Walmart‘s Unprecedented Investment in College Education for Associates

As the nation‘s largest private employer, Walmart has made a groundbreaking $1 billion commitment to expand access to higher education for its workforce. The company‘s Live Better U program now offers 100% free college tuition and books for all 1.5 million part-time and full-time associates in the U.S., as of 2021. This represents a significant expansion of one of the most generous employer-sponsored education benefits in the country.

Program Details and Eligibility

Through Live Better U, Walmart employees can earn associate‘s and bachelor‘s degrees, as well as professional certificates, high school diplomas, and language learning, completely free of charge. All coursework is done through online programs offered by 10 nonprofit universities and education providers, including University of Arizona, Purdue University Global, and Southern New Hampshire University.

Fields of study covered focus on business-relevant skills such as business administration, supply chain management, cybersecurity, and health science. The most popular programs so far have been the business and supply chain degrees, with over 60% of participants pursuing them. However, the program also supports a range of other high-demand fields like technology and healthcare.

Notably, Walmart is extending this benefit to both full-time and part-time associates from their first day of hire. This is a departure from many other employer tuition programs that have minimum tenure requirements or restrict benefits to full-time workers. With around half of Walmart‘s workforce part-time, this inclusivity will be key to enabling widespread participation and impact.

Early Results and Testimonials

Since expanding the program to cover 100% of tuition in 2021, Walmart has seen a surge in adoption. Over 65,000 associates have participated so far, a 130% increase over 2020 enrollment levels. The company expects that number to continue growing rapidly as awareness builds.

Associates who have participated in Live Better U are already seeing the benefits in their careers. According to Walmart, participants are twice as likely to get promoted and retain their jobs 1.5 times longer than other associates. The company has also committed to giving program graduates priority for relevant roles at its Home Office location.

"I‘m a single mother of three, so by removing the financial burden that college brings, this program has been life changing for me and my family," said Courtney Ricks, a department manager pursuing a business management degree through Live Better U. "It‘s giving me the stepping stones to a brighter future and career path here at Walmart."

For Dahjaun Morrow, a participant earning his high school diploma, Live Better U has been an unexpected opportunity. "I didn‘t think this late in life I‘d be able to achieve that goal [of finishing high school]," he reflected. "Walmart actually pays 100% of everything. For me, that opened up time and opportunity."

A Strategic Talent Investment

Walmart‘s historic tuition benefit expansion comes as the company is undergoing a major transformation to adapt to rapidly evolving industry trends and consumer habits. The initiatives include investing heavily in e-commerce capabilities, revamping the in-store experience, and pursuing new revenue streams in digital advertising, financial services, and healthcare.

Successfully executing this omnichannel strategy will require an upskilled workforce with increased digital fluency, data literacy, and cross-functional knowledge. Live Better U directly supports this priority by enabling large numbers of associates to efficiently gain these in-demand competencies.

"As technology continues to advance, the skills required to do today‘s jobs are changing," said Walmart‘s Chief Sustainability Officer Kathleen McLaughlin. "Offering associates the chance to pursue advanced education opens the door for them to grow their career at Walmart and beyond."

The program is also likely to aid Walmart‘s recruitment efforts, particularly among Millennials and Gen Z workers who highly value education benefits. A recent survey by EdAssist found that 80% of Millennial employees say tuition assistance is an important factor in their employment decisions. By funding degrees outright, Walmart may gain an edge with young talent.

Expanding Access and Attainment

Walmart‘s unmatched scale means that its tuition program could drive a meaningful increase in national college attainment levels if adopted widely. Of the company‘s 1.5 million U.S. associates, an estimated 75% do not yet have a postsecondary degree.

"We are creating a path of opportunity for our associates to grow their careers at Walmart," said CEO Doug McMillon. "Wherever you are in your journey, this program was created to meet associates where they are."

To maximize the potential impact, Walmart will need to continue raising awareness of the program and work to eliminate any barriers to enrollment and completion. This should include:

  • Prominently promoting Live Better U in recruitment materials, onboarding, and ongoing employee communications
  • Integrating education benefits into performance and development conversations between associates and managers
  • Streamlining the application process and providing hands-on coaching to navigate program logistics
  • Fostering a culture that normalizes and celebrates participation in education
  • Ensuring work schedules can accommodate class time through flexible and predictable scheduling
  • Tracking persistence and graduation rates by demographics to identify and address any equity gaps

If Walmart can make Live Better U a core piece of the employee value proposition and experience, the results could be transformative – both for individual associates and at a societal level.

Raising the Bar

As the largest private employer in the U.S., Walmart has the unique ability to set workforce trends and influence other companies‘ practices. By significantly raising the bar on tuition benefits, Walmart may compel competitors to follow suit to attract and retain talent.

"Walmart is leading from the front on the responsibility employers have in providing their employees with pathways to higher education," said Jaime Fall, director of UpSkill America at the Aspen Institute.

Other major national employers including Amazon, Target, Chipotle and Starbucks have launched or expanded their educational assistance programs in recent years. However, Walmart‘s $1 billion investment in Live Better U stands out for its scope and funding structure, potentially establishing a new benchmark.

If Walmart‘s move does influence further growth in corporate tuition sponsorship, it could help drive wider transformation in the postsecondary education sector to better serve working adult students. Colleges will need to provide the flexible program formats, robust student supports, and direct workforce alignment that this student population and their employers increasingly demand.

The Future of Work

As the labor market continues to tighten and skills requirements rapidly evolve, major employers investing substantially in education for their workforce will likely become an economic imperative. Employer-sponsored tuition benefits can be a win-win, giving companies a stronger talent pipeline while providing life-changing educational opportunities to employees.

However, to truly move the needle on social mobility, programs must be designed thoughtfully. A strong equity lens is needed to ensure all segments of a company‘s workforce can access and benefit from educational offerings. Partnerships with accredited, high-quality universities with a track record serving working adult learners will also be critical.

With its unprecedented scope and scale, Walmart‘s Live Better U program will be an important case study to watch. The early data is promising, and if Walmart can sustain high participation rates and strong outcomes, it will provide a powerful proof point for the value of major employers offering debt-free degrees.

Other companies considering launching or expanding their own tuition assistance offerings should look to Walmart‘s best practices, including:

  • Covering 100% of tuition and fees for maximum impact and accessibility
  • Offering a range of degree, credential and diploma options to meet diverse needs
  • Extending benefits to part-time workers
  • Partnering with accredited online universities experienced with adult learners
  • Aligning programs with in-demand skill sets for the company
  • Providing hands-on education coaching to help employees navigate their journey

As an advocate who has worked with hundreds of adult students, I have witnessed firsthand the power of employer-sponsored education to transform lives. Programs like Walmart‘s Live Better U can open the door to new possibilities for workers who previously didn‘t see a path to a degree.

If designed well and implemented equitably, the growth in employer-funded tuition benefits could be a game-changer for both individual economic mobility and our economy at large. By recognizing the tremendous potential of their workforce and investing accordingly, Walmart is setting an admirable example for corporate America to follow.