Hudson’s Bay announces 2,000 layoffs

Cuts will offset retail sector challenges and save $350 million annually

Hudson’s Bay Co. announced Thursday it is eliminating 2,000 jobs throughout North America to help offset various challenges it’s facing within the retail sector, which has been beset by store closures with the advent of online shopping.

The retail giant said the layoffs are intended to save $350 million annually once the plan is fully implemented by end of fiscal 2018. Some of the layoffs were previously announced in February, the company said.

“Savings from the changes we have announced today are required to help mitigate the pressures we are facing in the current environment,” Hudson’s Bay CEO Jerry Storch said in a statement after markets closed.

“As we have developed our plan, we have been determined to become not just a leaner company but also a better one.”

The announcement came as HBC released its first-quarter earnings, which showed a net loss of $221 million, more than double the $97 million loss it had in the same period last year. Retail sales were about $3.2 billion, a decrease of $100 million, or three per cent, from the prior year.

Founded in 1670, Hudson’s Bay is the oldest company in North America.

It employs more than 66,000 people and operates more than 480 stores under banners such as the Bay, Saks Fifth Avenue, Lord & Taylor, Gilt, and Saks Off 5th.

Before the announcement, shares in HBC closed down 11 cents, or 1.13 per cent, to $9.62 on 318,378 shares.

The Canadian Press

Just Posted

B.C. BUDGET: Surplus $374 million after bailouts of BC Hydro, ICBC

Growth projected stronger in 2020, Finance Minister Carole James says

VIDEO, PHOTOS: Family Day in Mission

Residents flocked to the Mission Leisure Centre to enjoy free, family-friendly activities

ACES grows the love of gardening with annual seed exchange

The event will be returning to Harrison Mills Community Hall on March 1

Slippery road conditions plague Mission drivers

Tuesday mornings snowfall is creating a challenge for motorists

How much does your city spend per person on snow removal?

Black Press Media compares 2018 ice and snow removal budgets of various Lower Mainland communities

Students give two thumbs up to no more B.C. student loan interest

Eliminating the loan interest charges could say the average graduate $2,300 over 10 years

Manitoba ‘pauses’ link with ex-B.C. premier Gordon Campbell after allegations

Campbell had been hired to review two major hydro projects

Heritage minute features Japanese-Canadian baseball team, internment

The Vancouver Asahi baseball team won various championships across the Pacific Northwest

UPDATE: Woman, off-duty cop in critical condition after stabbing outside B.C. elementary school

The officer was interceding in an alleged assault when he and the woman were stabbed

$10-a-day child care not in 2019 budget, but advocate not irked

Sharon Gregson with the Coalition of Child Care Advocates of B.C. says NDP on track to deliver promise

B.C. Seniors Advocate questions labour shortage in care homes

Are there really no workers, or are care aide wages too low?

B.C. business groups worry about looming economic decline in wake of NDP budget

The party’s second government budget focused on plenty of spending, business advocates say

Missing Surrey snowshoer caught in avalanche found dead on Vancouver mountain

North Shore Rescue resumed its search today after efforts were temporarily halted Tuesday due to snowstorm

Man injured in police shooting near Nelson has died: B.C. police watchdog

The death follows an incident in Bonnington on Feb. 13

Most Read