Kohl's to Lay Off 250 Workers Following Weak Holiday Sales
Kohl's is laying off 250 workers as it restructures parts of its business following a dismal holiday season, reports CNBC. As part of the job cuts, Kohl’s is getting rid of a layer of regional store leadership roles as well as restructuring teams in its merchant organization. The changes will help Kohl’s streamline communications and eliminate the overlap of management positions, Kohl’s Senior Vice President of Communications Jen Johnson said in an emailed statement. According to Johnson, Kohl’s will offer the affected employees severance packages and outplacement services, and the retailer isn't closing any offices or stores.
Total Retail's Take: This announcement is unfortunate but not surprising. Traditional brick-and-mortar retailers seem to have been hurt by the 2019 holiday season across the board. Consider that Kohl's competitor Macy's announced job cuts and store closures just last week. This news from Kohl's calls into question the brand's partnership with Amazon.com to accept returns from the online retail giant at its stores, which expanded to all Kohl's locations last April. Specifically, is the partnership driving incremental foot traffic and in-store sales for Kohl's. The program may not have yet delivered the boost in foot traffic and in-store conversions that Kohl's was looking for. As traditional retailers try any number of ways to get shoppers into their stores and keep customers loyal, companies will need to adjust and streamline their organizations. It seems that Kohl's is taking action to it's lean and efficient, yet still meeting customer needs.
Kristina Stidham is the digital content director at Total Retail and sister brands Women in Retail Leadership Circle and Women Leading Travel & Hospitality at NAPCO Media. She is passionate about digital media and handles video, podcast and virtual event production for all brands. You can often find her at WIRLC, TR, WLT&H or industry events with her camera and podcasting equipment—or at home on Zoom—recording interviews with thought leaders and business executives.
Kristina holds a B.A. in Media Studies and Production from the Temple University Klein College of Media and Communication in Philadelphia. Go Owls! When she's not in the office, she loves to go on long walks, sing around the house, hangout with her family and two pet guinea pigs, and travel to new places.