Bottom Line: Today, we’re keeping it VERY simple and jumping straight to the “bottom line.” Here then, is the so-called, “red ink,” regarding the harsh facts and realities of this sad event (as they are currently known to us) according to a story today on CNN:
- The news that Toys “R” Us is closing might conjure up wistful childhood memories for shoppers. But for the chain’s 31,000 U.S. employees, it means they’re out of a job.
- Mass layoffs are usually softened with a severance package, but Toys “R” Us employees won’t get any because of bankruptcy laws. They will get benefits such as health insurance and matching 401(k) payments from the company.
- Workers were promised 60 days pay, which is required under federal law, and they’ll receive that pay even if they don’t work the full two months.
- Traditional retailers are on the ropes, with a record 7,000 stores closing last year, according to Coresight Research. That’s more than triple the number of closings in 2016.