Levi Strauss, also known as Levi’s, has decided to implement job cuts at its European headquarters located in Michelin, Belgium. This decision comes after the US fashion brand had earlier announced the reduction of its global workforce by 10 to 15 per cent in January 2024. The restructuring at the European headquarters will affect 42 employees out of its current workforce of around 250. However, the retail staff will remain unaffected by this move. According to a staff member, the initial phase of the Renault Act procedure, a Belgian labour law governing mass layoffs, has already been executed last week.
These changes coincide with Levi’s first quarterly results for the year, in which the fashion giant reported a decline in sales and incurred a net loss during the period. The company attributes these setbacks to operational changes, resulting in a net loss of $11 million. Levi Strauss is a well-known American clothing company that is famous around the world for its Levi’s brand of jeans made from denim. As of November, the company had over 19,000 employees, and it expects restructuring charges of $110 to $120 million in the first quarter.
This move follows a trend of early-year layoffs in the retail industry, with other companies such as Macy’s and Wayfair also announcing job cuts recently.
