Job losses expected at Clarks
Footwear group Clarks is set to cut over 150 office-based jobs following a significant financial loss last year, according to a report by Drapers.
The layoffs will affect staff at the company's headquarters in Somerset and its US office in Massachusetts.
In 2023, Clarks reported a £40 million loss, a stark contrast to the previous year's profit. The company attributed the downturn to impairment charges, sticky inflation, and high interest rates, which dampened demand. Additionally, "discount hungry customers" reduced profit margins, and many retailers that stock Clarks shoes were overstocked, decreasing orders.
Clarks highlighted the challenging business environment marked by ongoing uncertainty, inflationary pressures, and major conflicts, all contributing to subdued customer sentiment and stagnant economic growth. Despite these challenges, the company reported nearly £1 billion in sales for the year.
