Academy Sports + Outdoors furloughs ‘substantial’ number of employees
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Academy Sports + Outdoors has temporarily furloughed a ‘substantial’ number of its employees at its corporate headquarters and distribution centre in response to the COVID-19 pandemic.
The move follows its decision to do the same to some of its store personnel. The company said in a statement that while most of its retail outlets, distribution centres and website remained open because its sells essential merchandise, the crisis has had a ‘substantial impact’ on the company’s business.
It added: “Due to the uncertainty of the situation, no time frame has been set for the furloughs. While furloughed employees are temporarily suspended from work, they will continue to receive medical and dental benefits and store discounts. They will also carry over their tenure when they are recalled to work.
“The corporate personnel, in essential roles who continue to work during the crisis, will take a 20% reduction in basic salary.”
The latest actions follow a number of others that the company has already made, including other operating expense cuts and a 50% reduction in salary of senior management.
“It is incredibly difficult to furlough our fine team members who have worked so hard for our customers and other teammates. Academy is in a good financial position to weather this crisis, but these actions will ensure that we come through the crisis as a strong company,” said Ken C. Hicks, Academy Sports + Outdoors Chairman, President and CEO.
“We will continue to operate our stores, distribution centres and academy.com business with the remaining staff so that we can provide our customers with the essentials they need. As soon as possible, Academy will emerge from this crisis with an organisation that is ready to hit the ground running. We will restock and reconnect with all our teammates, customers and communities.”