Fashion conglomerate VF Corp has said that it will be making around 500 layoffs across the company as it continues on its reinvention strategy under chief executive officer Bracken Darrell.
Initiated late October and dubbed ‘Project Reinvent’, the transformation plan aims to enhance focus on brand-building and improve operating performance.
Confirming the layoffs, a spokesperson for VF told WWD: “As part of VF’s new Reinvent strategy and with the aim of improving operational efficiency, we have eliminated approximately 500 salaried positions across the company globally.”
The statement continued: “While these decisions are never easy, they will give us the financial flexibility to invest behind our brands and better position us for long-term growth. We’re committed to handling this restructuring with dignity and respect for all involved and want to thank those impacted for their valued contributions to VF.”
The decision comes after VF reported that its revenue for the second quarter had declined 2 percent to three billion dollars, alongside losses in other areas, resulting in the withdrawal of its FY24 earnings outlook and the launch of Reinvent.
At the time, Darrell, who had been appointed VF president and CEO in June, said: "Our transformation plan, Reinvent, will improve our brand-building and execution while addressing with urgency our top priorities of improving North America, accelerating the Vans turnaround, significantly reducing our fixed costs and reducing leverage.”