Macy’s plans to close a fulfillment center in Tulsa, Oklahoma, this spring, a company spokesperson told Supply Chain Dive in an email.
“After careful consideration, we’ve made the decision to close our supply chain facility in Tulsa as part of our ongoing work to modernize our supply chain to better serve customers, while simplifying how we operate,” the spokesperson said.
Employees at the location have already been informed and are being provided transfer opportunities where available, as well as severance and support where applicable, the spokesperson added. Macy’s did not elaborate further on the decision behind the closure, or how many employees are being impacted.
Macy’s first announced plans for the the direct-to-consumer fulfillment facility, which is located near Owasso in Tulsa County, in 2013, with the site going live in 2015. At the time of the announcement, the 1.3 million-square-foot warehouse was expected to employ approximately 1,500 full- and part-time employees, as well as another 1,000 temporary seasonal associates.
Macy’s has made adjustments to its supply chain network as part of its “Bold New Chapter” strategy, which is meant to deliver an estimated $235 million in cost savings by 2026, former CFO and COO Adrian Mitchell told analysts in 2024.
In a Jan. 8 memo to Macy’s employees, CEO Tony Spring noted that the retailer is seeing faster and more reliable operations due to its efforts to modernize its supply chain as part of the strategy.
Turnaround efforts include a 1.4 million-square-foot facility in China Grove, North Carolina. The automated customer fulfillment and store replenishment center opened in October. The site is expected to account for nearly 30% of Macy’s digital supply chain capacity.
Elsewhere, Macy’s shuttered an operating unit at a distribution center in Connecticut in phases beginning at the end of December, impacting 106 employees.