Levi Strauss cutting 800 jobs in next 18 months
San Francisco • Levi Strauss & Co. will eliminate about 800 jobs, almost 20 percent of its non-retail and non-manufacturing employees, over the next 12 to 18 months.
The privately held company said Wednesday that the cuts will include some management positions and what it considers duplicate roles. Levi Strauss, which also makes the Dockers and Denizen brands, said that final plans will vary by country, and final estimates for headcount, timing and charges in certain areas of the business, may change.
The company's products are sold in approximately 2,800 retail stores and shop-in-shops globally, as well as online.
The job eliminations are part of the first phase of a restructuring plan that is expected to result in about $75 million to $100 million in annual savings, before accounting for charges related to those cuts. Those charges, which will total approximately $65 million, will mostly be recorded in the first quarter.
The entire restructuring plan is expected to deliver $175 million to $200 million a year in savings.
Levi Strauss, which is based in San Francisco, said that additional charges will be recorded in the future.