Bed Bath & Beyond announced Tuesday it is reducing its corporate staff at its headquarters in Union and certain locations where corporate associates are based.
The realignment also called for the elimination of Eugene A. Castagna’s role as president and chief operating officer.
“As we reset our approach to the business transformation underway, we are executing against four key near-term priorities, including resetting the cost structure,” Mary A. Winston, interim CEO and member of the board of directors, said. “While decisions that impact our staff are difficult, today’s action is an important step in simplifying our corporate structure and ensuring our resources are aligned with the business we are managing today. We remain confident in the underlying business and our ability to leverage the strength of the Bed Bath & Beyond brand and our lasting connection with customers to deliver on our near-term priorities and transform the company.”
The company said it recently completed a review of its corporate office cost structure. The result of that was a reduction of about 7% of its corporate staff.
Bed Bath said it estimates the changes will generate a future annual pre-tax net savings of approximately $30.7 million.