Target is stepping up store staffing, but eliminating about 500 jobs in distribution centers and regional offices, CNBC reported Monday, citing an internal memo.

The company will reduce the number of store districts — the geographic areas that its nearly 2,000 stores are broken into, which have dedicated staffing — and put money toward more hours for frontline store employees, the report said.

Target said it was making changes to the way it runs and oversees stores to improve the customer experience, a top goal of new CEO Michael Fiddelke, the report added.

The company will lay off around 100 people at the store district level and about 400 across its supply chain sites, the internal email sent to employees by Adrienne Costanzo, chief stores officer, and Gretchen McCarthy, chief supply chain and logistics officer, said, according to the CNBC report.

Target did not immediately respond to a Reuters request for comment.

Fiddelke, who assumed charge earlier this month, said in October the company would cut around 1,800 corporate roles in its first major layoff in around a decade.