Macy’s cutting 2,500 jobs in reorganization
CINCINNATI — Macy’s Inc. said Wednesday it’s cutting 2,500 jobs and closing five stores nationwide as part of a reorganization to sustain its profitability.
Stores expected to close are in Arizona, Kansas, New York, Missouri, and Utah but none are in Illinois, said company spokeswoman Andrea Schwartz.
Of the 2,500 job cuts, about 450 will be from those five closed stores and the rest will be nationwide. Schwartz declined to say if any job cuts would happen locally.
The announcement comes on the heels of a strong holiday shopping season for the department store chain.
Macy’s said that it will reassign or transfer some workers and add some positions, leaving its workforce level at about 175,000.
While the Cincinnati-based company aims to close five stores, it plans to open eight others, leaving it with 844 stores nationwide once the changes are complete.
Macy’s opened a new story in July at Gurnee Mills, anchoring a new full-price wing in a shopping center known for outlet stores.
Macy’s says the moves will save it $100 million per year and forecast a 2014 profit above Wall Street’s forecasts.
ŸDaily Herald Business Writer Anna Marie Kukec contributed to this report.