Goodlettsville-based Dollar General announced a corporate restructuring Tuesday that will eliminate 255 jobs, including about 115 vacant positions.
The discount retailer is restructuring its corporate support to improve efficiency and reduce expenses, according to a news release.
“Over the last several months, we have taken a hard look at our cost structure and are streamlining our support functions to improve our financial flexibility while positioning us to better serve our customers and to capitalize on long-term growth opportunities,” Dollar General CEO Todd Vasos said in a statement. “This restructuring should allow us to continue strengthening our market leadership position and deliver long-term value for our shareholders.”
Employees have been notified of the job cuts, which are effective immediately. Positions at the store level will not be impacted, according to the release.
The company employs 105,500 people, including more than 1,100 at its Goodlettsville headquarters.
Dollar General reported a net income of $282 million in the second quarter of 2015, up from $251 million the year prior. Same-store sales increased 2.8 percent.
As of July 31, Dollar General operated more than 12,198 stores in 43 states. Earlier this year, Dollar General announced plans to accelerate the pace of its store openings as the discount chain competes with a new larger rival: a merged Dollar Tree-Family Dollar company. A total of 730 new Dollar General stores have been planned for 2015.
Dollar General failed in its attempt to acquire rival Family Dollar for $9.1 billion after a nearly yearlong takeover battle. Family Dollar shareholders in January overwhelmingly approved an $8.5 billion deal with Dollar Tree.
Dollar General and Family Dollar sell items across a range of price points, while Dollar Tree prices items at $1 or less.
Reach Lizzy Alfs at 615-726-5948 and on Twitter @lizzyalfs.
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Source: Tennessean
Dollar General cuts 255 corporate jobs
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