Investing.com -- Macy's (NYSE:M) will reportedly cut about 3.5% of its workforce and shutter five of its stores as the department store ramps up efforts to cut costs amid a difficult demand backdrop.
The department store will cut about 2,350 jobs, The Wall Street journal reported, citing a memo sent to employees Thursday afternoon and people familiar with the situation.
“As we prepare to deploy a new strategy to meet the needs of an everchanging consumer and marketplace, we made the difficult decision to reduce our workforce by 3.5% to become a more streamlined company,” the company said in a statement, according to CNBC.
The news comes as the rumors continue to swirl about potential suitors eyeing a bid for the department store.
Private equity firm Sycamore Partners Management LP is reportedly weighing a bid for Macy's Inc., Women's Wear Daily reported, citing two sources.
Macy's was down 0.5% in afterhours trading following the news.
What is the aggregate analyst price target on Macy's? Find out with Investing Pro. For an extra 10% discount, use Coupon: Canada2024.
Don’t miss the New Year’s sale, for up to 60% off. Only until Jan 31.