A little over a year ago, Best Buy announced they would be shrinking their store footprints and moving to smaller, Best Buy Mobile locations in order to keep costs down. Well, it appears that cutting the size of the stores has not been enough and now the workforce cuts will commence. Best Buy will be eliminating 2,400 jobs, which comes out to 1.4 percent of Best Buy's positions. It is also being reported that the reduction will happen immediately.
Inside the 2,400 people who won't be working for the blue box anymore are 600 Geek Squad employees and 1,800 other jobs in the stores, all to be cut by August 1st, which gives those who will be termed about two weeks warning before they no longer have a job with a blue polo or black tie. Best Buy will be offering severance and employment assistance to those who will be fired. This all comes as no surprise to people in the retail space, as Best Buy has been trying to fend off Amazon and Wal-Mart as their top competitors, after successfully putting Circuit City to shame no more than three years ago. Best Buy posted a $1.7 billion Q4 loss earlier this year and announced it was closing 50 stores right off the bat but we knew the job cuts were only the next step of the plan.
For more on the job cuts, follow the break.