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British fashion house Burberry is set to make hundreds of redundancies after a significant drop in its share price. The layoffs will primarily affect employees in the UK, according to a report by the Telegraph.
Employees were informed of the decision via a Zoom conference call at the end of June. During the call, affected workers were told they would either be made redundant or required to reapply for their positions.
This announcement follows a 45-day consultation period within the company. According to the Telegraph, there are concerns among the workforce that up to 400 jobs could be at risk.
Burberry employed over 9,150 full-time workers during the 2023-24 financial year. The company had previously made 500 redundancies in 2020 as part of a cost-saving initiative to offset the financial pressures of the COVID-19 pandemic.
The luxury brand has yet to comment on the specifics of the redundancies, but the move is seen as a response to ongoing economic challenges and a bid to stabilize the company’s financial position amid fluctuating market conditions.
[Source: Money Review]
