Thank You California. Send us your jobs, not your politics. Stitch Fix is laying off 1,400 employees in California, and plans to hire in lower-cost U.S. cities. Bad news for California but good news for other cities and states. Let's hope they don't bring their blue politics with them.
Stitch Fix Inc., a personal-shopping service and clothing retailer, notified its roughly 1,400 California-based stylists Monday, or about 18% of its total staff, that they will be losing their jobs.
Most of the layoffs will take place in September and those affected will have the opportunity to relocate and stay with the San Francisco-based company. The online retailer said it will be hiring about 2,000 stylists in Dallas, Pittsburgh, Cleveland, Minneapolis and Austin, Texas, beginning this summer, and going through 2021.
The company’s founder and CEO Katrina Lake said offered the following statement:
“We have taken the very difficult decision to reduce the number of Stylists in our styling team in California, as we invest in our other styling hubs across the US, and the innovations that will help evolve our experience in the future. All of our California-based stylists will be offered the opportunity to relocate to the new roles in other states.
Any decision that impacts our hardworking and talented people is incredibly tough, but we believe this is the right thing to do for our business. We are committed to supporting our people through this by providing as much financial stability as possible, including severance payments that increase with tenure, bonuses for Stylists staying with us during the transition period, extended healthcare and recruitment resources.
What say you?
Source: CNBC
