Columbus-based Express is slashing 150 jobs in the coming months to save $150 million by 2025.
The retailer announced cost-cutting plans in its preliminary second-quarter report.
The company filed a report with the Securities & Exchange Commission.
It said the downsizing is underway and expected to affect 150 workers.
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This plan would finish by the end of the third quarter.
Express expects $5 million to cover restructuring, severance, and benefit costs associated with the workforce reduction.
However, these layoffs are estimated to yield an annual saving of $30 million for the company.
Earlier this year, in May, Express had initially identified and executed cost-saving strategies amounting to $65 million in annualized reductions for 2023.
This figure was later revised to $80 million for the year after an additional $15 million in actions were undertaken.
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The company predicts by 2024, its expense reductions will amount to $120 million, with the full impact of the current job cuts becoming evident by then.
Express’s overarching objective is to achieve $200 million in annual expense reductions by 2025.
This target encompasses the $150 million and an extra $50 million derived from operational efficiencies in sourcing, production, and supply chain management.
Express will continue to examine business model
The company said it remains committed to thoroughly examining its business model to identify areas for substantial pre-tax cost reductions.
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CEO Tim Baxter said: “Net sales for the Express brand improved sequentially throughout the second quarter driven by the corrective actions we have taken to address imbalances in our women’s assortment architecture.
“These results give us confidence that we will continue to see improvement in net sales for the Express brand in the back half of the year.”
With widespread online and mobile sales, Express operates 530 Express and Express Factory Outlet stores.
It also has 60 Bonobos shops, an online store, and 13 UpWest locations and maintains an online presence.
