VF’s Reinvention Leads to 500 Layoffs
More changes are coming to VF Corp., which is doing some more belt tightening under chief executive officer Bracken Darrell.
“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,” a company spokesperson said in an emailed statement. VF has a workforce of about 33,000.
“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,” the spokesperson said. “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.”
Bracken, who turned around Logitech before being tapped for the corner office at VF, might well have more in store as he seeks to rejuvenate the company, which saw revenues decline 4 percent to $5.1 billion in the first half.
The North Face has been strong, but Vans is still very much in turnaround mode. And activists are pushing the company to take a hard look at the rest of the portfolio, which includes Supreme, Timberland and other brands.
“I feel a lot of freedom to do the right things,” Darrell told WWD in October. “I also feel surrounded by smart people here and on our board. And I’ve also gotten a lot of feedback from investors. I think I’ve gotten a lot of feedback from every direction, so I feel very comfortable that I can make just about any change you can think of and I’ll get the support for it.”