Electronic retail giant Best Buy says it will layoff 1,600 staff at its 1,050 stores and reduce its Geek Squad workforce by 600.

The move comes as Best Buy says it is putting a new emphasis on service in an effort to regain traction in the market in the face of competition from Internet-based retailers such as Amazon.com.

"We are working to minimize the impact of the changes to store employees, while building a foundation for a strong future," Best Buy spokesman Bruce Hight said.