1,000 job cuts ahead Dolce & Gabbana?

Do employees at luxury fashion house Dolce & Gabbana have reason to be concerned? The Italian company is said to have a plans to make a series of layoffs in the near future, according to industry sources, reports WWD.

Dolce & Gabbana is said be to planning to cut roles at its two factories in Legnano, in the Tuscany region ahead of a potential IPO. The luxury fashion house is believed to be looking to cut down on its workforce in order to streamline its structure and curb costs “to prepare for a public listing,” said a market source to WWD. Patricio di Marco, Gucci’s former chairman and chief executive officer, has been singled out as the one behind the layoffs.

di Marco, who is a member of Dolce & Gabbana’s board and a independent advisor, is rumoured to be preparing the Italian company for an IPO and has been seen visiting factories and speaking to employees. “Gucci’s former chairman and ceo is the mastermind behind the layoff of 1,000 workers at Dolce & Gabbana,” added the market source. The job cuts are allegedly part of a larger, more extensive restructuring plan laid out by di Marco, which will modernise the company’s and help prepare it for a IPO.

Although the layoffs will affect the fashion house structure, they are said to be focus on Dolce & Gabbana’s apparel factory and accessories plant in Tuscany. Negotiations with trade unions, which have been asking Dolce & Gabbana representative for an explanation, are said to start in September.

“The head of personnel denied the existence at the moment of a restructuring plan and in response to our request specified that no personnel reduction is planned, while the move to Lonate Pozzolo [Italian town] and other sites is normal,” said the trade unions on Legnanonews.com last month, adding that “over the next few months, we’ll see if the facts will prove this true."

Photo: D&G, Facebook