PVH Corp, the parent company of Calvin Klein and Tommy Hilfiger, plans to eliminate approximately 1,040 jobs, or 4 per cent of its global workforce, as it looks to reduce costs and simplify its operations.
The reductions will primarily affect non-customer-facing positions and account for around 12 per cent of the company’s office-based employees. The cuts are expected to be drawn from a global workforce of approximately 26,000 employees, according to a letter from CEO Stefan Larsson to employees, reported by WWD.
The move is part of PVH’s broader business transformation, which involves streamlining operations, strengthening its flagship brands and building a more efficient cost structure. The company has been pursuing this strategy through its PVH+ Plan, launched in 2022, which focuses on positioning Calvin Klein and Tommy Hilfiger as leading global lifestyle brands.
The latest workforce reduction is also intended to simplify internal processes and improve the company’s ability to respond to consumer demand. Further organisational changes are expected in the first quarter of 2027.
The restructuring comes amid a challenging financial performance. PVH reported a net loss of $102.9 million in the second quarter of the current fiscal year, while sales declined 3.23 per cent to $2.097 billion. For the first six months of the fiscal year, the company recorded a net loss of $14 million.
Headquartered in New York, PVH operates in more than 40 countries, with over 6,000 retail locations and a supply chain connected to more than 1,000 factories. More than 70 per cent of its revenue is generated outside the US.
The planned cuts indicate that the company’s cost-reduction efforts are focused largely on office-based functions rather than customer-facing roles. PVH has not disclosed a detailed breakdown of the positions or markets that will be affected.
