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NEW YORK - Despite signs of an economic recovery in the United States, the pace of job cuts in the retail sector has continued to pick up in the first quarter of this year, according to a new study reported on by Reuters.
The retail sector experienced 51,078 job cuts in the first quarter of 2002 -- nearly half the record total 96,741 cuts seen last year, the report by employment research and recruiting firm Challenger, Gray and Christmas showed.
The study suggests that the sector as a whole has been hurt by deep price-cutting. As deflation hurt retailers' bottom lines, more companies cut jobs in an effort to stay afloat. That trend is likely to continue throughout the year, the report said.
Troubled times in retail could lead to consolidation in the industry, the firm said.