Macy’s slashes jobs after holiday bruising

Will cut thousands of workers at stores, offices, call center

The total number of layoffs at Macy’s and Bloomingdale’s, discounting those expected to be reassigned, is more than 2,100.

Macy’s will eliminate more than 4,500 positions as part of a restructuring plan to turn around the department store’s slumping sales, the company said Wednesday.

Citing the need for more efficiency and productivity, Macy’s plans to make several cuts across its stores, offices and a call center, including eliminating an average of three to four positions at each of approximately 770 Macy’s and Bloomingdale’s stores.

About 3,000 associates will be affected, but Macy’s said roughly half are expected to be placed in other positions.

An additional 600 back-office positions will be eliminated as well, with about 150 people being reassigned elsewhere; Macy’s will also offer a “voluntary separation opportunity” to roughly 165 senior executives who meet certain age and service requirements. The total number of layoffs, discounting those expected to be reassigned, is more than 2,100.

Macy’s shares, which are down more than 50% from their 2015 high, jumped 4.8% in after-hours trading after the news came out.

The announcement comes as Macy’s suffered a significant sales decline during the holiday season.

Sales in November and December at stores open at least a year fell 4.7% from 2014.

Macy’s CEO Terry Lundgren said the retailer faced difficulty due to unseasonably warm weather and lower spending by international tourists.