Canadian Tire Layoffs Hit Corporate Staff — Here's How Many Jobs Will Be Lost

Canadian Tire Corp. Ltd, a retail giant with nearly 1,700 stores across Canada, has confirmed layoffs within its corporate workforce as part of a major transformation plan to stay competitive in a rapidly evolving retail landscape.

The company, known for its automotive, sporting goods, and hardware offerings, announced the cuts on 29 July 2025, but declined to specify the number of affected employees.

This move follows a £1.5 billion ($2.01 billion) investment strategy unveiled in March 2025, aimed at modernising operations over four years.

The layoffs, alongside store closures and leadership changes, signal a turbulent period for the retailer as it navigates economic pressures.

Restructuring Plan Drives Corporate Cuts

The layoffs are part of a strategic overhaul announced earlier this year, designed to enhance operational efficiency and address global competitive threats.

Canadian Tire stated, 'Earlier this year, we announced that we would be transforming our company to better compete in a new era of retail, defined by global competitive threats and the increasing need for speed and efficiency,.'

The company confirmed that no store roles are affected, with the reductions targeting corporate positions. While exact figures remain undisclosed, industry analysts estimate the cuts could impact hundreds of jobs, based on the company's previous reduction of 3% of its full-time workforce, approximately 200 employees, in November 2023.

This earlier round aimed to achieve £36.5 million ($48.7 million) in annualised savings but incurred severance costs of £14.6 million to £18.2 million ($19.6 million to $24.4 million).

The current layoffs are expected to follow a similar scale, reflecting ongoing efforts to streamline operations amid softening consumer demand.

Store Closures and Leadership Shifts

Beyond layoffs, Canadian Tire's restructuring includes closing 17 Atmosphere stores, with 14 set to be integrated into SportChek locations.

This move aligns with the company's focus on consolidating its retail footprint to boost efficiency. The retailer, which operates brands like SportChek, Mark's, and PartSource, is also undergoing a leadership shakeup.

Recent appointments include a Chief Transformation Officer and a Chief Operating Officer, while the search for a Chief Commercial Officer continues.

X posts from @BNNBloomberg state, 'Canadian Tire has eliminated an unknown number of corporate positions from its workforce,' highlighting the lack of transparency around the cuts.

Similarly, @ashrafulal91753 noted, 'Canadian Tire Cuts Corporate Jobs in July as Part of Major Restructuring,' echoing the company's official statement.

These changes come despite a strong first-quarter performance in 2025, with analysts monitoring the impact on margins and market share.

Economic Context and Employee Impact

The layoffs reflect broader economic challenges, including high interest rates and shifting consumer spending toward essentials.

Canadian Tire's earlier cuts in 2023 were driven by a 1.6% drop in consolidated comparable sales, as customers prioritised necessities over discretionary items like athletic wear.

The company employs 34,665 people, with 13,861 full-time staff, making it a significant employer in Canada. The lack of clarity on the number of job losses has sparked concern among employees and industry observers.

Legal experts at Samfiru Tumarkin LLP advise that employees should understand their rights to severance' pointing to resources for navigating such transitions.

As Canadian Tire braces for its next quarterly results in August 2025, the retail giant's ability to balance cost-cutting with growth will be closely watched.