Target Corporation (TGT) announced a major restructuring of its corporate workforce, cutting approximately 1,000 existing roles and eliminating another 800 open positions—accounting for roughly 8 % of its global corporate head‑count.
Incoming CEO Michael Fiddelke, who will formally assume the helm in February 2026, framed the move as a necessary step to “set the course for our company to be stronger, faster and better positioned to serve guests and communities for many years to come.”
According to internal messaging, Target determined that “too many layers and overlapping work have slowed decisions, making it harder to bring ideas to life.”
The layoffs affect corporate functions—not store operations or supply‑chain employment—and skew heavily toward management and head‑office roles. Affected employees will receive pay and benefits through January 3, 2026 and severance packages.
For the omnichannel retail ecosystem, this move signals that Target is pivoting toward leaner, more agile corporate operations; a key competitive imperative as brick‑and‑mortar traffic falters and digital demands grow. The timing is critical: Target has faced a run of weak comparable‑store sales and mounting investor pressure.
From a supply‑chain and technology standpoint, the restructuring may free up resources to accelerate digital and fulfilment investments, which are vital for bridging online and store‑based engagement. That said, large-scale job cuts also carry cultural and execution risk—especially during a period of transformation.
