ARASOTA - Winn-Dixie Stores Inc. plans to close its store at 3500 N. Tamiami Trail as part of a move to close 30 underperforming sites.
The average store employs 65 workers, but the Jacksonville-based chain did not specificy precisely how many workers would be affected.
Assuming the 65 average, though, that is 1,950 positions across Florida, Alabama, Georgia, Louisiana and Mississippi.
The company also said it is cutting 120 corporate and field support jobs to cope with weak sales and as it consolidates four operating regions in to three.
The affected employees will be able to apply for other positions within the grocery chain, Winn-Dixie said. Those who not land other jobs will get severance pay, which Winn-Dixie expects to total $5 million.
The cuts are expected to be completed late this year.
The company hopes to save $12 to $17 million annually as a result, starting in the first quarter.
“We continue to operate in a particularly difficult economic and retail environment in the Southeast,” said Peter Lynch, Winn-Dixie's chairman and chief executive, in a statement this week. “To respond to these business and economic conditions, we have thoroughly reviewed our retail operations and support structure and have decided to exit certain retail locations and reduce our corporate and field support staffs. The actions we are taking today will enable us to lower our cost structure, improve efficiency, and build the right foundation for our business now and in the future.”
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