Macy’s Lays Off 2,350 Workers, Closes Five Stores

Department-store chain Macy’s is laying off about 3.5% of its workforce, approximately 2,350 employees, and closing five stores as it continues to downsize its massive retail business for the online shopping era, reported Nathaniel Meyersohn for CNN.

Since, 2015, Macy's has closed nearly 300 stores — almost one-third of its stores — and operates about 700 across its brands. I Photo: jpellgen (@1105_jp) Flickr

“As we prepare to deploy a new strategy to meet the needs of an ever-changing consumer and marketplace, we made the difficult decision to reduce our workforce by 3.5% to become a more streamlined company,” a Macy’s spokesperson told CNN.

Retailers often lay off employees and announce store closures after the holidays, especially if they had a sluggish sales season.

Macy’s stock price has dropped 75% from a peak of $73 a share in 2015. Since then, it has closed nearly 300 stores — almost one-third of its stores — and operates about 700 across its brands.

However, Americans spent at a faster clip in December compared to the previous month, the Commerce Department said this week.

The company opened its first Macy’s in 1858 and now operates about 500 Macy’s branded stores, as well as 55 of the more upscale Bloomingdale’s chain.

Macy’s is emblematic of the holiday season, sponsoring both the Thanksgiving Day Parade In New York City that traditionally kicks it off and as the setting for, and employer of, Santa Claus in the 1947 classic film “Miracle on 34th Street.”

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