J.C. Penney is closing its distribution center in Wauwatosa, Wis. and cutting 670 jobs. USA Today reports the retailer will begin shutting down the 2 million-square-foot warehouse and customer service operation this summer. The move comes as J.C. Penney looks to reduce its supply chain network, which "is oversized relative to its national store footprint," company spokesman Carter English said to USA Today. The distribution center was built in 1963.
Total Retail's Take: It's always sad to hear of a warehouse or store closing. J.C. Penney is among the department store chains that have been closing stores to become more profitable and better able to compete in a changing retail environment. The retailer has somewhat recovered from the disappointing Ron Johnson era under the leadership of Marvin Ellison, but it still has a ways to go. To help expedite the turnaround process, J.C. Penney has recently announced some initiatives that are more customer-centric, such as a subscription service for big and tall men; its ongoing pop-up partnership with beauty juggernaut, Sephora; and more.