Shoe retailer Clarks has cut more than 1,200 jobs after sales plummeted by almost £100 million in its most recent financial year.
Newly filed accounts with Companies House show that the company’s workforce dropped from 7,413 to 6,161 over the same period, when it posted a pre-tax loss of £39.2 million.
In a statement, the company said: “2024 was a year of transition within the business, as internal and external factors created a variety of challenges.”
“Externally we were faced with challenging global market conditions.
“With a high number of major elections taking place in countries like the United States, United Kingdom, India, the European Union and several emerging markets, businesses and consumers faced uncertainty regarding potential shifts in trade policies, regulatory frameworks and fiscal strategies.”
It added that the impact of this volatility on the economy, as well as inflationary pressures, had led to reduced consumer demand.
“FY24 has therefore been a year of transition for the Clarks Group with cost rationalisation and reduction to fix the foundations for our future,” it said.
“Significant changes have been made to the operations in the year to right size the overhead cost for the current business size, refocus the marketing approach, reposition the product assortment and set up the business for recovery and sustainable profitable growth in 2025.”
In April 2024, Clarks chief executive Jon Ram resigned after two years in the role. The company is currently being led by an interim executive committee.
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