Advertisement

IKEA Will Cut 7,500 Redundant Positions But Forecasts 4,000 Net New Jobs

IKEA Group plans to eliminate 7,500 jobs globally that the company says will become redundant over the next three years. The eliminated positions mainly include administrative staff in central support functions. But the Group, which owns 367 IKEA stores, estimates that it will create 11,500 jobs during the same period, through the opening of approximately 30 new touch points and investments in its fulfillment network and digital capabilities, according to a company statement.

The expected redundancies amount to nearly 5% of the company’s current workforce, according to Reuters.

IKEA is in a transformational period, boosting its digital, delivery and other services while testing new, more accessible store formats. In the U.S. over the past three years, the retailer has opened 12 new stores and five new fulfillment and distribution units. IKEA plans to open two new stores in 2019, in San Antonio, Texas and Norfolk, Va. that will create approximately 500 new job opportunities.

Advertisement

“We need to simplify the way we are organized,” CEO Jesper Brodin told Reuters. “Over the last few years, we have invested resources in many different ways. And, to be honest, now we see that in several parts of our organization we have a bit of duplicate work.”

The job cuts will affect central functions and global service offices as well as local service offices across markets, but are “not geared towards the store operation or distribution units,” said Brodin.

Featured Event

View the Retail Trendcaster Webinar Series on-demand to uncover key 2025 retail trends, from AI and personalization to social commerce. Gain expert insights, data-driven predictions, and actionable takeaways to stay ahead in a rapidly evolving market.

Advertisement

Advertisement

Retail Trendcaster Webinar Series
Days
Hours
Minutes
Seconds

Uncovering What’s Next in Retail

On-Demand Limited Video Series

Q1 is a pivotal time for retail, with experts analyzing holiday sales and forecasting trends. View the full lineup of the Retail Trendcaster video series for insights on consumer spending, AI, personalization, social commerce, and more—helping you focus on what truly matters in 2025.

Brought to you by
Retail TouchPoints
Access Now
Retail TouchPoints is a brand of Emerald X LLC. By clicking the button and submitting information, you acknowledge and agree that your information may be shared with corporate affiliates of Emerald X LLC, and other organizations such as event hosts, speakers, sponsors, and partners. Please read our Privacy Policy and our Terms Of Use for more information on our policies.

Access The Media Kit

Interests:

Access Our Editorial Calendar




If you are downloading this on behalf of a client, please provide the company name and website information below: