Aaron's layoffs, on the record
Every job cut, severance charge and restructuring Aaron's reported in its annual reports, 2017 to 2019, quoted from the filings. Headcount went from approximately 11,900 to approximately 12,100.
Headcount, as reported
| Annual report | Employees | As of |
|---|---|---|
| 10-K for 2017 | approximately 11,900 | December 31, 2017 |
| 10-K for 2018 | approximately 11,800 | December 31, 2018 |
| 10-K for 2019 | approximately 12,100 | At December 31, 2019 |
Job cuts, severance and restructuring
Our summaryUnder a 2017 restructuring program, the company closed 15 underperforming Company-operated stores and recorded home office realignment, lease and asset charges.
Word for word“Total restructuring charges of $3.0 million were recorded during the year ended December 31, 2017 under the 2017 program, which were comprised of $1.7 million related to a realignment of the Company’s home office organizational structure to more closely align with current business conditions, $0.8 million related to Aaron’s contractual lease obligations for closed stores, and $0.5 million related to the write-off and impairment of Aaron’s store property, plant and equipment.” 10-K for 2017
Our summaryUnder a 2016 restructuring program, the company closed 123 underperforming Company-operated stores and optimized home office and field support staff, reducing headcount in those areas.
Word for word“As a result of this restructuring program, the Company closed 123 underperforming Company-operated stores throughout 2016 and 2017.” 10-K for 2017
Our summaryCompany announced and incurred restructuring charges tied to closing and consolidating underperforming Company-operated stores and workforce reductions in field support operations, with about $0.6 million related to workforce reductions.
Word for word“In connection with the announced closure and consolidation of underperforming Company-operated stores and workforce reductions in our field support operations, net restructuring charges of $1.1 million were incurred during the year ended December 31, 2018 .” 10-K for 2018
Our summaryCompany recorded severance and workforce reduction charges under its 2016 and 2017 restructuring programs, which reduced home office and field support headcount.
Word for word“In connection with the announced closure and consolidation of underperforming Company-operated stores and workforce reductions in our home office and field support operations, charges of $18.0 million were incurred during the year ended December 31, 2017 .” 10-K for 2018
Our summaryCompany initiated a 2019 restructuring program to close and consolidate approximately 85 underperforming Company-operated stores during 2019.
Word for word“In January 2019, the Company initiated a restructuring program (the "2019 Restructuring Program") to further align its Company-operated Aaron's store base portfolio with marketplace demand.” 10-K for 2018
Our summaryThe company started a new 2019 restructuring program that closed, consolidated or relocated underperforming company-operated stores.
Word for word“As a result of store optimization initiatives and other cost-reduction initiatives, the Company initiated a new restructuring program in 2019 to further optimize its Company-operated Aaron's store base portfolio, which resulted in the closure, consolidation or relocation of 155 underperforming Company-operated stores throughout 2019.” 10-K for 2019
Our summaryThe company cut home office and field support staff to match current business conditions.
Word for word“The Company also further rationalized its home office and field support staff, which resulted in a reduction in employee headcount in those areas to more closely align with current business conditions.” 10-K for 2019
Our summaryThe company recorded 2019 restructuring expenses that included workforce reductions, store lease and property impairments, and closing a store support building.
Word for word“Restructuring activity for the year ended December 31, 2019 resulted in expenses of $40.0 million , which were primarily to record closed store operating lease right-of-use asset impairment and operating lease charges, the impairment of vacant store properties, including the closure of one of our store support buildings, workforce reductions, and other impairment charges.” 10-K for 2019
Our summaryThe company closed and consolidated underperforming stores in earlier years under similar restructuring initiatives.
Word for word“The Company closed and consolidated 139 underperforming Company-operated stores throughout 2016, 2017 and 2018 under similar restructuring initiatives.” 10-K for 2019
Our summaryThe company still owes severance payments to former employees under its restructuring programs, plus a retirement payment to a former executive officer.
Word for word“Severance and retirement obligations represent primarily future severance payments to former employees under the Company's various restructuring programs as well as future payments to be made related to the retirement of a former executive officer.” 10-K for 2019
| Fiscal year ended | Restructuring charges | Cash paid for restructuring |
|---|---|---|
| 2016-12-31 | $20.2 million | — |
| 2017-12-31 | $18 million | — |
| 2018-12-31 | $1.1 million | $8.3 million |
| 2019-12-31 | — | $3.3 million |
Aaron's has filed no restructuring notice (Form 8-K, Item 2.05) since 2016. Companies file one only for a cut they judge material, so many announced layoffs never appear as one. This page shows what the company reported to the SEC, not news reports or state layoff notices.
Read from Aaron's’s annual reports (10-K for 2019, 10-K for 2018, 10-K for 2017) and the financial data it files with the SEC, as of 2020-02-20. Every quotation is word for word from the filing linked beside it; how these pages are built and checked. The full record is in its company data sheet.