Levi's, Toys 'R' Us Slash Jobs

Two big names are laying off hundreds after poor sales

Levi's 501
bburky/Flickr
The companies behind two iconic American brand names have announced plans to cut hundreds of jobs to meet a tough competitive environment. Jeans maker Levi Strauss & Co. and toy store operator Toys 'R' Us announced the planned layoffs after reporting weaker sales and too much price-slashing over the all-important holiday season.

San Francisco-based Levi Strauss will cut about 800 jobs around the globe. Most are management positions. The company said it had to slash prices to compete during the holiday season, and also said its sales of clothing in the juniors and misses departments were weak.
The company's Levi Strauss, Dockers and Denizen brands are sold in about 2,800 stores around the world.

The company has survived 160 years of changing fashions from its origins as a San Francisco dry goods store. It patented the first design for blue jeans in 1873. The company is still controlled by descendants of its namesake founder.

Toys 'R' Us Too

Toys 'R' Us announced Wednesday that it has eliminated 500 jobs as part of a strategic plan to turn around its struggling toy business. About 100 of those jobs were at its headquarters in Wayne, New Jersey.

Company sources said the company will focus more attention on its internet site, but has no intention of closing many of its brick-and-mortar stores, which continue to be profitable. It currently has about 1,700 stores around the world.

The company has faced strong competition in recent years from internet retailers. Its most notable competitor is Amazon.com, but specialized boutique sellers such as those showcased on Etsy.com have also captured parents' attention.

Toys 'R' Us reported Wednesday that its net sales for 2013 hit $12.5 billion. That's a decrease of $1 billion from the previous year. It cited poor sales of video games and baby toys, among other items, for a weak fourth quarter of the year.

The company traces its beginnings to a young entrepreneur named Charles Lazarus, who opened his Children's Bargain Town store to cater to the baby boom generation in Washington D.C. in 1948. Its mascot Geoffrey the Giraffe was born in 1960.

Levi Strauss To Eliminate 800 Jobs To Cut Costs

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Iselin007

The IT job cuts or losses are to to outsourcing:

More cuts are on their way. The Connecticut utilities agency this month approved an outsourcing plan that trims NU’s 400-person IT organization in half. Most of the layoffs – expected to number just 55, after voluntary departures and transfers – will happen through June of this year. NU is contracting with Infosys and Tata Consulting Services to provide information technology services

Visa's are causing your American jobs to go away.

April 02 2014 at 12:00 PM Report abuse rate up rate down Reply
Elizabeth

I agree. If the economy is getting better, how come my daughter and 20 co-workers lost their jobs with no notice, no severance and no health benefits.

March 27 2014 at 2:54 PM Report abuse rate up rate down Reply
August

How is this possible; the "EXPERTS" say the economy is getting better?

March 27 2014 at 10:45 AM Report abuse rate up rate down Reply

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