Burberry makes massive layoffs… but bets big on trench coats
The British fashion house Burberry is going through a period of turbulence. But behind the announced redundancies, an ambitious plan is taking shape to reaffirm its identity.
1,700 jobs at risk for $100 million in savings
In May 2025, Burberry unveils a new phase in its turnaround plan. The brand, whose sales have fallen by 15%, is now targeting £100 million in savings by 2027. Following a first wave of cost reductions at the end of 2024 (40 million), the British company is adding 60 million to the bill.
This plan includes a drastic reduction in headcount, with the potential elimination of 1,700 positions worldwide, or almost 18% of the total workforce. The company, which currently employs more than 9,300 people, also intends to optimize its real estate and purchasing expenses, as part of a global refocusing strategy.
A loss of speed… tempered by positive signals
In the year to March 2025, Burberry recorded sales of £2.5 billion, down sharply. But operating profit exceeded expectations, reaching £26 million against an estimated £11 million. This paradox reflects the resilience of the sector, but also the urgency of a fundamental transformation.
The “Burberry Forward” plan: refocusing on DNA
Behind these announcements lies a clear ambition: to rebuild around the essentials. Under the leadership of Joshua Schulman, appointed CEO in 2024, the brand is activating its “Burberry Forward” strategy. The aim is to reinvent storytelling, reposition pricing and, above all, capitalize on the brand’s strongest DNA: outerwear.
Trench coats, scarves and parkas are the mainstays of this relaunch. ” It’s where we have the most authenticity that we have the most opportunities,” says Schulman, who expects campaigns to intensify from autumn 2025.
A possible renaissance, but under tension
Burberry is playing for keeps. Between massive layoffs and a gamble on its historical identity, the House must convince investors and customers that it remains a key player in British luxury.
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