Thursday, January 23, 2014

Target's troubles continue, with layoffs and slashed benefits...

USA Today reports that Target is laying off 475 workers after the massive information-security breach over Christmas.

Target has also eliminated another 700 vacant positions over the last six months, company spokeswoman Molly Snyder said. The cuts are across the company's operations, although no workers in Canada are being cut. "Retailing is in a transformative time,'' Target spokeswoman Molly Snyder said. "We're making decisions that will help us thrive and grow in the future.'' Snyder declined to say what parts of Target bore the brunt of the cuts, although news outlets in the Twin Cities area (where Target is headquartered) reported large cuts in marketing, finance and technology services functions.

Meanwhile, Target also announced plans to drop health care coverage for its part-time employees on April 1, becoming the latest national retailer to scale back benefits in response to new regulations under the federal Affordable Care Act. Target follows the lead of Trader Joe's and Home Depot, which also have announced plans to scale back on employee health benefits.

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