• Home
  • News
  • Business
  • Asos reportedly set to scrap 100 jobs as new CEO cuts costs

Asos reportedly set to scrap 100 jobs as new CEO cuts costs

By Rachel Douglass

Nov 1, 2022


Image: Asos Plc

Struggling fashion e-tailer Asos is said to be cutting over 100 jobs as its new chief executive officer steps in to implement a restructuring plan.

José Antonio Ramos Calamonte was appointed to the leadership position in June 2022, with a plan to simplify the business and “unlock sustainable long-term growth” through short-term operational measures.

According to Retail Week, the redundancies have affected all departments of the company, with the retailer now said to have entered a 45-day consultation period with impacted staff.

Asos told the publication that it is hoping to redeploy employees where possible.

Full-year loss

The news comes on the back of a disappointing financial report by the British e-commerce giant, which had swung into the red, making an operating loss of almost 10 million pounds in the year to August 31.

In its report, alongside the announcement that it had accepted a 650 million pound banking facility, Asos also said it was preparing to write-off 100 million pounds of stock in 2023.

The retailer was among a number of e-commerce companies that had been impacted by supply chain disruptions, lowering consumer confidence and rising business costs.

As a response, Calamonte said the company would be undergoing a series of operational improvements, including a renewed commercial model and a reinforced leadership team.