Furnishing retailer Bed Bath & Beyond Inc. said on Tuesday its chief operating officer was departing as part of its move to cut 7 per cent of corporate staff, following a review of office costs.
The company also decided to eliminate the COO position, which was held by Eugene Castagna. The layoffs include vice-presidents, directors and managers at its headquarters in Union, N.J., and at other select locations, the company said.
The job cuts follow long-time chief executive officer Steven Temares’s departure in May after pressure from activist investors, who cited the retailer’s inability to grow sales and margins.
The company said the work-force reduction is expected to generate net savings of US$18.9-million for the rest of fiscal 2019, but will lead to a restructuring charge of about US$12-million related to severance and other costs.
Shares of the company were down nearly 1 per cent at US$9.27 in midday trading.