Best Buy Canada will be cutting 950 full-time jobs across its stores in an attempt to stave off competition and streamline its business.
The cuts will also affect the retail giant’s counterpart Future Shop. Best Buy announced today that it will attempt to reduce layers of management and combine some of its sales departments.
However, the changes will not include any store closures.
“We have been focusing on simplifying our store structure and increasing efficiencies to better align with the changing needs of our customers,” the company’s President and COO said in a press release.
Best Buy did not return calls from JNM Journal.
Troubled Retail Industry
Canadian retailers have been struggling with competition from the US with the entry of discount stores like Walmart and Target.
Best Buy’s announcement comes only a day after troubled retailer Sears Canada Inc announced another round of layoffs, cutting 624 jobs. This is on top of the 1,628 job it terminated last month.
Some employees took to Twitter after the announcement:
What a rotten day at work. “@haligonia: Best Buy Canada cutting 950 jobs http://t.co/CqnpGXJUTT”
— Holly Churchill (@thehollyc) January 30, 2014
Peace out futureshop, another nail in the coffin RT @CP24 Best Buy Canada cuts 950 jobs in effort to thin management http://t.co/yWBQ1j2Ykp
— Mark Stephens (@Kilprot) January 30, 2014
Meanwhile, other Canadians tweeted their growing concern for the country’s retail industry.
“Best Buy Canada to lay off 950 employees. http://t.co/RajtsWI67A” We need new government with some concrete plans to improve economy! MUST! — Zoran Bora Churchin (@zoranchurchin) January 30, 2014
Is any company expanding in #Canada? “@1310NewsDay: new! Best Buy Canada will cut 950 jobs.” — Mai Habib (@Maikeepsgoing) January 30, 2014
Best Buy lays off 950, Sears: 624, Bombardier: 1700 workers. University tuition rising to record levels. Welfare is the only thing paying.
— JayEhWhy (@JaymesY) January 30, 2014
After cutting 15 stores last year, the retailer has 265 across Canada- including its Best Buy Mobile and Future Shop brand.
