search.
    Walmart.com is in its own league of bad. If slow loads and multiple layout redraws weren't bad enough, it lacks useful filters, has limited categories, includes marginally related accessories so instead of getting 100 useful results you hit the item limit (yes there is an item display limit) from accessories and get 0 useful results ... fine then sort from highest price to lowest... still cuts off any laptop under 2000. And then there is the "only in store" items and otherwise unavailable for order items that also cannot be filtered... I could go on, but I went on to a navigable site like newegg. Basically, the only way I end up ordering from walmart.com is if it comes up on a google search for a specific product...
    horrible, slow, annoying
    • by Anonymous Coward
      Go on Amazon, search for the product Liquid Ass, and read the comments. It's worth it. You'll be laughing all evening.
  • by Anonymous Coward on Thursday March 15, 2018 @05:31PM (#56266463)

    I wonder what's the future for this executive. I mean, many future employer may see him as someone that isn't loyal.

    Sure he may sue them unjustified lay-off, but f whistleblower lead to a massive lawsuit, I think they should receive a share of the dollar.

    • I wonder what's the future for this executive. I mean, many future employer may see him as someone that isn't loyal.

      On the other hand, future employers may see him as honest, and that will count for something. Some employers actually do want to know when something unethical or illegal is going on in their company.

      He also has a positive review from an industry publication. (See TFS.)

      Sure he may sue them unjustified lay-off, but f whistleblower lead to a massive lawsuit, I think they should receive a share of the dollar.

      Interesting point. IANAL, but I'm not sure I agree. Strictly speaking, he wasn't harmed by what the company did that he reported. Rather, he was harmed by the company firing him for reporting it. So maybe his complaint should be in a separate

      • On the other hand, future employers may see him as honest, and that will count for something. Some employers actually do want to know when something unethical or illegal is going on in their company.

        It also helps that he didn't say anything until he was fired. You don't want a guy who's going to run to the regulators and police just because you're breaking some minor securities laws and haven't yet turned around. If you're dealing with life-endangering situations, you fire that one off fast; otherwise you keep pressing until something shifts, either by increasing discomfort in a few influential managers or by them simply firing you. Eventually, that noise leaks out on its own; or you just decide it

  • And still loosing (Score:4, Insightful)

    by geoskd ( 321194 ) on Thursday March 15, 2018 @05:45PM (#56266525)

    How much of a loser do you have to be to cheat and still lose?

  • Anybody can create a million dollar increase in sales if given a two million dollar marketing budget!
  • Walmart's relatively new to the e-commerce game and are probably stumbling some, but even if these accusations are true, they don't seem like issues that can't be fixed. The 3rd party vendors and customers seeking returns aren't just going to go away, and Wal-mart's profits will reflect that eventually. Also only one side of this story is being told. I know it's fun to shit on Walmart, but I'm going to hold judgment for now.

    As an aside, now is a good time for someone to challenge Amazon. The new Amazon Logi

    • Re: (Score:3, Interesting)

      by Anonymous Coward

      The key point here is that Amazon is no longer (or never was?) the cheapest. Often the bigger problem is finding a *reputable* cheaper seller that sell more than a tiny niche. Wal-Mart is beginning to crush Amazon at that.

      I have found that the e-commerce verticals absolutely destroy Amazon on price. Examples of verticals that kill Amazon: Autoparts, Beer brewing supplies, certain types of electronics, pet food/supplies, bulky consumer products (e.x. paper towels), adult toys, etc. But unless you shop that

      • by Ranbot ( 2648297 )

        ...Wal-Mart is beginning to crush Amazon....

        I have found that the e-commerce verticals absolutely destroy Amazon on price. Examples.... pet food/supplies...

        There is some value in Wal-Mart's network of stores for picking up or returning items too.

        I can confirm the pet food example.... At least for the dog food brand I buy, I periodically check it's price on Amazon when I need something to get the free shipping, but they can't even beat the price I pay at my local brick-and-mortar pet store.

  • Isn't that what happens when you don't change the sheets often enough? https://allswellhome.com/pages... [allswellhome.com]?
  • Where vast sums of money are at stake, there will ALWAYS be cheating.

    No exceptions.

    It's human nature.

  • by Ritz_Just_Ritz ( 883997 ) on Thursday March 15, 2018 @09:41PM (#56267399)

    Walmart let go a significant number of IT employees on the west coast in January of 2017. It included a lot of engineers, contractors and some middle management. It's just as likely that this person was part of that force reduction and felt jilted or is looking for more of a payout.

    I think it would be pretty difficult to hide the kinds of activities described and if these allegations were true, it would have been in the press long ago.

    Lastly, eCommerce makes up only 3-4% of Walmart's revenue. If someone was going to "cook the books" there are a lot greener pastures available to do that. I will be very curious to see what evidence is shown if this actually makes it to court.

  • I cannot count the number of things I have bought online at Newegg and Amazon and Aliexpress and a few other places. I have never bought anything online from Walmart and just don't feel the need too. The prices are usually better someplace else and Walmart already gets enough of my money when I go shopping as it is. Although lately I have been trying to shop almost anywhere else but Walmart, I just hate doing all my shopping and then seeing 40 registers and 3 of them (at most) open and like 10 people in fro

"Never face facts; if you do, you'll never get up in the morning." -- Marlo Thomas

Working...