Reports: Sears to Lay Off 3,300

Share this content:
Last week was dismal for Sears, Roebuck and Co., Hoffman Estates, IL.


First came news of plummeting sales, net income and operating income in its quarterly earnings. Chairman/CEO Alan J. Lacy cited weak demand in June and "the overhang of our spring apparel assortment and inventory issues." Net income was $53 million in the second quarter ended July 3 compared with $309 million last year, down 83 percent. Domestic comparable-store sales fell 2.9 percent.


More bad news came for many of the company's workers as news reports said 3,300 positions, representing 1.6 percent of the domestic head count, will be cut throughout the year. This includes 200 headquarters employees. The Chicago Tribune said 3,000 of the jobs are support personnel "performing administrative and back-office tasks in the field."


Analysts ripped company management, including Lacy.


"We continue to be affected by product assortment and inventory issues" in apparel, Lacy was quoted as saying. "We lacked a sufficient amount of fashion-oriented spring products in what has been a strong fashion-driven season."


Also, Lacy told analysts in a conference call that sales of Lands' End merchandise "have been flat at Sears stores and soft in the catalog for the first six months," according to a report in the Milwaukee Journal Sentinel. He reportedly also said the brand has been too expensive for customers in lower-income areas. Sears said it has reduced its offering of Lands' End children's clothing in stores.


close

Next Article in Multichannel Marketing

Sign up to our newsletters

Company of the Week

We recently were named B2B Magazine's Direct Marketing Agency of the Year, and with good reason: We make real, measureable, positive change happen for our clients. A full-service agency founded in 1974, Bader Rutter expertly helps you get the right message to the right audience at the right time through the right channels. As we engage our clients' audiences along their journey, direct marketing (email, direct mail, phone, SMS) and behavioral marketing (SEM, retargeting, contextual) channels deliver information relevant to the needs of each stage. We are experts at implementing and leveraging marketing technologies such as CRM and marketing automation in order to synchronize sales and marketing communications. Our team of architects and activators plan, execute, measure and adjust in real time to ensure the strategy is working as needed and change things if it's not.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above