Retailers have been cutting back since the beginning of the new year, reducing staff, closing stores, shutting down catalogs and putting in place other measures to ensure their survival. The slowing down of the economy has affected a whole range of retailers and analysts are unsure of when the tumble will come to an end. JCPenney cut 150 jobs last week and will be combining merchandising and marketing operations for its retail and its direct sale businesses. The company will also close one of its call centers which takes care of its catalog orders and is run by 275 people.
Eddie Bauer is also making changes and will be working to make its operations more competitive and will be cutting its staff by 16%. The company will also be trimming its overhead costs which come to around 41%, which are higher than the industry standard of 35%-37%. Home Depot announced that it will be cutting jobs as well; around 500 jobs or 10% of its staff at its headquarters.