Target Cuts Salaried Employees' Bonuses to 75% Amid Weaker Results

Bloomberg reported that Target Corp. will reduce performance and annual bonuses for salaried employees to 75% of the eligible amount for the current year, calling the move a second consecutive year of cuts and identifying affected groups as the salaried workforce across corporate, store leadership, and distribution-center roles.

That 75% figure appears in the Marketscreener reproduction of the Bloomberg headline, which carried the metadata "Published on 03/04/2026 at 05:08 pm GMT - Modified on 03/04/2026 at 05:09 pm GMT." By contrast, Quartz and HR Grapevine — both citing Bloomberg in their pieces — reported employees would receive 87% of their eligible 2024 bonuses, a drop from the prior year when workers received 100% with some payouts even larger.

Company comment is also mixed in reporting. Quartz includes a direct line attributed to a Target spokesman: "A Target spokesman told Quartz that bonus outcomes were based only on Target’s financial performance for the total fiscal year 2024." HR Grapevine, however, reports that "Target has not publicly commented on the bonus adjustments." A LinkedIn post by Jaewon Kang echoed the 75% number and described the year as "rough," saying the payout was "lower than what eligible staff received in 2025."

News outlets tying the bonus change to broader headwinds point to weaker consumer spending, inflationary pressure, tariff impacts and backlash to Target’s cancellation of DEI initiatives. Quartz and HR Grapevine cite CEO Brian Cornell warning that fresh-produce imports from Mexico - specifically bananas, avocados, and strawberries - would be affected by new tariffs and face price increases, a factor executives flagged when shifting guidance strategy.

The bonus reports arrive against a backdrop of operational moves and volatility. Quartz notes Target's November 2024 earnings miss that sent the stock down more than 20%, and its March earnings report prompted a cautious outlook and a move from quarterly guidance to an annual forecast. To combat soft demand, Quartz reports Target slashed prices on thousands of non-essential items and saw traffic from partnerships such as the Taylor Swift "The Eras Tour Book" during the holiday season. HR Grapevine reports Target plans to invest $4 billion to $5 billion this year to modernize stores and open 20 new locations, with three already launched in Arizona, California and Texas, and a longer-term plan to add 300 stores over the next decade.

Markets responded with a flurry of analyst actions on March 4. UBS raised its price target to $144 from $130 while maintaining a Buy rating; Oppenheimer moved to $140 from $130 and kept Outperform; BofA Securities set a $106 target from $103 and maintained Underperform; Truist raised its target to $121 from $90 and kept Hold; other shops including TD Cowen, BNP Paribas, Mizuho, Deutsche Bank and Barclays also adjusted targets. Marketscreener showed Target shares at 120.08 USD with an intraday change of -0.60%, a five-day change of +3.13% and a year-to-date change of +22.84%.

The immediate factual split between a 75% Bloomberg-linked figure and an 87% Quartz/HR Grapevine figure remains unresolved in public reporting, and salaried employees across corporate, store leadership and distribution-center roles will be watching for a clear company confirmation on which fiscal period determines payout, the exact percentage, and timing of payments as Target pursues multi-billion-dollar investments and aggressive price and expansion strategies.