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Macy’s to cut more than 4,500 jobs

Published 07 January 2016

Macy’s will cut more than 4,500 jobs as part of a restructuring strategy to turnaround the dipping sales of the department store.

Macy's

The measures, which will be initiated in early 2016, are intended to bolster productivity and efficiency.

Around 2,100 job cuts will be done at stores to cut down duplications in operations at back-office while the remaining 2,700 job cuts will come through store closures which the department store had announcement in last September, the company spokesman Jim Sluzewski was quoted by NPR as saying.

Macy's said that around half of those laid off would be offered alternate positions.

This decision comes after Macy's saw its sales dip significantly during the holiday season - sales during the last two months of 2015 at stores open fell 4.7% from the previous year.

Macy's CEO Terry Lundgren was quoted by USA Today as saying that it had experienced a tough holiday season due to warm weather and lower spending among international tourists.

About 80% of the dip in sales could be because of lack of sales of cold-weather gear such as boots and sweaters.

The firm also listed which 40 Macy's stores it plans to close or had closed.

Out of the 40, 36 will close in early spring while the remaining stores closed in 2015.

Prior to the closures, the firm had 770 Macy's stores in the US.


Image: Macy's initiates revival plan with massive job cuts. Photo: Courtesy of Ingfbruno/Wikipedia.