Burberry to cut 1,700 jobs as designer suffers heavy losses

Luxury manner steadfast Burberry has said it could chopped immoderate 1,700 jobs arsenic portion of plans to trim costs by 2027.

The British decorator marque - famed for its distinctive camel, reddish and achromatic cheque signifier - announced the projected savings connected Wednesday arsenic it reported a £66m nonaccomplishment successful the past fiscal year.

The projected occupation cuts would trim its planetary workforce by astir a 5th and see imaginable redundancies astatine its Castleford mill successful West Yorkshire.

Burberry main enforcement Joshua Schulman said the bulk of occupation losses would travel from its caput bureau teams astir the world, but said the cuts would "naturally" beryllium focused successful the UK, wherever astir of its unit are based.

He confirmed unit rotas would beryllium reorganised and that nighttime shifts astatine its mill successful Castleford, which makes trench coats priced from £1,000 to £10,000 each, would beryllium scrapped.

"For a agelong clip we person had overcapacity astatine that facility, and that is simply not sustainable," Mr Schulman said.

"But I privation to beryllium precise wide that we are making this alteration to safeguard our UK manufacturing, and successful information we volition beryllium making a important concern to renovate this mill successful the 2nd half."

Burberry said it would align "schedules with highest store traffic" successful its shops, which would effect successful the simplification of immoderate jobs.

It added savings would besides travel from "operating expenses, with accrued ratio of walk successful procurement and existent estate".

The institution said the cuts were "subject to consultation wherever applicable".

Burberry was founded successful 1856 and has been making its celebrated raincoats successful Yorkshire since 1972.

The decorator marque antecedently announced £40m cost-savings programme successful November, meaning it present plans to make the combined annualised savings of £100m by Spring 2027.

"The continued resilience of our outerwear and scarf categories reaffirms my content that we person the astir accidental wherever we person the astir authenticity," said Mr Schulman, who was appointed main enforcement successful July past year.

"While we are operating against a hard macroeconomic backdrop and are inactive successful the aboriginal stages of our turnaround, I americium much optimistic than ever that Burberry's champion days are ahead," helium added.