Business & Economy

Best Buy to furlough more than 50,000 workers due to COVID-19

The Best Buy logo sits on the front of the company's flagship store.
The Best Buy logo sits on the front of the company's flagship store in Richfield, Minn. on July 11, 2018.
Lacey Young | MPR News

Best Buy is furloughing more than 50,000 workers in its stores in the wake of the coronavirus outbreak.

Corie Barry to become Best Buy CEO.
Best Buy CEO Corie Barry.
Courtesy of Best Buy

Company CEO Corie Barry announced the job cuts Wednesday, saying nearly all part-time workers were being temporarily laid off, although eligible employees are keeping health insurance coverage at no cost for three months.

More than 4 out of 5 full-time workers are staying on, Best Buy said, although some corporate employees are taking voluntary furloughs and pay cuts. Barry is cutting her base salary in half, and board members are halving their retainer fees. Other executives are taking a 20 percent cut in base salary through September.

The company is also cutting orders and advertising, as well as capital investments.

Best Buy had closed its stores to the public on March 22, turning to curbside delivery instead. Barry said the company had maintained about 70 percent of its sales compared to 2019.

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