Burberry Group confronts major workforce decline amid market challenges
(MENAFN) Burberry Group, the renowned British fashion house, is reportedly poised to initiate substantial job cuts primarily within the United Kingdom following a notable decline in its market value. Burberry informed affected employees during a Zoom meeting held in late June that they would either face redundancies or need to reapply for their current positions.
The company has reportedly commenced a 45-day consultation period, signaling the potential elimination of hundreds of jobs. Union representatives are actively engaged in negotiating redundancy terms with a specific group of employees, amid concerns that up to 400 positions could be at risk. Despite requests for comment from the Telegraph, Burberry declined to provide any official statement on the matter.
These anticipated job reductions would follow a previous round of cuts in 2020, when Burberry implemented measures to save £55 million (USD70.5 million) in response to the economic pressures induced by the COVID-19 pandemic. As of the 2023-24 financial year, Burberry employed 9,169 full-time workers, as outlined in its latest annual report.
Founded in 1856 by Thomas Burberry, who initially set up a shop in Basingstoke, Hampshire, England, the fashion house gained prominence for its focus on developing high-quality outerwear. Over the decades, Burberry has evolved into a global luxury brand celebrated for its distinctive trenchcoats and fashion-forward collections, yet recent challenges in the market have necessitated strategic adjustments to sustain its operations and navigate evolving economic landscapes.
MENAFN08072024000045015682ID1108417129
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.