Macy’s to Move San Francisco Tech Offices to New York, Atlanta
(Bloomberg) -- Macy’s Inc. is closing its San Francisco technology offices, as the department-store company prepares to discuss a three-year growth plan with its investors in New York on Wednesday.
Macy’s will offer severance to eligible staff at the offices while some other employees will be able to transfer, spokeswoman Andrea Schwartz said in an e-mailed statement confirming the closures. The offices’ operations, including Macy’s Product and Digital Revenue, .com and Macy’s Technology, will move to its New York and Atlanta locations.
“We believe these changes will eliminate any duplication of efforts, bringing these teams closer to our business teams and strategy,” Schwartz said. Macy’s has 880 employees and about 200 contractors at the San Francisco building, Schwartz said, without giving details on the number of expected job losses.
Macy’s is holding an investor day on Wednesday where it’s expected to unveil details of a three-year strategy amid an effort to adapt as consumers shift increasingly online. The company has been closing under performing stores and working to reduce superfluous inventory for several years. Last month, it said it would shutter 28 namesake stores and one Bloomingdale’s.
Macy’s shares rose as much as 3.7% on Tuesday. The company was the second-worst performing stock in the S&P 500 last year, when the shares fell 43%.
Macy’s continues to maintain its 20 stores in the San Francisco area, including its flagship location in the city’s Union Square, according to the statement. “We look forward to continuing that legacy through investments in the store,” Schwartz said.
The tech office closures were earlier reported by Business Insider.
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