A luxury department store operator is trimming its supply chain infrastructure.
Saks Global, parent of the Saks Fifth Avenue and Neiman Marcus banners, will begin permanently closing its distribution center in LaVergne, Tenn. on Wednesday, June 4, 2025. The company expects all separations of affected employees to be complete by Sunday, Nov. 30, 2025.
In a Worker Adjustment and Retraining Act (WARN) notice filed with the Tennessee Department of Labor and Workforce Development on Thursday, April 17, 2025, Saks Global said 446 workers, who are not represented by a collective bargaining agreement, will be affected by the closure.
The state non-profit organizations Workforce Essentials and Northern Middle Tennessee Local Workforce Development Area will be responsible for the oversight and continued follow-up of services for employees who are laid off as a result of the closure.
In more cuts, WWD reported that Saks Global is laying off approximately 550 workers, or 3% of its total workforce, as part of an effort to consolidate operations among its two banners. Most of the layoffs came from Saks Global’s corporate offices in Brookfield Place in lower Manhattan, Dallas and other locations, where a total of about 300 workers are being let go, the report said.
Saks Global is seeking to reduce annual costs by approximately $500 million during the next few years.
Saks Global, which finalized its acquisition of Neiman Marcus Group for a total enterprise value of $2.7 billion in December 2024, is keeping Neiman Marcus’ store in downtown Dallas open through the 2025 holiday season after initially announcing its intention to close the store at the end of March.
[READ MORE: Neiman Marcus’ Dallas flagship to remain open — through holiday season]
Saks Global is also planning a $100 million renovation of the Neiman Marcus store at NorthPark Center, which is about 15 minutes away from downtown Dallas.
The Saks Global portfolio includes Neiman Marcus, Bergdorf Goodman, Saks Fifth Avenue and Saks Off 5th, as well as a portfolio of prime U.S. real estate holdings and investments.
https://chainstoreage.com/saks-global-shuttering-distribution-facility-laying-workers