Best Buy To Cut 5,000 Jobs, Close Stores As Customers Shift To Online Purchases

Best Buy is laying off thousands of workers as the retail giant plans to close some brick-and-mortar stores as the company transitions to focus on its e-commerce business.

Best Buy is cutting thousands of jobs.
Best Buy is cutting thousands of jobs. Photo Credit: File

This week, Best Buy announced that it is laying off 5,000 employees this month with plans to close more stores this year after consumers concentrated on online shopping during the COVID-19 pandemic.

According to the company, approximately 40 percent of its sales in the past year came from online purchases, up from 19 percent two years ago, forcing the retailer to transition its business model.

While Best Buy laid off 5,000 full-time employees, it also says it’s planning on adding approximately 2,000 new part-time positions to bring its workforce to more than 100,000 nationwide.

Best Buy has closed 20 stores in each of the past two years, with an even higher number expected in 2021 following the effects of the pandemic, despite favorable sales numbers in the past year.

According to reports, Best Buy has seen sales numbers increase by more than 12 percent in the last quarter, though future numbers are expected to represent slower sales in the wake of the fallout of the pandemic.

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