Myer plans to cut staff and its shares get stronger

Models showcase designs by Maison Scotch. Graham Denholm/Getty Image

Myer shares are higher, and defying the rest of the market as the retailer revealed plans to cut staff by voluntary redundancies.

A short time ago, the shares in the troubled department store were up 2.53% to $1.215. Most other retail stocks had lost ground.

The retailer plans to reduce the number of staff in 42 stores and cut the hours of casual staff by 20%.

Myer, struggling with falling sales, says the new model will give stores the ability to have more flexible hours available for peak periods such as Christmas.

In May, Myer cut about 80 jobs at its Melbourne head office as a part of a restructure under new CEO Richard Umbers.

Myer reported a big fall in profit, slipping 23.1% to $62.2 million, for the first half.

Umber says the retailer has lost relevance with customers and needs a new strategy.

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