50 stores in Germany will be closed until November
The ailing fashion group Esprit wants to close every second branch in Germany. As the company announced on Wednesday, 1200 jobs will be cut worldwide, of which the largest share (1100) will be in Germany. Those affected include 800 store employees, 300 administrative employees and 100 employees in Hong Kong. The job cuts are part of a restructuring plan, explained the fashion group, which had applied for a protective shield insolvency for German companies.
The approximately 50 affected stores are to be closed by the end of November. With these measures, the Hong Kong-based group wants to permanently reduce its costs. The group wants to save around 100 million euros in costs per year. The restructuring plan developed in the three-month protective shield has now been approved by the Düsseldorf Regional Court. This is now followed by self-administration insolvency.
