Of course Miss Ginger is sitting pretty! She's always pretty! But she's pretty happy, too, because she still has a job!
If you read a paper or watch the news, you will probably see the story that "America's Favorite Department Store" has announced 7,000 jobs eliminated nationwide. It sounds like a huge number, but it's only 4% of a workforce totally over 150,000 people!
Rumors have been circulating throughout the company literally for years, and with the current state of the economy we all knew something was coming down the pipe. And we knew it would happen this week, since it's the first week of the new fiscal year. We just didn't realize how drastic it would be.
Since the merger 3 years ago, we have operated as 4 "divisions" with buying offices in New York, Atlanta, Miami, and San Francisco. Each had a full set of officers and buyers, as well as marketing, accounting, HR, etc. Huge offices each with lots of people, working as 4 parallel units with it's own group of stores. Now it will be one really huge office, with the same functions serving 800 stores at the same time. Most of the layoffs will happen in Atlanta, Miami, and San Francisco, and Miss G is so sorry that some great people in Atlanta will be losing their jobs.
But interestingly enough, there is one job function in the entire organization that will benefit from this new structure. As divisions are eliminated, our stores will be aligned into regions, and regions into districts. The whole idea is to push more of the decision making out of huge divisional offices and move it into mulitple district offices across the country. The pivitol position in this whole restructure is Miss Ginger's position, which gets divided into 2! So Miss G will get a partner to do 1/2 of her job (planning), her least favorite part, and she will continue to do the other half (merchandising), which is her favorite part of the job. And she keeps her same boss whom she adores, so that makes it all the better!
Here's the announcement in Houston. Chances are there will be a similar article in your local paper!
Macy's says it's cutting 7,000 jobs
Chronicle staff and wire
Feb. 2, 2009, 1:14PM
NEW YORK -- Macy’s Inc. announced today that it will cut 7,000 jobs, or 4 percent of its work force, and slash its dividend as the department store chain looks to lower expenses and preserve cash amid a severe pullback in consumer spending.
Cincinnati-based Macy’s said the job cuts, which include some unfilled jobs, will come at offices, stores and other locations. The company currently employs about 180,000 people.
A spokesman for the chain in Houston declined comment on possible cuts in this area, referring questions to national information officials who weren't immediately available.
Macy’s had already announced last month that it would close 11 stores, affecting 960 employees, after retailers suffered through the worst holiday season in decades.
Macy’s said it expects the latest job cuts and other actions to lower its selling, general and administrative expenses by about $400 million annually starting in 2010.
The company also slashed its quarterly dividend to 5 cents from 13.25 cents. The dividend will be paid on April 1 to shareholders of record March 13.
Department stores have been especially hard-hit by the poor economy as shoppers turn to discount stores. Last month, department store chain Gottschalks Inc. put itself up for sale and said it had filed to reorganize in a Chapter 11 bankruptcy. Neiman Marcus Group Inc. said it was cutting about 375 jobs.
Macy’s also announced plans to roll out its strategy to localize merchandising to specific markets on a national scale. It began testing the strategy in 20 regional markets last spring.
As part of the restructuring, the company will begin eliminating its Macy’s division structure and integrating all functions into a single organization. Macy’s central buying, merchandise planning, stores senior management and marketing functions will be located primarily in New York.
Corporate-related businesses functions such as finance, human resources, law property development and purchases will be located primarily in Cincinnati.