Lowe's Cuts 600 Corporate and Support Jobs to Focus on Store Employees

Lowe's has cut approximately 600 corporate and support roles, impacting less than 1 percent of its total workforce. The move is aimed at strengthening the home improvement retailer's focus on frontline associates and better aligning resources to support stores and employees. A number of LinkedIn posts indicated employees impacted worked in product design, UX and UX content — responsible for digital products including websites, apps and software.

Total Retail's Take: The announcement from Lowe's comes on the heels of another big-box retailer taking a similar action with its workforce last week: Target said in an email to employees obtained by CNBC that it will invest more in store labor and cut about 500 other roles at distribution centers and regional offices. What's driving these changes? Traditional brick-and-mortar retailers such as Lowe's and Target are coming to recognize that their stores, which account for the vast majority of their total sales, are the gateway to establishing relationships with customers. Physical stores are serving as their brand hubs, with digital channels (websites, apps, social pages, etc.) in support of the in-store experience. While digital innovation is certainly critical to future growth, retailers must not forget that their stores, and the associates that work within them, are often the first impression shoppers have of their brand. Investing in stores can have a positive halo effect for the rest of the brand ecosystem, including e-commerce.