Levi has cut fifteen percent of its corporate workforce, as reported by WWD. The move has been made due to the ongoing coronavirus pandemic and to shift spending on its growing e-commerce business.
The company is terminating 700 positions globally out of a total corporate workforce of 4667. This will help generate savings of up to $100 million. The brand reported 62 percent of decline due to the temporary closure of stores and franchises due to the pandemic.
Chip Bergh, the brand’s Chief Executive Officer said in a statement: “We started the year with strong momentum, but the global pandemic and economic crises had a significantly negative impact on our second quarter results, as our stores and most wholesale doors were closed around the world for the majority of the quarter. As part of our response, to enable us to become a leaner and more market-responsive organization, we have made the difficult decision to reduce our non-retail, non-manufacturing workforce by about 700 positions, or roughly 15 percent, which we expect will generate annualized savings of 100 million dollars.”