US Macy's announces 2500 layoffs

Source: Internet
Author: User
Keywords Macy's layoffs announcements department stores 250

This year's Christmas shopping season, the U.S. Entity department store again suffered a cold winter, the growth is very small, meanwhile, online shopping has still achieved double-digit growth. Physical department stores, have to adjust the response. January 8, the United States department store representative Brand Macy's announced that it will lay off 2500 people, while in the online sales business, increase employee workers.

Macy's announced that 2,500 employees will account for 1.4% of the total number of employees. After the layoffs, Macy's can save 100 million of dollars a year, but the cuts will cost between 1.2 and 135 million dollars.

Macy's announced that it would close five department stores and open five new stores.

In a statement, Macy's said the job cuts were aimed at sustaining continued profits and sales growth over the next few years, and management said it had identified a number of areas where efficiency needs to be improved.

Behind Macy's layoffs is actually a positive adjustment by physical retailers to online retailing. At the same time as the physical shop layoffs, Macy's will be in the online retail sector to increase the hiring of a large number of staff to enhance and Wal-Mart, Amazon and other online retailers competitiveness.

Macy's shares surged 5% on the day as investors gave active support to the decision to boost online retailing.

According to reports, Macy's in the United States opened 840 department stores, 2012 total income of 27.7 billion U.S. dollars. The company said its sales, which included online retail and physical stores, grew 3.6% per cent during the Christmas season of December this November, with the overall "success" of the Christmas season. Obviously, this increase is not the same as online retailing.

Macy's announced a 3721.html ">2014 annual performance forecast, which is estimated to reach 4.4 to 4.5 dollars per share, more than the analyst's $4.32 forecast."

According to reports, and Penney and Kohl ' s these department store rivals, Macy's in recent years in the online retail innovation moves, such as by the distribution of physical stores around the world, responsible for the distribution of online orders of netizens. In addition, during the Christmas shopping season, Macy's on the discount is also "more ferocious."

In the press of online retailing, layoffs and closures are no longer news for U.S. department stores. In early 2013, Penney laid off 2200 people, and in 2012 a total of 19,000 employees lost their jobs. Last October, another department store brand target also announced layoffs of 150 people. Back to Tencent home >>

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