In a three-year plan that it says will stabilize profitability and set a foundation for future growth, Macy's, Inc. announced Tuesday that it is closing 125 stores nationwide and slashing 2,000 corporate jobs.
The job cuts will see 9% of the company's workforce let go, although it's unclear if additional employees will lose jobs associated with store closures.
The 125 store closures will happen at the least productive stores across the country over the next three years. It remains to be seen if any Minnesota Macy's will be shuttered.
There are ten Macy's stores in Minnesota: Bloomington, Burnsville, Edina (two stores), Maplewood, Minnetonka, Rochester, Roseville (two stores), St. Cloud.
"We are confident the strategy we are announcing today will allow us to stabilize margin in 2020 and set the foundation for sustainable, profitable growth," said Jeff Gennette, the company's chairman and CEO.
Gennette said the closures and job cuts are "necessary," indicating that layoffs will begin this week.
“We are taking the organization through significant structural change to lower costs, bring teams closer together and reduce duplicative work. This will be a tough week for our team as we say goodbye to great colleagues and good friends," he said.
Perhaps another hint to where the closures happen is a nugget in a company release that says "growth treatment" will take place at stores in "best malls," while the closures will happen in "lower tier malls."
All of Macy's Minnesota locations are in malls, including at Rosedale, Southdale, Ridgedale and the Mall of America.
The retailer said it would be focusing on its "magnet" stores and also building more of its Macy's Backstage stores as freestanding locations.