JC Penney Is Laying Off 2,000 Workers

The retailer is closing 33 stores

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LM Otero / Associated Press

The department store chain JC Penney announced Wednesday it plans to close 33 stores and lay off around 2,000 employees.

In a press release , CEO Myron E. Ullman tried to put a positive spin on the news, saying, “These actions are expected to result in an annual cost savings of approximately $65 million, beginning in 2014.”

Calling the decision a difficult one, he added that “this important step addresses a strategic priority to improve the profitability of our stores and position JCPenney for future success.”

Penney’s is the second major retailer to announce layoffs this year. On January 8, Macy’s said it would layoff 2,500 workers and close five stores in spring 2014. The cost cuts will save the company $100 million.

[USA Today]