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News

Sierra Trading cuts 12 jobs
By Harriet Weixel


This document was published online on Wednesday, January 14, 2009

Jay and Linda Perkins browse through a bin of sweaters Wednesday at Sierra Trading Post. The company will cut a total of 85 positions from three locations. (Photo by Sara Loven)

Twelve people are losing their jobs at Sierra Trading Post in Cody.

It’s the first work-force reduction time in the 23-year history of the company, which also has stores in Cheyenne, near Boise, Idaho, and in Reno.

About 66 employees will be cut in Cheyenne and seven in Boise. No positions are being eliminated in Reno.

“The total reduction will be a bit less than 10 percent of Sierra’s 830 employees,” president and founder Keith Richardson said.

In Cody, Sierra Trading Post operates a retail store on 8th Street and a call center on Blackburn Street; jobs were lost at both facilities. Prior to the announcement, Sierra employed 89 people in Cody.

“We are in the midst of the worst retail climate in generations. Retail sales in the fourth quarter of 2008 plummeted and deep discounting in all sectors failed to induce the consumer to buy,” Richardson said. “And current economic forecasts call for a deepening and protracted recession.”

Sierra Trading Post, based in Cheyenne, sells famous name brands at reductions of 35-70 percent through eight speciality catalogs, its Web site and four retail stores.

“It’s with great pain we made this decision,” Richardson said. “We avoided making it until we were certain the macro-economic trends were not short-term. It is now unavoidable, and we are faced with a climate of shrinking retail sales for the foreseeable future. To ignore this trend would be irresponsible. We must re-size our employee structure and realign it to the marketing channel shifts we have experienced.

“We will emerge from this painful trial as a stronger company, better able to profitably compete in the new economy of the foreseeable future,” he added. “Our business model of offering great deals on great brands will become even more valuable to the cash-strapped customer of the future.”

Bob Koehler, the company’s human resource director in Cheyenne, said at the present time no additional layoffs are expected.

He said employees with two years or more of service received severance packages. Company directors also are taking pay cuts, he added.

(Harriet Weixel can be reached at harriet@codyenterprise.com.)

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Reader Comments

Get it right wrote on Jan 26, 2009 1:12 AM:

" STP didn't "cut" 12 jobs. They laid off the people that were hired as temporary employees when the holiday season came to a close. Those employees were never promised a permanent position. The media needs to settle down and stop trying to make news happen where it doesn't exist. (EDITOR'S NOTE: In announcing the layoffs, company officials said the positions cut in the three cities were permanent jobs, not seasonal positions.) "

Cheyenne Guy wrote on Jan 19, 2009 9:12 AM:

" If you call $10.00 per hour "high end" you my friend are the one that is dead wrong, not I. "

sam wrote on Jan 18, 2009 3:01 AM:

" sierra is not that great of store really they don't have that many bargains and i hope they just plum close there doors it would be nice if they went to jackson... glad i never wrkd there.. they have religious problems i hear... interesting... "

gri wrote on Jan 15, 2009 4:13 PM:

" Nice to kick people when they are down. By the way how many businesses still have 60+ people in Cody. STP is committed to Cody even with reactions like this. Cheyenne guy, you are flat out wrong. Sierra has been one of the largest drivers of high end jobs in Cheyenne. You need to get your facts straight. "

Cheyenne Guy wrote on Jan 15, 2009 10:30 AM:

" STP did the same thing to Cheyenne. Promised high paying jobs and failed to deliver (still pays lower than the competing ditribution centers). On the other hand, STP does provide excellent insurance and incentive programs to their employees, and becsue of their store Cody has realized additional sales tax income that Cody would not have had otherwise. Of course, being from Jackson I think they should have placed the store there. "

Dewey wrote on Jan 15, 2009 8:46 AM:

" A couple of things to keep in mind for those of you who seem to have short term memories. Blackmail is a strong word, but the Sierra owners definitely used heavy strongarming to force the City of Cody to give them $ 150,000 outright towards property purchase, and a refund of $ 36,000 in utility work back in 2001, or else" we will take our Call Center to Powell...". Cody caved, even though same owner had just torn down a $ 300,000 house to build a new $ 450,000 house on Sunset Blvd. in Cody. Sierra hornswaggled the Chamber and economic development eladers by pomising they would create 240 jobs in Cody , put 101 new kids in school, and pay millions in taxes in five years ( 2006). Yeah , right...promises, promises. So before we go forward with Forward Cody and North Cody Land Development etc in bolstering new business, it might be really REALLY helpful if people recall this whole Sierra debacle , the unfulfilled promises, and how economic development really works. Don't get me wrong, I love the Sierra retail store. But when will Cody ever learn ? "

 

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