Home Depot Lays Off Hundreds, Shifts to Five-Day Office Policy

The retailer cites weak consumer spending and housing slowdown as reasons for job cuts and stricter back-to-office mandate.

Jan. 30, 2026 at 5:31am

Home Depot has announced that it will be laying off 800 employees, including 150 at its Atlanta headquarters, and requiring corporate staff to return to the office full-time starting in April. The moves are part of the company's efforts to improve "speed and agility" amid declining sales and earnings.

Why it matters

The big-box retailer has faced challenges in recent months, including weak consumer spending, a slowdown in the housing sector, and boycotts over the actions of Immigration and Customs Enforcement (ICE) agents at its stores. The job cuts and office policy changes come during a difficult stretch for the wider retail sector, which has seen a rise in layoffs and the shift toward e-commerce.

The details

Of the 800 job cuts, 150 will occur at Home Depot's Atlanta headquarters, with the remainder affecting remote employees, primarily in the company's technology and corporate teams. CEO Ted Decker cited the "lack of storms" in the third quarter and "consumer uncertainty and continued pressure in housing" as factors behind the retailer's missed sales and earnings targets.

  • Home Depot announced the layoffs and office policy changes on January 30, 2026.
  • The corporate staff must return to the office full-time beginning the week of April 6, 2026.

The players

Home Depot

A large home improvement retailer based in Atlanta, Georgia.

Ted Decker

The CEO of Home Depot.

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What they’re saying

“We're simplifying our corporate operations to better support our stores and our customers. Our goal is to drive greater agility and position the company to move faster and stay even more closely connected with our frontline associates.”

— Home Depot spokesperson (Retail Dive)

“In-person engagement enables more meaningful support for store and field associates, drives results and reinforces our people-centric culture and inverted pyramid.”

— Ted Decker, CEO (Home Depot memo)

What’s next

The employees affected by the announcement will receive separation packages, transitional benefits, and help finding new employment.

The takeaway

Home Depot's layoffs and shift to a five-day office policy reflect the broader challenges facing the retail industry, including weak consumer spending, housing market pressures, and the ongoing shift toward e-commerce. The moves underscore the need for retailers to adapt quickly to changing market conditions and customer preferences.