Wal-Mart Stores Inc. will reportedly cut up to 500 jobs at its headquarters in Bentonville, Arkansas in order to make operations more efficient.

Sources say that the retail giant may announce as soon as Friday hundreds of layoffs as the company struggles to offset the cost of increased wages, the Wall Street Journal reported.

In addition to investing $1.5 billion on wage hikes for half a million store workers, the retailer is also spending billions on its e-commerce firepower. Plus the strength of the U.S. dollar is pinching its results.

The 500 potential layoffs, however, will be a small drop in the bucket compared to the 18,600 people who work at Wal-Mart in Bentonville, reports Fortunate. Altogether, about 1.3 million Americans work for the company.

News about jobs cuts comes as Wal-Mart struggles to meet its bottom line and recover from the 26 percent dip in the company's stock this year.

Last month, Wal-Mart Stores CEO Doug McMillon dropped hints that the company would terminate some of its employees during a recorded call.

"For the back half of the year, we will manage these items closely with a continued commitment to efficiency, cutting costs where appropriate, even in a period of investment," he said.

He also put emphasis on his focus on stores as the earnings driver for the company over the summer during the company's annual shareholders' meeting.

"There are no cash registers in the office," McMillon told analysts in June, Reuters reports.

Local media outlet City Wire heightened speculation of job losses in Bentonville in recent weeks. Meanwhile, there has been an influx of resumes from employees at the world's largest retailer to recruiting firms who felt concerned about losing their jobs. Suppliers have also begun preparing themselves to face cuts that could hurt their local operations.