Gap Inc. is the latest retailer to announce a new round of jobs cuts.
The apparel retailer will cut hundreds of roles from its global workforce as it undergoes a restructuring process, The Wall Street Journal reported, citing people familiar with the situation. FN has reached out to Gap for a comment.
According to the report, these layoffs are expected to be larger than the cuts from September, when Gap Inc. said it would eliminate 500 corporate roles. At the time, the job cuts mostly affected the retailer’s offices in San Fransisco and New York, as well as in Asia, and represented a combination of layoffs and the elimination of certain open roles.
Gap Inc. has begun notifying impacted employees in its international sourcing division and will notify impacted staff at the San Francisco headquarters this week, the report said.
Gap Inc. owns the Old Navy, Gap, Banana Republic and Athleta brands.With the news, Gap joins the growing list of retail companies cutting staff. Since the start of 2023, REI, Amazon, Bolt, Everlane, Kohl’s, Saks, Wolverine,David’s Bridal and more retail and technology companies have announced major cuts across their workforces.
The news also comes on the heels of a rough year for the apparel company, which currently in the midst of an executive search after former CEO Sonia Syngal stepped down from her role in July. In March, the company outlined actions, such as reducing layers of management, to simplify its structure. These measures were estimated to result in $300 million in annualized savings.
Gap Inc. had about 95,000 employees as of January 2023, according to a regulatory filing.