Walmart Shoppers Facing Self-Checkout Delays as New Law Cracks Down on Shoplifting

robot
Abstract generation in progress

Walmart WMT +1.05% ▲ and Target TGT +1.56% ▲ customers may have to face longer waits at store self-checkouts in the future thanks to a new law.

Claim 70% Off TipRanks Premium

  • Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions

  • Stay ahead of the market with the latest news and analysis and maximize your portfolio’s potential

Self-Checkout Restrictions

According to a report in the U.S. Sun, a bill is being debated in Connecticut, which would limit self-checkout lanes to just eight registers. It is being introduced by the Labor and Public Employees Committee in Connecticut.

Aside from making more customers shift uneasily on their feet and look at the clock on the wall or time on the phone, it could also add to the stress of Walmart employees. That’s because one employee would need to be staffed for every two self-checkout stations. One manual lane would also have to be open for every two self-checkout lanes.

Why Are Changes Needed?

  • Customers have raised concerns regarding the amount of theft – shoplifting – being carried out at self-checkout stations.

  • There are also worries about what self-checkouts mean for the future of store jobs.

Such concerns have seen major retailers take action. Costco COST +0.04% ▲ , for example, has started removing handheld self-checkout scanners from its 630 stores to help prevent theft. Amazon’s AMZN +0.70% ▲ Whole Foods has also scrapped self-checkout machines.

Walmart has also been removing self-checkout kiosks at select locations, including two stores in Shrewsbury, Missouri, and Cleveland, in favor of associate-staffed checkout lines. It’s being done because some customers feel more comfortable interacting with a human being, perhaps even having a real face-to-face conversation.

Walmart reportedly has seen theft calls to the police fall 11% after removing those self-checkout kiosks.

Is WMT a Good Stock to Buy Now?

On TipRanks, WMT has a Strong Buy consensus based on 27 Buy and 3 Hold ratings. It has a highest price target of $150. WMT stock’s consensus price target is $138.41, implying a 9.95% upside.

Disclaimer & DisclosureReport an Issue

TGT-1.55%
AMZN0.05%
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
  • Pin