JCP, the retail chain that owns JCPens, will shut its beauty-shop operation in Brooklyn and New Jersey and will lay off some employees in other parts of the U.S. and Canada.
The chain said in a statement Thursday that it had “made difficult choices and decisions over the past several months that have impacted our company’s ability to operate effectively.”
The chain, which opened in 2011 in Brooklyn, New Jersey, announced the closure in a press release on Thursday.
It added that it would invest $200 million to “restore the value of our assets, create a new vision for the company, and create a path forward for JCP.”
JCP, which operates more than 2,000 stores in North America, Europe and Asia, said it is “committed to a more diversified portfolio of brands and retailers that can serve our customers in a more efficient, cost-effective, and profitable manner.”
“We are investing in our stores to strengthen our brands, our brands to deliver better customer experiences, and our brands will be able to grow and serve our people better,” JCP president and chief executive officer John H. Campbell Jr. said in the statement.
“It’s a tremendous honor to have been chosen to be the face of the company and to lead JCP.
I’m truly grateful for the opportunity to work alongside the great people and great company, to build a strong legacy in the beauty industry, and to be part of a company that is going to be a great asset for the people of New York and New England,” Campbell said.
In New Jersey last week, the state’s attorney general announced that he had filed a civil suit against JCP for alleged wage theft, alleging that the chain had been paid about $9 million to its employees.
Last week, Campbell also said the company was preparing to close its stores in Los Angeles and Miami in September.
A spokeswoman for JEPens declined to comment on the closing, but said in an email, “The company has made difficult choices over the last several months and has taken steps to address the situation.”
Last year, JCP expanded into Europe and Canada and began selling its beauty products at Nordstrom and the Bloomingdale’s department stores in Toronto and Vancouver.