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REI is Laying Off 275 Employees

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21–30 of 132 posts

Re: REI is Laying Off 275 Employees

#21
post #8

What is REI?

Large outdoor goods retail chain in the form of a co-op. They're known for having a very open return policy as well as cash back to anyone who joins their cheap membership things.

(Naturally, they're not perfect -- so they're known for putting small shops out of business when they arrive and for becoming more faceless to some of their employees as they grow.)

Re: REI is Laying Off 275 Employees

#23
post #2

Consumer spending is getting hit hard and luxury campgear is easy to forego.

Looking at their consolidated annual report dated Dec 31 2022, it does not appear that revenue was an issue. But cost of goods and opex for salaries and G&A were way up, 20%+. Do you have more recent information about their top line or are you speculating?

Re: REI is Laying Off 275 Employees

#24
post #11

Earlier quoted context omitted.

They might call themselves REI "co-op", but a consumers' cooperative is really the polar opposite of representing the interests of workers. It's really just a shareholder owned company with a few steps removed in the middle.

In practice, the “co-op” stuff really just amounts to a run of the mill rewards program. I can’t tell any actual difference between it and various other “loyalty program” thingies, aside from that they force you to join it to buy anything from them.

The difference is that the company is actually owned by the co-op members, so it’s a co-op and not a rewards program.

Re: REI is Laying Off 275 Employees

#25
post #11

Earlier quoted context omitted.

They might call themselves REI "co-op", but a consumers' cooperative is really the polar opposite of representing the interests of workers. It's really just a shareholder owned company with a few steps removed in the middle.

In practice, the “co-op” stuff really just amounts to a run of the mill rewards program. I can’t tell any actual difference between it and various other “loyalty program” thingies, aside from that they force you to join it to buy anything from them.

Members can vote on the board of directors.

I doubt anyone really cares, and it's not open nominations.

Re: REI is Laying Off 275 Employees

#28
post #6

A Canadian company in the same space, Mountain Equipment Co-Op, was recently acquired by a hedge fund and is in the process of mutating into a for-profit company, to the dismay of many. https://www.outsideonline.com/business-journal/retailers/mec... Is REI being zombified the same way?

Darn. I have always appreciated MEC...

Same, dang

Re: REI is Laying Off 275 Employees

#29

Earlier quoted context omitted.

In practice, the “co-op” stuff really just amounts to a run of the mill rewards program. I can’t tell any actual difference between it and various other “loyalty program” thingies, aside from that they force you to join it to buy anything from them.

The difference is that the company is actually owned by the co-op members, so it’s a co-op and not a rewards program.

I don’t get any money out of it unless I buy stuff. And it’s never anywhere near how much I spent. And I’m pretty sure it’s store credit (I can’t recall for sure, been a while). So.

Re: REI is Laying Off 275 Employees

#30
post #15

A lot of people in that sub say they are part of the layoffs. Maybe they just laid off everyone that goes to that REI subreddit.

I'd hazard a guess most employees voluntarily on a company sub are people who've worked there a while and/or really care - so higher leveled people. And that's who they've seem to have laid off, sadly.
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