Spirit, are you there? Not for much longer, as far as the brand in Europe is concerned. Indeed, its Belgian and Swiss subsidiaries have declared bankruptcy for its European operations, they announced on May 15, 2024.
The Esprit brand declares bankruptcy, but will it be liquidated?
The Germany-based group wants to restructure so as not to collapse in the face of inflation and rising energy costs. Not to mention the increasingly fierce competition from ultra fast fashion. It had already cut nearly 1/3 of its workforce and closed 100 stores during most of the pandemic, it reports The world With the’AFP.
The brand founded in 1968, present in forty countries, with 586 stores worldwide, is therefore declaring bankruptcy for its activities in Europe. In France alone it has 300 stores.
It remains to be seen to what extent the restructuring will or will not save jobs.
Because the mandatory phase of filing for bankruptcy involves an observation period followed by a collective recovery procedure, a judicial liquidation or a conciliation procedure. It is therefore still possible that Esprit will be able to turn the situation around or find a buyer.
Thousands of jobs are therefore at stake, especially in the sales sector. And the women who predominantly occupy these positions often struggle to retrain. All in a silence from politicians and public opinion that says a lot about the contempt reserved for fashion.
Listen to Laisse-moi kiffer, Madmoizelle’s cultural advice podcast.
Source: Madmoizelle
Mary Crossley is an author at “The Fashion Vibes”. She is a seasoned journalist who is dedicated to delivering the latest news to her readers. With a keen sense of what’s important, Mary covers a wide range of topics, from politics to lifestyle and everything in between.
