Victoria's Secret parent cuts 200 jobs as it restructures
NEW YORK (AP) — The company behind Victoria's Secret and Bath & Body Works is cutting 200 jobs as it deals with increasing competition.
The cuts, at L Brands Inc.'s Columbus, Ohio and New York headquarters, affect just a fraction of the 87,900 employees.
But it's significant because the retailer, which has been a strong performer, is making changes to play defense as shoppers move online and the lingerie business gets more crowded.
The company will focus on online shopping for Victoria's Secret and Pink, its teen-focused brand. It plans a greater emphasis on loyalty programs, will move away from its traditional catalogs and quit certain categories, although it didn't say which ones.
As part of its efforts to react quicker to trends, the retailer said it's breaking up its Victoria's Secret division into three business units: Lingerie, Beauty and Pink. The leaders of these business units will continue to report directly to Leslie Wexner, the chairman and CEO.
The company announced the changes as it reported a 3 percent increase in revenue at stores opened at least a year, a key retail figure, for March.