Levi Strauss cuts 200 UK jobs but Beyoncé boosts sales

The UK division of Levi Strauss has cut more than 200 jobs, despite a rise in revenue and profits during its most recent financial year.

According to newly filed accounts with Companies House, as reported by City AM, the Northampton-based operation reduced its workforce from 1,857 to 1,630 in the 12 months ending 30 November 2024.

During the same period, it saw revenue climb from £89 million to £96.8 million, while pre-tax profits rose from £7.7 million to £9.5 million.

The UK-based workforce reduction came after the company had expanded its headcount by roughly the same number in 2023.

Despite this, the company noted that, while consumers remain drawn to special offers and the ease of comparing prices across platforms, its partnership with Beyoncé is helping to boost brand awareness.

Launched as part of a 12-month global marketing campaign in September 2024, Levi Strauss teamed up with Grammy award-winning singer Beyoncé for a new multi-platform campaign, aiming to put a "modern female spin" on the denim giant's most iconic advertisements.

While Beyoncé's continued impact will be shared in the next financial results, the company acknowledged the current financial year, saying: "Service levels have improved and confidence from customers and consumers in our ability to be a reliable partner should increase further in 2025.

"Traffic has been flattish overall or even in decline during the current year and a consistent trend of bargain hunting is still directing price-sensitive consumers more to outlets rather than mainline stores.

"The outlet business is however a highly professionalised and profitable business model for us and hence bears more opportunities than risks.

"Our new brand ambassador Beyonce is expected to boost brand awareness and should allow us to reduce promotional activities both on and offline."

Levi Strauss added: "We overall remain confident that our long-term strategy to build brand equity and expand the product portfolio especially in the under penetrated female and tops segments pays off.

"We have just laid out a new strategic business plan for the next five years in which we project more investments in elevated products around a denim lifestyle including an increase in near shore, more agile production capabilities."