Gerry Weber to slash more jobs and close up to 200 stores
today Nov 15, 2018
Embattled Gerry Weber is set to cut more jobs and shut more stores. According to German newspaper Westfalen-Blatts of Bielefeld, management is prepared to slash a further 900 jobs from its global workforce of 6,500 following the implementation of several restructuring measures to ensure its survival. Additionally, from 170 to 200 stores will close, the newspaper reported citing a staff meeting on Wednesday.
100 Gerry Weber shops have already closed, from a global total of 1,300. The job cuts will also affect the company’s headquarters in Halle, Germany and the logistics centre. The company did not immediately respond a request for comment from DPA, the German Press Agency.
Gerry Weber warned on Tuesday of major losses for the current financial year. The company has slipped deeper into the red than it had originally forecasted. Losses are expected to be over €10 million. At €790 million, revenue for the 2017/18 financial year will also be €40 million lower than previously expected.
Gerry Weber, with its core brand Gerry Weber, Hallhuber, Samoon and Typhoon, has been struggling with declining sales and mounting losses for some time. Shares in the company have more than halved in the past 12 months. In October, the business announced a new restructuring programme to stay afloat.
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