IKKS considers workforce reduction and store closures

The ready-to-wear group IKKS announced on Monday that it was considering reducing its workforce and closing stores, to face a “complex economic reality”, according to a press release. This Job Protection Plan (PSE), which was presented Monday to the CSE, could concern 202 employees in France (out of 1,328) and provides for the closure of 77 stores and corners (out of 604).

“The conjunction of various external factors such as the global health crisis due to Covid-19, the consequences of the war in Ukraine where the group was strongly established, as well as persistent inflation, have had a strong impact on the entire sector”, justified the company. This project “aims to rationalize the distribution network and optimize company performance in an unstable economic context”further explained IKKS which is also committed to “maximize reclassifications”.

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Founded in 1987, the IKKS group brings together brands such as I.Code, One Step and IKKS, and offers clothing for women, men and children. The group is present in France and internationally with 700 points of sale and 1,700 employees worldwide, according to the press release. The ready-to-wear sector in France has been shaken by a violent crisis for more than a year. Camaïeu, Naf Naf, Gap France, André, San Marina, Kaporal, Don’t Call Me Jennyfer, Kookaï, Minelli, Burton of London, Pimkie, Du Pareil au Meilleur and Sergent Major…

These well-known brands from French city centers have suffered from an explosive cocktail: pandemic, inflation, prices of energy, raw materials, rents and salaries or even competition from second-hand and “fast fashion”. Some are downsizing, like IKKS, others have been placed in receivership, and still others have been liquidated.