7-Eleven cuts 880 jobs as part of its restructuring

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Convenience store chain 7-Eleven has cut 880 jobs in the United States, CNBC has learned, about a year after completing its acquisition of rival C-store Speedway.

7-Eleven is owned by Japanese retail conglomerate Seven & i Holdings, which came under pressure earlier this year from San Francisco-based investment firm ValueAct Capital to consider strategic alternatives. ValueAct had urged Seven&i to focus on 7-Eleven, and it backed a new slate of directors on the Japanese company’s board.

More recently, businesses in the United States have been grappling with inflation on everything from fuel to labor to rent, which is weighing on profits. Many companies are now halting hiring or beginning to lay off, as they look for opportunities to cut spending.

7-Eleven operates more than 13,000 locations in North America, according to its parent company’s latest annual report, of which about 9,500 are under its eponymous banner.

“As with any merger, our integration approach includes evaluating our combined organizational structure,” a 7-Eleven spokesperson told CNBC in an emailed statement. “The review was slowed by Covid-19 but is now complete, and we are finalizing the future organizational structure.”

The person said the cuts were to some support center jobs at Irving, Texas and Enon, Ohio, as well as field support positions.

“These decisions were not taken lightly, and we are working to support affected employees, including providing career transition services,” the company spokesperson said.

This story is developing. Please check for updates.

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