The announcement of the closure of 23 Cassis & Paprika stores in Belgium nevertheless leaves many questions unanswered. Despite a takeover by an investment fund, dozens of jobs are threatened and the future of the brand remains uncertain.
This is a hard blow for the fashion sector in Belgium: 23 Cassis & Paprika stores will close their doors permanently, leading to the loss of 118 jobs. This decision follows the purchase of the brand by the investment fund Futura Capital Fund.
Closures spread across the entire territory
The closures concern 10 stores in Wallonia, 11 in Flanders and 2 in Brussels. Employees of the impacted stores expressed their sadness and concern about this situation. The bankruptcy of Paprika, scheduled for October 17, raises questions about the past management of the company. The unions point out management errors: “We had a company which had enormous potential at the large size level and which was not highlighted and we had to wait a very long time before putting in place a commercial plan which came a little too late“, estimates Vicky Hendrick, CGSLB permanent secretary.
The permanent secretary SETCA, for her part, points out strategic errors: “Bad commercial strategies, bad operational strategies, bad brand positioning strategies, bad strategies in terms of consideration of workers too and an employment policy where certain categories of the worker population could only benefit from a 6 p.m. week”deplores Rita Liebens.
If the takeover by Futura Capital Fund makes it possible to save some of the jobs, the future of the remaining workers is also uncertain. Longer working times and increased mobility are to be expected.
Unanswered questions
The extraordinary works council held at the brand’s headquarters did not dispel all concerns. Many questions remain about the future of the brand and its employees.
Cassis & Paprika closure of stores Belgium bankruptcy dismissal Futura Capital Fund unions business advice employment.
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