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Macy's Inc. Chief Executive Terry Lundgren has lots of reasons to smile these days. Since bottoming out in 2009, annual sales at his company have increased by more than $4 billion, to $27.9 billion, and shares have returned 670%, more than quadruple Standard & Poor's 500-stock index and higher even than shares of Amazon.com.
"We've had five years of outstanding performance," Mr. Lundgren said. "That's how you add people."
Add people it has. In the past five years, Macy's head count in the New York area has grown 30%, to 31,200, making it the region's second-largest for-profit employer, behind only perennial powerhouse JPMorgan Chase & Co. (see list, Page 13). (List omitted) Mr. Lundgren notes that expanded sales and head counts have come without adding new Macy's stores in New York - although that will soon change.
The retail giant's growth underscores a broader shift taking place in the New York economy. As jobs in finance slowly disappear, they are being replaced by jobs in sectors like retail. The trade-off is not a simple one, however. The average annual wage for retail employees in New York is $39,000, or about one-tenth as much as those working on Wall Street, according to the Independent Budget Office.
"The retail industry has been a huge driver...