Target's employee count is down 25,000 from a year ago

"Whenever I go into to a Target store, they've always got signs up that 'we're hiring' so they probably are finding it difficult to fill some roles," he said, but added that probably only accounts for a small amount of such a sizeable reduction.

Target's comparable sales have declined for three consecutive quarters, its first sales dip in several years as consumers have pulled back on some purchases amid higher prices for basic items. Executives said earlier this month they expect sales to be down again this spring quarter, and then to rebound later this year.

At the same time, Target recently said it has found more than $500 million in cost savings in the last year.

Target recently notified dozens of marketing employees that their positions are being cut, but those layoffs were after the annual report's tally.

While Target did not meet its sales targets this past year, it far exceeded its profit goals, which is why salaried employees, including corporate employees as well as store and supply chain leaders, will receive 100% of their bonuses at the end of this month.

Last year, employees only received 50% of their bonuses because the company did not fare as well in reaching its performance goals. The bonus payouts were first reported by Bloomberg.

"Based on Target's performance in 2023, including the $2 billion in additional profit growth our team delivered that exceeded the goals we set at the beginning of the year, we're rewarding our team accordingly," Brian Harper-Tibaldo, a Target spokesman, said in a statement.

The size of Target's overall workforce hit a recent peak of 450,000 people in 2022. It had been increasing every year since 2017, when it had 323,000 employees, as it has been adding more stores and building up its supply chain network.

Target used to be the largest employer in downtown Minneapolis, but is now the second largest. However, its downtown headcount of 7,100 employees did not change in the last year, according to an annual survey of employers.

The retailer also has a corporate campus in Brooklyn Park, Minnesota.