Us Department Stores Regroup Collective Layoffs Again

This is the second major layoffs in US Department stores since the 08 financial crisis.

Although today is not a financial crisis, but the economic growth is slowing, consumer shopping is more cautious.

According to the recent survey of consumers by Market Place, 1/4 of people are unable to sleep because of their property problems.

Dallas news also said that another reason for the decline in store sales is that young people now form families later than the previous generation, so there is no need to buy household products on a large scale.

At the same time,

The expansion is also the reason why sales in this industry are deserted.

WAL-MART, Neiman Marcus and JC Penney have been laid off substantially since this year.

Layoffs do not involve employees related to product sales, but employees such as business administration and administration.

The overall purpose is to improve the company's operational efficiency, less bureaucracy and increased revenue.

WAL-MART CEO Mcmillion has explained to its employees on the issue of layoffs: "our customers are changing and the retail industry is changing. We must also make changes.

We need to become a more flexible company that can quickly adjust the changes in customer needs.

2.5% or 450 people were cut off from 18000 employees at headquarters; Neiman Marcus cut off 3%, 500 people from 4800 staff in Dallas headquarters; JC Penney headquarters cut 9% of its 300 employees, or about 300 people.

WAL-MART has laid off 50 people in February this year. In August, it showed that the second quarter profit still dropped by 15% compared with the same period last year.

At the same time, WAL-MART will invest billions of dollars to expand its e-commerce platform to compete with Amazon and Target.

One of the big changes is WAL-MART's new logistics center to support e-commerce platforms.

If customers order groceries online, they can drive to the logistics center and pick up goods without getting out of the car.

Neiman Marcus has 41 similar stores in the US, focusing on selling international first-rate luxury brands.

The company also has 42 discount centers and 2 Bergdorf Goodman on Fifth Avenue in New York.

Up to now, Neiman Marcus has sales of US $5 billion 100 million, but its profit is only US $14 million 900 thousand.

When the last layoff of Neiman Marcus was in the financial crisis, sales fell by $1 billion, and 950 people were laid off due to a 20% decline in performance.

The cost of the layoffs has not been announced, but the company's restructuring is expected to invest in new growth areas, such as the German luxury goods retailer MyTheresa bought last year, and it will also reinvent its existing stores.

JC Penney tried to pform the company into a hippie style company during the 2012-2013 years to attract more young people, but it was not welcomed by customers, and is now slowly recovering.

Since January this year, 39 stores have been closed, and 2250 people have been laid off.