This Popular MN Department Store is Cutting Jobs and Closing Stores
The way we shop has changed. Most notably, during and after the pandemic. Amazon's quick home delivery became super popular at a time that getting out to stores was difficult. Those routines stuck for many people and has made it difficult for brick and mortar stores to fare as well as they used to.
Now Macy's has announced that it has cut 3.5% of their workforce. That translates to more than 2,300 jobs. They also said they will close 5 stores. According to a report from CNBC the cuts were finalized with employees on January 26th.
That report also said that Macy's is attempting to turn their department stores into a brand that resonates with consumers that are shopping online and looking for value as well as take on competitors in the e-commerce space.
Good news for Minnesota is that none of our stores will close. There are currently stores in Bloomington, Minnetonka, Burnsville, Rochester, Edina, Roseville, Maplewood and St. Cloud. But we don't yet know how the job cuts will affect the stores.
Traditionally Macy's has been known for their big mall stores. But in a departure from that, part of Macy's plan is to open smaller shops outside of malls in an effort to get to consumers in the suburbs. The company says they'll open 30 of those smaller stores in strip malls over the next 2 years.
All of this is happening as a new CEO steps into place. Outgoing Jeff Gennette is retiring. The CEO of Bloomingdales, owned by parent company Macy's, Tony Spring will step into that role for Macy's.