The Swedish company Ikea publishes about 7.5 thousand of its employees and transforms their global business, CNN reports.
The Ingka Group, which owns and manages the majority of Ikea stores, said on Wednesday it cut the global workforce by about 5 percent and switch to smaller stores and more online shopping opportunities.
"We understand that retailing is transforming to the extent that we have not testified before," said Ingx Group CEO, Jasper Brodin. "By swiftly changing consumer habits, we've changed by investing and developing our business to meet our needs in a new and better way," he adds.
Abbreviations will primarily affect administrative and auxiliary positions. Ikea has pointed out that less than 75 jobs will be removed in the United States.
The Swedish company added that the reorganization of the business could lead to the creation of 11.5 thousand new jobs by opening up 30 new smaller stores around the world. At the moment, Ingka owns 367 Ikea stores and employs 160,000 of 208,000 employees.
"We will increase our focus on improving our existing stores and take advantage of the opportunity to renew and re-discover our business in a way inspired by our history and culture," said Brodin.
Ikea recently opened its first store in India, planning to open another 25 in the Asian country.