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Nordstrom to eliminate 300 to 400 jobs


Nordstrom announced it will phase out 350 to 400 jobs, primarily in its corporate center and regional support teams, through the end of the second quarter.

The retailer described the reductions as changes in its operating model in order to “continually evolve with the expectations of its customers, ensure it is best positioned to respond to the current business environment, and meet long-term growth plans.”

The changes are estimated to generate savings of approximately $60 million in fiscal 2016.

In an effort to minimize impacts on current employees, the company said it will first look at such options as closing unfilled open positions. Employees whose roles are eliminated will receive separation pay and benefits.

The job cuts come amid a slowdown in sales that has impacted a host of retailers recently, and follow job cuts by Walmart and Macys. It also comes as retailers continue to struggle to integrate their online and physical channels.

In announcing the job phase out, Nordstrom noted that its technology group is focused on strengthening its ability to deliver on e-commerce and digital initiatives, and proactively addressing opportunities to improve supply chain and marketing effectiveness.

"We will never change our commitment to serving customers, but recognize how they want to be served has been changing at an increasingly rapid pace," said Blake Nordstrom, co-president, Nordstrom. "Meeting our customers' expectations means we must continually evolve with them.”

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