Best Buy cuts store jobs to help boost profits
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Best Buy Co. is cutting store jobs across the country, as the electronics and appliance retailer works to lower costs as its customers change their spending habits.
The retailer cut hundreds of jobs in stores over the past week, including some workers who do jobs such as helping people purchase or plan home-entertainment layouts, according to people familiar with the situation.
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"With an ever-changing macroeconomic environment, including customers shopping more digitally than ever, we have made adjustments to our teams that include eliminating a small number of roles," said a company spokeswoman. Best Buy has job openings in other roles and is continuing to invest in areas of the business such as in home services, healthcare and stores, she said.
Best Buy had around 105,000 workers in the U.S. and Canada as of January, down from nearly 125,000 workers in early 2020, according to financial filings.
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The latest job cuts at Best Buy come as the overall U.S. job market remains strong. The unemployment rate dropped to 3.5% last month, a half-century low also seen just before the pandemic in early 2020, according to the Labor Department. But a handful of major employers are pulling back on hiring or cutting some jobs. Walmart Inc., the country's largest private employer, cut hundreds of corporate jobs earlier this month. Ford Motor Co. is preparing to cut thousands of white-collar workers, while technology giants such as Microsoft Corp. and Facebook parent Meta Platforms Inc. have pulled back on hiring for certain roles.