Target to layoff 1,000 and cut hundreds of open roles ahead of new CEO starting job

Core Insights - Target is laying off approximately 1,000 corporate employees and eliminating 800 open positions to enhance decision-making speed and drive growth under new CEO Michael Fiddelke [1][7] - The layoffs will primarily affect US-based roles, especially in leadership positions, with 80% of cuts occurring in the US and accounting for 8% of the global headquarters team [2] Group 1: Leadership and Strategy - Michael Fiddelke, who will take over as CEO in February, aims to streamline operations by reducing management layers and fostering a faster, more innovative corporate environment [1][10] - The company has initiated the Enterprise Acceleration Office to simplify processes and improve cross-functional collaboration, which Fiddelke has been overseeing since its launch [4][10] Group 2: Financial Performance - In the latest fiscal quarter, Target reported $25.2 billion in sales, a decrease of 0.9% year-over-year, attributed to reduced merchandise spending by consumers [11] - Comparable store sales fell by 1.9%, with in-store sales dropping over 3%, while online sales increased by just over 4% [12] - Operating income for the quarter was $1.3 billion, reflecting a decline of approximately 19.4% compared to the previous year [12] Group 3: Employee Impact - Affected employees will receive benefits and pay through early January, in addition to any severance packages offered [3] - Fiddelke acknowledged the difficulty of the decision but emphasized the need for these changes to position the company for future success [10]