Shopping cart
Your cart empty!
UK's only global luxury brand to cut 1,700 jobs
Burberry, the UK's only global luxury brand, is to cut around 1,700 jobs worldwide over the next two years after reporting a steep financial loss.
The company lost £66m in pre-tax profit in the year ended in March as luxury goods sales fell across the world and the company weathered an "uncertain" environment and a "difficult macroeconomic backdrop". A year earlier, it recorded £383m in profit.
Money blog: £30 broadband rule explained It's suffered in recent years with the share price falling to such an extent the business was removed from the FTSE 100, the index of most valuable companies listed on the London Stock Exchange. Despite the financial performance, the company was upbeat, with chief executive Joshua Schulman saying "I am more optimistic than ever that Burberry's best days are ahead and that we will deliver sustainable profitable growth over time".
What cuts are being made? The retailer did not specify any shop closures - in the past year, it closed 26 and also opened 26 stores - but did highlight shift cuts and consolidations. "We don't have a store closing programme, per see," Mr Schulman told investors The night shift at Burberry's Castleford factory will be cut, it proposed, saying the shift has resulted in overproduction.
"Significant" investment in the facility will be made, however, as the ambition is to scale up British production "over time.
Amir Nisi
Creative and experienced content writer with 6+ years of experience lazy to create unique content strategy for News5 to turn website visitors into customers.
Related to this topic:
AI and Marketing: Unlocking Customer Insights
Feb 22, 2024
