The retailer said it was initiating the reorganization while operating "from a position of financial strength." While the company says it's financially strong, the reorganization should bring about several benefits.
"This reorganization in our business will empower decision-making, reduce management layers, streamline communications and drive greater efficiency in many areas of our business," said Jen Johnson, senior vice president of communications.
As part of the job cuts, Kohl's is getting rid of a layer of regional store leadership roles and restructuring teams in its merchant organization. Kohl's will offer the employees who are laid off severance package and outplacement services, Johnson said.
The news comes after a disappointing holiday season for the retailer. Kohl's brick and mortar sales declined 0.2% during November and December, missing analyst estimates. The company also said its women's business struggled and it would be working "with speed" to fix it.
Kohl's shares closed Wednesday up about 2 percent. The stock has fallen more than 31 percent over the past 12 months. Kohl's has a market value of about $7.1 billion.
Kohl's is set to report fourth-quarter and full-year earnings on March 3, and will hold an investor day on March 16.
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