Macy's stores have been closed since March 18th.
While the digital business remains open, Macy's says sales have plummeted due to the store closures.
The company took some measures including suspending the dividend, drawing down its line of credit, freezing both hiring and spending, stopping capital spend, reducing receipts, cancelling some orders and extending payment terms, and other financing options, but Macy's says it's not been enough.
The majority of employees across Macy's, Bloomingdales, and Bluemercury brands will go on furlough beginning this week.
Those employees enrolled in health benefits will continue to receive coverage.
Macy's expects to be able to bring back employees on a staggered basis as business resumes.
There will be fewer furloughs in its digital business, supporting distribution centers and call centers so online customers can still be serviced.
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