Dive Brief:
- Target announced in a filing Tuesday that it is laying off 1,700 employees at its Minneapolis headquarters, part of a previously announced $2 billion cost savings plan.
- The retailer also closed 1,400 open positions permanently.
- Target said that employees laid off will receive at least 15 weeks of pay plus additional severance amounts based on their length of employment with the retailer.
Dive Insight:
While clearly forecasted in Target's restructuring plans unveiled last week, these job cuts still sting, particularly for Minneapolis' local economy. Target is one of the largest employers in Minnesota, employing 13,000 people in Minneapolis alone. The Minneapolis Star-Tribune reported that Target CEO Brian Cornell has already assured Minnesota Gov. Mark Dayton that it will not move its headquarters from Minneapolis.