What's Happening?
H&M, the Swedish ready-to-wear group, has announced plans to close the French design studio of its brand & Other Stories. This decision comes as part of a strategic move to consolidate the brand's creative and design team in Stockholm, Sweden. The closure
will result in the elimination of nearly 30 positions, primarily affecting roles held by women who have been with the company for over a decade. The decision follows a reported decrease in the brand's turnover since the appointment of new creative director Jonathan Saunders in 2025. The company aims to strengthen its business model and ensure sustainability across its markets. The process is currently under consultation with employee representative bodies.
Why It's Important?
The closure of the French design studio is significant as it reflects H&M's broader strategy to streamline operations and cut costs amid changing market dynamics. This move could impact the brand's creative output and its presence in France, potentially affecting its market share and customer base. The decision also highlights the challenges faced by global fashion brands in maintaining profitability while adapting to new leadership and creative directions. The consolidation of design operations in Stockholm may lead to a more unified brand vision but could also result in a loss of diverse creative input from the Paris team.
What's Next?
As H&M proceeds with the closure, the company will engage in consultations with employee representatives to address the implications for affected staff. The outcome of these discussions could influence the timeline and manner of the studio's closure. Additionally, the brand's future performance under the consolidated design team in Stockholm will be closely monitored by industry analysts and stakeholders. The impact on H&M's overall business strategy and its ability to adapt to market changes will be key areas of focus moving forward.
