JCPenney (JCP) Commences Cuts at HQ; Hopes Martha Stewart (MSO) Trial Will Distract

February 22, 2013 8:23 AM EST
JCPenney (NYSE: JCP) is ticking higher in early trading Friday amid reports that cuts at the company headquarters are moving ahead as planned.

According to the NY Post, about 300 workers have received pink slips, signalling that they would no longer be employed at JCPenney. The number amounts to about 10 percent of the 3,000 people employed at the HQ.

Cuts are coming across the board, with 75 workers in HR and IT and at least 20 fashion-trend watchers getting the slip.

Some current workers speculate whether the move -- dubbed the St. Valentine's Day Massacre -- has something to do with the ongoing Martha Stewart Omnimedia (NYSE: MSO) trial. JCPenney is in court with Macy's (NYSE: M) over licensing agreements entered into with MSO last year, possibly cutting jobs in hopes that the litigation will provide the media with some distraction from the underlying story.

The Post also noted that JCPenney was hiring young workers.

Into the open, JCPenney is up about 0.9 percent.

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your store
dennis on 2013-02-23 13:17:33
Mark as Spam | Reply to this comment

im 61 yrs. old your store is ok 1to40 but my age no . 69 was the year i started shopping at jp i loved it change is good but you did to much. bring back my old jp thanks

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