Pimkie plans to close 36 additional stores and cut more jobs

“It is sad for my little girls who love this store», lamented Dolores in a Facebook post. Pimkie, the iconic ready-to-wear brand aimed at 15-25 year olds, has once again upended itself. Commit to a Change Plan”It aims to sustain its activity and return to growth» Since February, the company has announced that it plans to close 36 additional stores in 2024 in addition to the 38 closures planned by the first plan. In total, 74 Pimkey stores are expected to close their doors this year, eliminating 372 in-store positions. 42 positions will also be sacrificed at the Pimki head office, which has only 140 employees.

The news, released at the end of a meeting to present the job protection plan, shows the company’s difficulties in following the initial schedule of its initial restructuring plan. “Pimkey has been forced to accelerate its savings plan“, the company admits, calls”Economic context, inflation and reduced presence at points of sale» In the last few months. “We did not expect that», notes, sadly, Marie-Anne Mercure, member of CFDT Pimki.

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A DG who has only been in office for five months

Throughout 2023, which will be historically disastrous for French ready-to-wear, Pimki has already worked to skim its network. In early June, the brand outlined its turnaround plan, announcing the closing of 63 stores and the elimination of 257 positions by 2027. As of December 31, 2023, 23 of the 196 stores had already closed down the curtain. Still consider the sign. Added to this is “80 franchise/affiliate stores in France and 71 stores internationally», refers to the group on Figaro.

This is a tough pill for employees to swallow as Pimki was able to build a solid reputation over the years. Created in 1971, “Pimki» First established in Lille’s city center and specializing in women’s pants. years,”Pimki“become”Pimki» and is oriented towards the fashion of teenagers and young adults aged 15 to 25 years. At its head, Mullies Family Association (AFM), which began to experience its first difficulties with Pimki from the end of 2009. In December, employees went on strike to protest the measures accompanying the 1900 Social Plan. employees. If they reach an agreement with management after seven months, the group’s troubles are not over.

In 2021, the Belgian and Swiss subsidiaries were declared bankrupt. The Mulliz family then decided to separate from Pimki and sold its activity in 2022 to the Pimkinvest consortium made up of Lee Cooper, entrepreneur Salih Halasi and the Turkish group Ibislar Textile. If the new general director, Sandrine Lilienfeld, took the helm of the group in February 2023, she ultimately only stayed five months, replaced by Elodie Chelle, appointed deputy general director. In a LinkedIn post, Sandrine justifies Lilienfeld “The shortest venture of (his) career“by”Shareholders have a very different view on a company’s turnaround“,”Managerial values ​​in opposition“and”An inconsistent worldview“

About which the employees also felt misunderstanding. “When the consortium bought the company, the number of store closures numbered approximately one hundred. Marie-Anne Mercure explains. So we were surprised when it dropped to 63.“In hindsight,”It was a bad decision not to close more stores, they were too fast” “Some were really negative and still kept open», refers to the elected CFDT, which appends it with “.Closures, rents and salaries had to be recovered but turnover did not change” “It is the snake that bites its tailshe whispers. We have the impression that they navigate by sight, which makes us uncomfortable.»

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“Fighting to win back our customers”

A CFDT representative recognizes this, “We no longer have the supply of clothing we need and are having trouble winning back our customers” Some stores still continue to publish photos and messages on social networks. “All stores have an Instagram account, which we try to keep alive», explains Marie-Anne Mercure. This is for example the case of the Sisteron store in Alpes-de-Haute-Provence which a week ago shared this message: “That’s it! A new year begins… it’s time to take care of yourself! And what better way to take advantage of sales to renew your wardrobe! Hurry to the store to take advantage of discounts of up to -60%.»

Will Pimki rise from the ashes? Forced to downsize, the brand still wants to “Diversify your activity», and this by associating 14 stores in its network with the Chinese accessories chain Miniso present in France from 2021. This association will make it possible to preserve 96 PSE positions. Anxious to save the furniture, Pimki’s management also hopes that this will bring a bad patch, Finally, a new lease of life for the company. “Our transformation plan aims to reinvent the Pimki experience and work on its desirability among 18-25 year olds. A new store concept will open in the coming weeks», Pimkie’s Deputy General Director, Elodie Chelle, promises in a press release.

An excitement that now gives way to fear for the group’s 1,300 employees. Marie-Anne Mercure hopes this PSE will be the last, otherwise the brand will end up in receivership. Pimkie is not the only brand to experience difficulties and thus joins Camaïeu, Burton, André, Don’t Call Me Jennyfer, Du Pareil au Meilleur and Naf Naf. These brands, launched before the 2000s, are facing a crisis in French clothing due to shocks linked to the Covid-19 pandemic, followed by inflation, rising energy costs, raw materials, rents and increased competition with fast fashion. It remains to be seen whether Pimki will manage to keep his head above water and avoid fashion’s grim reaper.