Macy’s has announced another round of store closures, including locations in Colorado, Maryland, Hawaii and California.
The stores, all located inside malls, will shut their doors in January. The company will also have a clearance sale that will run for 8 to 12 weeks.
The company will offer employees impacted jobs at nearby locations or severance packages, Macy’s said in an emailed statement to USA TODAY.
The store previously announced closures in both 2020 and 2021. The decision is part of the company’s Polaris strategy, which was announced in February 2020.
The closures come amidst a rise in department store downsizing, including staples such as J.C. Penney and Sears.
But Macy’s said that while it is closing four stores, the company has made steps to recover and grow, including opening new off-mall, smaller-format stores in 2022. The company now has eight of them.
The company also noted that it opened 42 Macy’s Backstage locations, bringing the total to more than 300 nationwide.
The company’s Polaris strategy, aimed to help the company “stabilize profitability,” includes:
- Strengthening customer relationships
- Curating quality fashion
- Accelerating digital growth
- Optimizing store portfolios
- Resetting cost base
Also part of the program included upgrading an additional 100 stores in 2020, investments in merchandising strategies, technology improvements, talent and local marketing.
“We are taking the organization through significant structural change to lower costs, bring teams closer together and reduce duplicative work,” said Jeff Gennette, CEO of Macy’s, at the time. “The changes we are making are deep and impact every area of the business, but they are necessary. I know we will come out of this transition stronger, more agile and better fit to compete in today’s retail environment.”
