U.S. Markets closed

Sears Canada to cut more than 1,600 jobs

TORONTO, Jan 15 (Reuters) - Sears Canada Inc plans to cut more than 1,600 jobs this year as it reorganizes and outsources some of its business, the struggling department store operator said on Wednesday.

Sears Canada, 51 percent-owned by Sears Holdings Corp , said it has signed an agreement with IBM to take over work currently handled internally, a move that affects 1,345 jobs at three Customer Contact Centres over the next nine months.

A further 283 jobs will immediately be cut in a related reorganization of its logistics unit.

In November, the company said it would lay off nearly 800 workers, with 712 jobs cut at its services business and 79 at its head office.