(NEXSTAR) — Target is preparing to eliminate roughly 1,800 corporate positions, The Wall Street Journal and CNBC reported Thursday, citing an internal memo sent out by incoming CEO Michael Fiddelke.
The move impacts roughly 8% of the Minnesota-based retailer’s global headquarters team, the memo said. Per The Wall Street Journal, 1,000 global corporate employees will be laid off, while 800 open positions will be cut. About 80% of those impacted roles are in the U.S., the outlet noted.
“Decisions that affect our team are the most significant ones we make, and we never make them lightly,” Fiddelke wrote in the memo obtained by CNBC. “I know the real impact this has on our team, and it will be difficult. And, it’s a necessary step in building the future of Target and enabling the progress and growth we all want to see.”
Fiddelke went on to say other anticipated changes will include accelerating technology and elevating “the guest experience with every interaction.”
“Put together, these changes set the course for our company to be stronger, faster and better positioned to serve guests and communities for many years to come,” concluded Fiddelke, the company’s chief operating officer until his promotion takes effect in February.
While Target did not immediately respond to Nexstar’s request for comment, a spokesperson told CNBC that roles in its store and supply chain are not impacted.
Target has seen a decline in sales since spiking in 2021, CNBC reports. The retailer, often one to launch a hiring surge for the holiday shopping season, has not offered figures on its hiring goal for this year.
Target will, however, offer current workers additional hours and then tap into a separate pool of workers — 43,000 — who pick up shifts. The Minneapolis-based company also hires seasonal workers across its nearly 2,000 stores and more than 60 distribution facilities to meet demand, it said.
The Associated Press contributed to this report.
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