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Penney cuts 350 workers at Texas headquarters as chain struggles to transform business
NEW YORK (AP) ¯¯¯ J.C. Penney Co. says it is laying off 350 more workers at its headquarters in Plano, Texas, as the department store struggles to transform its business under a new CEO.
The cuts, announced Tuesday, follow the company's move in April to eliminate 600 workers at its headquarters.
Penney is cutting costs amid the difficult task of turning around its business. It is overhauling every aspect of its operations, from a new pricing plan to new brands. The new pricing plan, which cuts hundreds of sales events, has turned off shoppers. The company reported a bigger-than-expected loss and a 20 percent drop in revenue in the first quarter.
Penney now has 3,100 workers at its headquarters, a 29 reduction from the 4,400 employees it had before the layoffs this spring.