Sears Canada to cut more than 1,600 jobs

January 16, 2014 

Sears Canada Inc. plans to cut more than 1,600 jobs, or more than 7 percent of its workforce, this year as it reorganizes and outsources some of its business, the struggling department store operator said on Wednesday.

Sears Canada, controlled by Sears Holdings Corp., said it signed an agreement with IBM Corp. to take over work currently handled internally, a move that affects 1,345 jobs at three call centers over the next nine months.

A further 283 jobs will be cut in a related reorganization of its logistics unit, including some streamlining of its business processes.

The news comes just days after the U.S. parent company reported a steep 7.4 percent plunge in sales.

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