Target cuts 1,800 corporate jobs in its first major layoffs in a decade
Target Corporation announced on October 23, 2025, that it will eliminate approximately 1,800 corporate positions—comprising 1,000 layoffs and 800 unfilled roles—representing about 8% of its corporate workforce. This marks the company's first major round of layoffs in a decade.
The decision, disclosed by incoming CEO Michael Fiddelke in a memo to employees, aims to streamline operations and simplify decision-making processes. Fiddelke identified excessive organizational complexity and overlapping responsibilities as obstacles to innovation and efficiency. The layoffs will primarily affect managerial roles at the Minneapolis headquarters, and will not impact store or supply chain employees. (Reuters)
Affected employees will receive compensation and benefits through early January, along with severance packages. This restructuring effort is part of a broader strategy to revitalize the company amid declining sales and investor concerns. Target has experienced 11 consecutive quarters of weak or declining comparable sales, leading to increased pressure for decisive action. (AP News)
This move follows a previous significant restructuring in 2015, when Target laid off 1,700 employees and left 1,400 open positions unfilled as part of a plan to save $500 million after a failed expansion into Canada and a data breach during the 2013 holiday season. (Star Tribune)
In early after-hours trading, Target's stock showed a modest uptick, hovering around the mid-$90s, as investors weighed the potential cost savings against the near-term disruption caused by the layoffs.
For more details, you can read the full report from Reuters: (Reuters)
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