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Best Buy to cut hundreds of jobs | Business

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Best Buy to cut hundreds of jobs

(BUSINESS JOURNAL) -- Best Buy Co. Inc. plans to cut hundreds of jobs throughout its U.S. store operations, according to a report in the New York Post.

The article, citing anonymous insiders, says the "layoffs could affect upwards of 2,000 managers," though the exact scope isn't known. The retailer does not plan to close any of its 1,055 U.S. stores at this time.

Best Buy, which reports its fourth-quarter earnings on Thursday, declined to comment. The chain has 19 stores in metro Atlanta.

Late last month, Best Buy announced it was laying off roughly 950 full-time employees at its Best Buy and Future Shop stores in Canada as part of a store-restructuring initiative. The company said it will consolidate sales departments and reduce management layers in an effort to "streamline its store operating model as part of the company's long-term growth strategy in Canada."

Exactly one year ago, Best Buy announced it was eliminating 400 jobs at its Richfield, Minn., headquarters as part of a broader plan to cut $725 million in costs. Those cuts similarly focused on "removing management layers and eliminating operational efficiencies."

Best Buy CEO Hubert Joly reiterated the need to continue cutting expenses during the company's holiday sales call last month.

"We will go faster and deeper in cost reduction," he said. "We need to be very frugal and lean."

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