Stitch Fix is laying off 1,400 employees in California, and plans to hire in lower-cost U.S. cities
Katrina Lake, CEO of Stitch Fix
Adam Jeffery | CNBC
On Monday, online retailer and wardrobe styling service Stitch Fix said it would lay off 1,400 stylists in California between now and the end of September. The cuts affect about 18% of its workforce.
The Wall Street Journal previously reported on the company’s plans.
At Stitch Fix, stylists pick out clothing and accessories that the company ships to customers as part of a monthly subscription service. Customers can wear and return items, or pay to keep the ones they like the most.
In March, Stitch Fix had to close two of its distribution centers, one in California and another in Pennsylvania, temporarily to comply with Covid-19 health orders. In April, the company withdrew guidance for the third quarter and fiscal year 2020 because of uncertainty amid the pandemic.
Stitch Fix said Monday …continued .
[Source: CNBC News]