250 employees laid off at Sears corporate headquarters, dozens more stores to close

WHAT’S BEING CLAIMED:

  • Sears Holdings Corporation has laid off 250 employees at its corporate headquarters in Hoffman Estates, Illinois, two weeks ago, a company filing states.
  • The giant retailer also plans to shut down another round of Sears and Kmart stores before the year ends.
  • According to the notice, the layoffs would take effect in October, but a Sears spokesperson later said the layoffs were already done on August 30th.

Two weeks ago, giant retailer Sears laid off 250 employees at its corporate headquarters in Hoffman Estates, Illinois, and plans to close another round of Sears and Kmart stores before the end of the year, a Sears spokesperson told the Business Insider.

The announcement about the layoffs was made by Transform Holdco, Sears’ parent company. It was stated in a notice filed with the state of Illinois on August 29, a spokesperson for the Illinois Department of Commerce and Economic Opportunity told Business Insider. Though the notice indicated that the layoffs would take effect in October, Sears spokesman Larry Costello later said the layoffs were already executed on August 30th. The spokesman added that there are no additional actions planned for October.

“The filing referenced… refers to actions that were taken last week,” said Costello about a week ago. “There is no additional action planned for October.”

In February, Transform Holdco bought Sears out of bankruptcy.  The company had about 400 Sears and Kmart stores at the time. Transform Holdco announced in early August that a round of 26 stores was set to close by November.

Many of the stores included in the new round of closures will be closed before the end of the year. Liquidations are expected to start in September and stores will close by December, Costello added.

Costello declined to say how many stores are included in the latest round of closures and said the company would notify local media outlets if nearby stores are closing.

A list of at least 60 store closures that Sears confirmed to local media outlets has been compiled by Business Insider.

“As we continue our transformation efforts, we are working closely with our stakeholders, and evaluating our network of stores, operations, and business strategy in order to stabilize the business and support a long-term path to profitable success,” the company said in response to a Business Insider inquiry about the closings two weeks ago.

Source: Business Insider

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