March 2 (UPI) — Department store JCPenney said Friday it plans to cut 360 jobs at its U.S. headquarters and stores across the country, in an effort to save millions in expenses.
JCPenney said it’s cut jobs across various departments at its Plano, Texas, headquarters — while more than 250 positions were eliminated in regional offices and stores.
The staff cuts will save the company $20-$25 million, JCPenney said.
“Just as we conduct a review of our stores and supply chain operations each year, we continually evaluate the productivity of our Home Office structure to ensure that it efficiently aligns with the business,” the company told CNBC. “Certain positions have been eliminated as a result of this annual assessment.”
JCPenney also appointed Joe McFarland as executive vice president and chief customer officer, and Therace Risch as chief information and digital officer.
The department store’s announcement came the same day as it published its fourth quarter earnings, which were short of expectations.
Total net sales in 2017 decreased to $12.5 billion, compared to $12.55 billion in 2016.
However, JCPenney said sales increased 2.6 percent for the fourth quarter — with jewelry, home, Sephora, footwear and handbags and salon the company’s top performing divisions.
“We are encouraged by our results for the fourth quarter and for fiscal 2017,” JCPenney CEO Marvin R. Ellison said. “Through the hard work and dedication of the entire JCPenney team, we delivered our second consecutive year of positive adjusted earnings.”
