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Target steps up investment in store staffing, cuts about 500 other roles

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Target steps up investment in store staffing, cuts about 500 other roles
Target invests in store payrolls with new trainings and hours

Target said Monday that it’s stepping up store staffing, but eliminating about 500 jobs in distribution centers and regional offices as it tries to win back shoppers who have complained about sloppier shelves, out-of-stock items and longer checkout lines.

In an internal employee memo obtained by CNBC, the big-box retailer said it’s making changes to the way it runs and oversees stores to improve the customer experience, a top goal of the company’s new CEO Michael Fiddelke.

To do that, Target said it will reduce the number of store districts — the geographic areas that its nearly 2,000 stores are broken into, which have dedicated staffing — and put money toward more hours for frontline store employees.

As part of the changes, Target is laying off around 500 people, including about 100 at the store district level and about 400 across its supply chain sites, the internal email said.

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“This change also fuels our ability to put significantly more payroll in our stores – primarily in additional labor and hours where needed most, but also in new guest experience training for every team member at every store,” the email said.

The email was written by Adrienne Costanzo, chief stores officer, and Gretchen McCarthy, chief supply chain and logistics officer, and sent to Target employees across its headquarters and store field teams on Monday afternoon.

A Target spokesperson declined to specify the amount of additional investment planned for Target stores, but said the announcement will not change starting wages for store workers, which range from $15 to $24 per hour depending on the location.

For Target, the organizational shift marks one of the first changes under Fiddelke, formerly the company’s chief financial officer and chief operating officer, who stepped into the top job on Feb. 1.

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Fiddelke took the helm as the company aims to get back to growth. Its annual sales have been roughly flat for four years, and it cut 1,800 corporate roles last year in its first major layoff in a decade.

Customers, vendors and investors say the company had gotten weaker in some of the key areas where it used to stand out. For example, some shoppers said Target had lost its edge with attentive customer service and trendy, fashion-forward merchandise that earned the company its “Tarzhay” nickname.

The company has also faced backlash and boycotts from customers over a string of political and social stances over the past few years, including its decision to sell and then pull some Pride Month merchandise, its embrace of and reversal of major diversity, equity and inclusion initiatives and most recently, for not speaking out against the surge of immigration enforcement in its hometown of Minneapolis.

Along with Target’s self-inflicted struggles, the company has faced stiffer competition from peers like Walmart and a tougher economic backdrop. Consumers have been more selective in recent years about discretionary purchases and impulse items — Target’s sweet spot — while paying more for necessities like groceries and rent.

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In an interview with CNBC at Target’s Minneapolis headquarters in October, Fiddelke said his leading priorities as CEO would be restoring Target’s reputation for style and design, providing a more consistent customer experience and using technology to speed along the business.

Yet he added that Target needs to simplify an operation that’s become more complicated for store managers and store employees in recent years as they not only stock shelves, but pick orders for curbside pickup or pack up cardboard boxes heading to customers’ homes.

“If you’re a store manager now, yes, you’re supporting your in-store guest and you’re also running a fulfillment business that’s gotten pretty big,” he said in the October interview. “And I think we’re just now fully appreciating, ‘All right, we’ve got to make sure that we’re doing both really well and it’s more complex than it used to be.’”

Last year, the company made another store-related change to try to clean up and smooth over its operations. Almost all of Target’s online orders are fulfilled in stores, which has taken up more of employees’ time and stores’ backrooms. In response, the company shook up its online strategy, designating some stores as locations where employees pick and pack online orders to ship to customers’ homes and dropping that altogether at other locations.

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Target is expected to share more details about its turnaround strategy, along with its holiday-quarter results and full-year forecast, on March 3. It will host an event for investors at its Minneapolis headquarters.

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'Investing in people': Can China's new push to boost spending revive the economy?

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'Investing in people': Can China's new push to boost spending revive the economy?

Beijing has spent decades relying on exports and innovation but that model is now under strain.

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The 2 Worst-Hit Stocks Since the Iran War Started Drop Again. Why There’s Hope.

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The 2 Worst-Hit Stocks Since the Iran War Started Drop Again. Why There’s Hope.

The 2 Worst-Hit Stocks Since the Iran War Started Drop Again. Why There’s Hope.

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Atai Capital Management Q4 2025 Commentary

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Atai Capital Management Q4 2025 Commentary

Atai (“Value” in Japanese) Capital Management is a long-only, concentrated, unlevered fund run through separately managed accounts (SMAs). They employ a repeatable small-cap-focused value strategy and are based in Fort Worth, Texas. Note: This account is not managed or monitored by Atai Capital Management, and any messages sent via Seeking Alpha will not receive a response. For inquiries or communication, please use Atai’s official channels.

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'Icky and heartbreaking': The $2 per hour worker behind the OnlyFans boom

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'Icky and heartbreaking': The $2 per hour worker behind the OnlyFans boom

The BBC talks to a Philippines-based woman paid to pretend to be an OnlyFans star in online chats.

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DMO CEF: The 13% Yield Is Limiting The Growth Potential (NYSE:DMO)

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DMO CEF: The 13% Yield Is Limiting The Growth Potential (NYSE:DMO)

This article was written by

Financial analyst by day and a seasoned investor by passion, I’ve been involved in the world of investing for over 15 years and honed my skills in analyzing lucrative opportunities within the market.I specialize in uncovering high quality dividend stocks and other assets that offer potential for long term-growth that pack a serious punch for bill-paying potential. I use myself as an example that with a solid base of classic dividend growth stocks, sprinkling in some Business Development Companies, REITs, and Closed End Funds can be a highly efficient way to boost your investment income while still capturing a total return that follows traditional index funds. I created a hybrid system between growth and income and manage to still capture a total return that is on par with the S&P.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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The Aldi-style insurgents who could be about to shake up the vets market

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The Aldi-style insurgents who could be about to shake up the vets market

As pet owners complain of rising prices, independent practices want to take on the big chains.

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Trump announces first new US oil refinery in nearly 50 years in Texas

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Trump announces first new US oil refinery in nearly 50 years in Texas

President Donald Trump on Tuesday announced America First Refining (AFR) is opening the first new U.S. oil refinery in nearly half a century in Brownsville, Texas.

Situated in a massive deep-water foreign trade zone, the project will leverage advanced infrastructure and strategic rail and sea connections to transport low-carbon fuels and other energy products.

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“America is returning to REAL ENERGY DOMINANCE!” Trump wrote in an announcement on Truth Social. “THIS IS A HISTORIC $300 BILLION DOLLAR DEAL — THE BIGGEST IN U.S. HISTORY, A MASSIVE WIN for American Workers, Energy, and the GREAT People of South Texas!”

AFR said the facility will generate thousands of construction and permanent jobs, while offering wages that exceed market averages. 

WILL TAPPING OIL RESERVES CURB SOARING GAS PRICES?

America First Refining (AFR) is opening the first new U.S. oil refinery in nearly half a century in Brownsville, Texas.

America First Refining is opening the first new U.S. oil refinery in nearly half a century in Brownsville, Texas. (America First Refining / Fox News)

Partners in India and their largest privately held energy company, Reliance, made a “tremendous” investment in the project, according to Trump.

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AFR also signed a binding 20-year offtake term sheet with the global supermajor.

The company will officially break ground on the new refinery in Q2 2026.

“It is because of our America First Agenda, streamlining Permits, and lowering Taxes, that have attracted Billions of Dollars in Deals coming back to our Nation,” he said. “A new Refinery at the Port of Brownsville, will fuel U.S. Markets, strengthen our National Security, boost American Energy production, deliver Billions of Dollars in Economic impact, and will be THE CLEANEST REFINERY IN THE WORLD.”

“It will power Global Exports, and bring THOUSANDS of long overdue Jobs and Growth to a Region that deserves it,” the president continued. “This is what AMERICAN ENERGY DOMINANCE looks like. AMERICA FIRST, ALWAYS!”

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HOW THE IRAN WAR COULD HIT AMERICANS’ GROCERY BILLS

America First Refining (AFR) is opening the first new U.S. oil refinery in nearly half a century in Brownsville, Texas.

America First Refining is opening the first new U.S. oil refinery in nearly half a century in Brownsville, Texas. (America First Refining / Fox News)

Under the newly signed agreement, 1.2 billion barrels of U.S. light shale oil will be purchased and processed — a value of $125 billion, AFR will produce 50 billion gallons of refined products — a value of $175 billion, and the U.S. trade imbalance will improve by $300 billion, according to AFR.

The refinery is specifically engineered to process American light shale oil (47° API), which is cleaner, more efficient, and less costly to process than heavier imported crude. 

Unlike many existing U.S. refineries that depend on foreign oil, the facility will not require imported crude, which strengthens U.S. national and economic security.

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Key advantages of the facility include the capacity to process ~60 million barrels per year of 100% U.S. light shale oil, a strategic location at a deep-water U.S. port — enabling distribution to domestic and international markets, and the production of some of the cleanest gasoline, diesel and jet fuel refined at scale in the U.S.

AMID IRAN WAR, PRESIDENT TRUMP SUGGESTS SHORT-TERM OIL PRICE SPIKE IS ‘SMALL PRICE TO PAY’ FOR PEACE

America First Refining (AFR) is opening the first new U.S. oil refinery in nearly half a century in Brownsville, Texas.

America First Refining is opening the first new U.S. oil refinery in nearly half a century in Brownsville, Texas. (America First Refining / Fox News)

From 2014 to 2024, the U.S. exported nearly 10 billion barrels of crude, while still importing roughly 28 billion barrels, costing American consumers and workers more than $1.8 trillion. 

Once operational, the AFR refinery will redirect up to 60 million barrels of U.S. crude annually back into domestic refining — strengthening American industry, energy security and economic growth.

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Beyond industrial growth, the company’s website notes it will drive community engagement through educational partnerships and apprenticeships designed to foster long-term social equity and economic stability in the area.

The executive management team collectively has more than a century of experience in the chemical and refining industries, having managed nearly $40 billion in complex capital projects. 

An oil rig in the Gulf of America. (Reuters / Reuters)

“This project represents a historic step forward for American energy production,” said John V. Calce, chairman and founder of America First Refining. “For the first time in half a century, the United States will build a new refinery designed specifically for American shale oil. Thanks to President Trump’s leadership and the resurgence of an America First energy policy, we are creating thousands of high-quality jobs while ensuring more of our nation’s energy resources are refined here at home in the cleanest, most efficient refinery on the planet.”

CEO Trey Griggs added the U.S. has a surplus of light shale oil, but a shortage of refining capacity designed to process it. 

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XOM EXXON MOBIL CORP. 148.12 -2.30 -1.53%

“By building this refinery at the Port of Brownsville, we’re unlocking a major expansion of American energy production while creating thousands of high-paying jobs and strengthening our domestic supply chain,” said Griggs, who previously held top leadership positions at major corporations including Calpine and Goldman Sachs.

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Other key executives bring decades of experience from managing global operations, midstream logistics, and large trading portfolios across industry heavyweights like BP, Shell Oil, ExxonMobil, Vitol and Sunoco Logistics Partners.

The strategic advisory board includes seasoned leaders who have served as CEOs and top executives for companies including CVR Energy, YCI Methanol One and Royal Dutch Shell.

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United Can Ban Passengers Who Play Loud Sounds on Its Flights

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Sydney, Australia

United Airlines revealed an update to its rules, which states that it has the power to ban passengers who play audio or video loudly inside the airplane, especially during flights.

If the plane has not yet taken off the ground, passengers who violate the new rule may be removed by the company and its staff from a flight, so it’s better to bring your headsets, whether wired or wireless.

United Can Ban Passengers Playing Loud Sounds in Flights

United Airlines’ Rules of Transport now has a new clause added by the company which dictates that passengers who are playing loud sounds during flights, whether from audio or video, may be removed from the aircraft at any point.

According to United’s latest update to Rule 21 “Refusal of Transport’s” Clause H (Safety), the airline has the right to refuse a passenger or passengers transport, on either a temporary or permanent basis, if they “fail to use headphones while listening to audio or video content.”

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With this ruling, United staff members now have legal authority to take action against passengers who refuse to turn the volume down or stop watching the content with loud audio.

CNET reported that this rule was added on February 27, and according to a United spokesperson, they have always encouraged customers to use headphones while listening to audio content. The company also added that its Wi-Fi rules also share reminders to customers to use headphones at all times.

United Ban or Removal: Bring Your Headsets

The safest thing to do now is to bring one’s own headsets when flying United or any other airline to avoid running into problems, fights with other passengers, and ultimately, bans from airline companies.

According to the report, passengers may ask attendants or staff for complimentary headphones, but this is subject to availability.

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The United spokesperson also added that this rule update is right in time as the company’s rollout of Starlink satellite internet on its planes has begun, allowing faster internet connections in-flight.

Originally published on Tech Times

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Edwards Lifesciences at Barclays: Strategic Growth Focus

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Edwards Lifesciences at Barclays: Strategic Growth Focus

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Why Gas Prices Could Top $5 Again if the Iran War Drags On

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Why Gas Prices Could Top $5 Again if the Iran War Drags On

Why Gas Prices Could Top $5 Again if the Iran War Drags On

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