BIG CHANGE
Walmart and big grocery chains could be forced to follow Target’s strict self-checkout rule and add staff to kiosks
Some retailers are ahead of the curve and have already adopted the new rules
A NEW bill in California meant to protect retailers and employees could make major grocery and pharmacy chains like Walmart fall in line with stricter checkout policies.
State legislators said they hope the law will encourage employment and make a dent in the rising percentage of loss due to theft that retailers have reported in recent years.
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Bill No. 1446 was first introduced to the state senate in February and later amended on March 20 with the latest revisions.
"This bill would prohibit a grocery establishment or a retail drug establishment from providing a self-service checkout option for customers unless specified conditions," the union-back proposed legislation states.
Those conditions include having no more than two self-checkout kiosks monitored by a single employee and "requiring the employee to be relieved of all other duties."
In a nod to employee health, the bill also requires employers to include self-checkout work as a specific element of any analysis of potential workplace hazards.
Read more about retail rules
Retailers would also be obligated to complete a specific assessment before developing or implementing any technology that might replace a job or eliminate an essential job function.
Employees would have to be notified of this assessment at least 60 days before its start and given the opportunity to provide their input.
NOT NEW FOR EVERY COMPANY
The new law would come as a major change for Walmart and many other retailers, but some companies are already ahead of the curve when it comes to self-checkout innovation.
Several major chains have tried to iterate different self-checkout strategies to reduce shoplifting and bolster the customer experience, according to Progressive Grocer.
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Target announced last fall that it was trying out a new Express Self-Checkout strategy that only permitted shoppers with ten or fewer items to self-scan.
Initially debuted at less than 200 stores, the strategy resulted in self-checkout going twice as fast as before at these stores.
Target leadership began rolling out the rule at almost 2,000 other stores across the country, making it a national store policy on March 17.
"We’re making updates chainwide to make our checkout experience even more enjoyable," the company said in a statement.
Target leadership also said it would be increasing the number of traditional cashier lanes open for customers and letting individual stores decide their self-checkout operating hours.
Dollar General management also shared its new three-pronged approach to checkout.
They said its roughly 9,000 stores would begin limiting self-checkout to five items or less and converting many kiosks to employee-assisted checkouts.
The plan also included completely removing the self-checkout option from 300 of its "highest-shrink" stores — those suffering from the most theft.
Latest self-checkout changes
How retailers are tweaking their self-checkout formula
Walmart shoppers were shocked when self-checkout lanes at various locations were made available only for Walmart+ members.
Other customers reported that self-checkout was closed during specific hours, and more cashiers were offered instead.
While shoppers feared that shoplifting fueled the updates, a Walmart spokesperson revealed that store managers are simply experimenting with ways to improve checkout performance.
One bizarre experiment included an RFID-powered self-checkout kiosk that would stop the fiercely contested receipt checks.
However, that test run has been phased out.
At Target, items are being limited at self-checkout.
Last fall, the brand surveyed new express self-checkout lanes across 200 stores with 10 items or less for more convenience.
As of March 2024, this policy has been expanded across 2,000 stores in the US.
NO MORE HIDING
Costco also announced changes to its self-checkout policy to crack down on members sharing their cards with non-members, according to Today.com.
Shoppers at the bulk store will be asked to show both their membership card and a photo ID to use self-checkout.
“We don’t feel it’s right that non-members receive the same benefits and pricing as our members,” Costco said in a statement last year.
Walmart has largely resisted making major changes to its self-checkout policy, despite complaints from both customers and employees.
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“From time to time, our stores adjust the use of staffed checkouts and self-checkouts... As the number of shoppers and associate staffing increases, these stores open self-checkout registers to manage the increased customer flow. This process isn’t new,” Kelsey Bohl, senior manager of corporate communications at Walmart, said in a statement to TODAY.com.
The California Senate is expected to vote on SB 1446 later this year.