- Gap Inc GPS looks to slash about 500 corporate jobs in order to cut expenses.
- The jobs are mainly at Gap's main offices in San Francisco and New York as well as in Asia, the WSJ reported, citing people familiar with the matter.
- Also Read: Kanye West's Yeezy Cuts Ties With Gap: What You Need To Know
- "We've let our operating costs increase at a faster rate than our sales, and in turn, our profitability," the report quoted interim CEO Bob Martin in a memo to employees.
- The company has been struggling with a slump in sales, especially in its Old Navy brand, which accounts for the majority of the company's sales.
- The job cut follows similar moves by other retailers, including Walmart Inc WMT, Abercrombie & Fitch Co ANF, and Bed Bath & Beyond Inc BBBY, as rising inflation changes spending patterns.
- Also, Gap issued a statement on the launch of The Athleta Look, a unique styling formula, and a corresponding eight-piece performance-based capsule collection.
- Price Action: GPS shares are trading lower by 3.68% at $9.17 on the last check Tuesday.
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