MINNEAPOLIS, Minnesota: Target is slashing about 1,800 corporate jobs in its biggest round of layoffs in nearly a decade, as the U.S. retailer struggles to revive flagging sales and rebuild investor confidence amid a broader turnaround push.

The job cuts, roughly eight percent of its corporate workforce, mark a sharp shift for the Minneapolis-based company, which has spent years expanding operations but is now under pressure to streamline decision-making and restore growth.

In a memo to employees, incoming CEO Michael Fiddelke said the move was "a necessary step in building the future of Target."

"Too many layers and overlapping work have slowed decisions, making it harder to bring ideas to life," Fiddelke wrote. "It's a necessary step in building the future of Target."

The cuts will eliminate about 800 open positions and will primarily affect management roles, not store or supply chain employees. Staff losing their jobs will receive pay and benefits through early January, along with severance packages.

Fiddelke, a 20-year Target veteran and the company's chief financial officer, was appointed CEO in August and will take over officially in February 2026. His appointment drew skepticism from some investors, who viewed the internal promotion as unlikely to drive the sweeping change they believe the retailer needs.

The layoffs are the first significant move under Fiddelke's leadership and underscore his effort to simplify Target's sprawling corporate structure, which analysts say has become sluggish after years of overextension.

Target shares have fallen by nearly one-third this year, far underperforming rivals such as Walmart and Costco. The company has endured 11 straight quarters of weak or declining comparable sales, hit by softer demand for discretionary goods like apparel and electronics.

Beyond slow sales, Target has been under scrutiny for its handling of diversity, equity, and inclusion (DEI) initiatives, which it has recently scaled back amid backlash from conservative groups. Analysts say the resulting reputational whiplash has alienated both sides of the cultural debate, while distracting leadership from core operational issues.

The retailer has also struggled with merchandising missteps, bloated inventories, and pricing pressure linked to U.S. tariffs on imports, all of which have weighed on profitability.

Despite these headwinds, the company kept its full-year forecasts unchanged in August after cutting them earlier in May, when it blamed weak consumer appetite for nonessential purchases.

Target's retrenchment comes as several large U.S. retailers recalibrate for a more cautious consumer environment. Inflation has eased but remains above pre-pandemic levels, while shoppers have become more selective, favoring essentials over discretionary goods.

Industry analysts say the layoffs reflect Target's attempt to operate leaner and faster — a model more in line with rivals that have managed to grow despite macroeconomic headwinds.

"This move signals that Target is serious about fixing its structural inefficiencies," said one retail analyst. "But whether it's enough to reverse years of weak growth remains to be seen."

The company has not announced additional store closures or changes to its supply chain network, suggesting that the restructuring will remain focused on its corporate functions and leadership layers.

Fiddelke emphasized in his memo that the layoffs were intended to "empower teams to move faster, innovate more easily, and stay closer to the guest," a reference to the company's long-standing branding around customer experience.

Target last carried out a similar large-scale restructuring nearly ten years ago, when it overhauled operations following a data breach and a failed expansion into Canada.