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Lululemon is planning to shut down its Washington distribution center and lay off 128 employees after opening a massive new warehouse outside of Los Angeles, the company confirmed Friday. "While some employees will be retained and will relocate to other facilities, including our recently opened distribution center in the greater Los Angeles area, the optimization will result in the reduction of just over 100 positions within the existing Sumner distribution center," the person added. The closure comes after Lululemon more than tripled its warehouse footprint in the past few years to accommodate its rapid growth. In 2021, it entered into a new lease for a 1.26 million square-foot facility outside of Los Angeles in Ontario, California, filings show. In 2022, it leased a 980,000 square foot warehouse outside of Toronto in Brampton, Ontario.
Persons: Lululemon, Sumner, , CNBC's Annie Palmer Organizations: state's Employment Security Department Locations: San Diego , California, Washington, Los Angeles, Sumner, Seattle, Sumner , WA, U.S, Canada, Toronto, Ontario , California, Brampton , Ontario, California, North America, Americas
Microsoft just did another wave of layoffs this week in its plan to cut 10,000 people from its workforce, and affected units include the company's cloud and artificial intelligence organization, an internal email viewed by Insider shows. In Janauary, Microsoft publicly announced a plan to lay off 10,000 employees through March. An email that was not shared with the public, but viewed by Insider, confirms cuts came to Executive Vice President Scott Guthrie's Cloud+AI organization. The company this week recirculated a guide directing managers on how to communicate with employees, according to an internal email viewed by Insider. In the guide, Microsoft calls for managers to "show empathy and compassion" and to "keep a pulse on team morale."
WebXT includes the team responsible for integrating AI technology from ChatGPT into Bing. Affected units include Microsoft's Web Experience Team, known internally as WebXT, which includes the company's Bing search engine and Edge web browser. Notably, this is the unit responsible for integrating ChatGPT technology into Bing. The Information reported earlier this year that Microsoft plans to use the same AI as ChatGPT to provide users with answers to some searches. One Microsoft employee theorized that the layoffs will help Microsoft cut higher-paid staff and hire new employees at lower compensation into investment areas like Bing.
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