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Home Depot to Close Call Center
[February 20, 2007]

Home Depot to Close Call Center


TMCnet Contributing Editor
 
Home Depot, a retailer of home improvement products, reported last week that it will be closing its call center in Addison, Texas, on March 12, 2007.

The company’s decision to shift resources back to other stores will mean 550 call center agents will lose their jobs. The Addison call center, which was in charge of coordinating flooring installations, was operational for only nine months.



According to published reports, the 550 workers were notified during a staff meeting. The affected employees will receive pay for 60 days and job-replacement help from Home Depot. In line with this, the company will hold internal job fairs, including spring hiring in the Dallas-Forth Worth area. Home Depot currently runs 12 call centers across the United States.

Home Depot is also closing its two Floor Store locations, a move that will affect 80 workers. Its Floor Stores sell tiles, carpets, wood flooring and flooring installation services.


Home Depot’s decision to close the locations was a result of the company’s strategic plan on focusing and improving its retail stores. The company announced that it is seeking strategic alternatives for its wholesale supply business.

Home Depot shares sank 15 cents on the news last Friday, however, company spokesman Ron DeFeo said the closing of the facilities is not an indication of financial weakness, but rather a strategic move to provide more local, store-based contact for customers.

Home Depot is the world’s largest retailer of products for home improvement. In 2005, the company’s total sales reached US$81.5 billion, placing it 14th on the FORTUNE 500 list.

In 2006, Home Depot launched Fuel Centers in Brentwood and Hermitage, Tennessee, and Acworth in Georgia. These Fuel Centers sell hot food, beer, and snacks and diesel at a separate island. The centers also offer car washes. These products and services are being offered to contractors with large trucks.

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Beverly Maniago is a contributing editor for TMCnet. To see more of her articles, please visit her columnist page.

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