STOCKHOLM (AP) – Low-cost fashion brand H&M said yesterday that it will be reducing its global workforce by around 1,500 positions as part of a plan to reduce costs and further improve efficiency.
The Sweden-based company said a restructuring charge of SEK800 million will be booked in the last three months of the year.
The staff reduction is estimated to provide annual savings of about SEK2 billion.
Chief Executive Officer Helena Helmersson said H&M was “very mindful of the fact that colleagues will be affected by this. We will support our colleagues in finding the best possible solution for their next step”. H&M was founded in Sweden in 1947. Besides the clothing retailer, the group includes brands like COS, Monki, Weekday, Cheap Monday, & Other Stories, H&M Home, ARKET and Afound. It counts about 4,664 stores in 77 markets.
