CITY Furniture cuts workforce by 1.5% as inflation continues to nag economy

CITY Furniture, the venerable South Florida-based retailer of home, office and other furnishings statewide, announced Monday it laid off 39 people or 1.5% of its workforce “due to ongoing economic challenges over the last several months.”

The company employs 2,600 people statewide.

“We reduced operating costs to reflect the current level of demand,” CEO Andrew Koenig said in a statement issued through a spokesperson Monday afternoon. “Even with these shifts, we had to make the difficult decision to implement a 1.5% corporate workforce reduction across various positions; we understand the profound impact this has on our associates, their families, and colleagues. This was not a choice made lightly, and we remain dedicated to supporting those associates affected during this transition.”

Layoffs have plagued the retail furniture industry since last year as consumers have become more hesitant to buy under rising price pressures.

Late last week, the Boston-based online retailer Wayfair said it is laying off 1,650 people or 13% of its workforce in a cost-cutting move designed to buttress its financial performance.

Headquartered in Tamarac, CITY Furniture operates 23 showrooms from Miami to Vero Beach, as well as in Southwest and Central Florida. It also operates 14 Ashley Home Store showrooms in Southeast and Southwest Florida under a license.

CITY Furniture opened in 1971 as Waterbed City, and “evolved into a leading furniture and home accents destination,” according to its website. The company operates an e-commerce site, its own manufacturing facility in Mississippi, and a warehouse-showroom in Tampa. A year ago, Keith T. Koenig, the chairman and a co-founder, was recognized by the Horatio Alger Association of Distinguished Americans for his civic and charitable efforts in the community.

“Serving our community for over 50 years, we’ve witnessed the resilience and dedication of our team and the support of our local community,” Koenig said in his statement. “We are committed to living our values of family and entrepreneurial spirit and ensuring that CITY Furniture is well-positioned for the future.”

Low South Florida unemployment

Overall, employment locally, statewide and across the nation remains strong as the U.S. economy added 216.000 jobs in December and new applications for unemployment remained steady.

In Broward County, the unemployment rate was 2.8% in December 2023, 3% in Palm Beach County and 1.6% in Miami-Dade, according to figures distributed last week by CareerSource Broward. The region’s labor force totaled 1,109,563, up 4.3% over December 2022. A total of  31,406 were unemployed.

Industries gaining jobs year over year, according to CareerSource,  included “Professional and Business Services (+14,000 jobs); Education and Health Services (+6,400 jobs); Trade, Transportation, and Utilities (+5,900 jobs); Leisure and Hospitality (+4,000 jobs); Financial Activities (+3,100 jobs); Other Services (+1,100 jobs); and Information (+100 jobs).”

The state’s jobless rate was 2.2% for December 2023.

Job fair set in Fort Lauderdale

As it happens, the affected City Furniture employees can avail themselves of a broad-based job fair scheduled for Wednesday at the Greater Fort Lauderdale Broward County Convention Center, 1950 Eisenhower Blvd., Fort Lauderdale.

The inaugural “State of the Workforce” is jointly sponsored by CareerSource Broward, the Greater Fort Lauderdale Chamber of Commerce, Greater Hollywood Chamber of Commerce, Pompano Beach Chamber of Commerce, and Tamarac North Lauderdale Chamber of Commerce.

The event is billed as a “three-part professional growth opportunity” that includes a networking business breakfast, an employer marketplace, and the job fair “that will bring a ready-to-work, motivated workforce to community employers,” according to a statement.

The job fair will run from 10 a.m. to 2 p.m., and “job seekers will have the opportunity to speak directly with recruiters and apply for jobs on the spot,” according to a statement

Those attending will receive résumé assistance and aid with job searches and referrals from a “success coach.”

“Workforce professionals will also be on hand to deliver information on scholarships for educational and training opportunities that could lead to new career prospects,” the statement said.

Hundreds of positions are available. Participating employers are from the public and private sectors, and include Advanced Roofing, Broward Health, Broward Sheriff’s Office, City of Fort Lauderdale, Courtyard Fort Lauderdale Beach, Economos Properties, Florida Atlantic Research and Development Authority, International Union of Operating Engineers Local 487, Marine Industries Association of South Florida, Rick Case Automotive Group, The Riverside Hotel, Total Marine Solutions, Travelhost Media and Visit Lauderdale, among others.

The employer list will be updated on the CareerSource Broward website, the statement said.

The career fair is free but pre-registration is suggested by visiting the website at https://careersourcebroward.com/csbd-career-fair-job-seekers.