Employees of Gucci protest against proposed move to Milan

Employees of Gucci protest against proposed move to Milan

Gucci employees stage a strike against the brand's decision to move its design office, which the union deems a covert attempt for mass job cuts

A strike was staged by numerous Gucci employees at the Italian fashion house on Monday to protest the decision to relocate its design office from Rome to Milan. Despite claims from a Gucci spokesperson that the relocation would not result in staff reductions, the regional branch of labor union CGIL characterized the move as "disguised collective redundancy."

On its website last week, the union stated that the move "hides the intention to eventually stop all operations in Rome." A subsequent post included photos from Monday's demonstration in Rome, showing protesters holding signs with messages such as "Gucci cuts but doesn't sew."

The company's decision, announced in October to unions, impacts 153 out of 219 employees in the Rome design offices. According to CGIL, requiring staff to relocate to Milan by the first half of 2024 is essentially a form of termination. Gucci's spokesperson stated that the move will allow its creative director and designers to work closely with the company's strategic functions in Milan, maximizing necessary interactions and synergies.

The brand is providing "economic incentives and active support" that are more favorable than those specified in the Italian national collective agreement.

Employees of Gucci protest against proposed move to Milan

Models showcase designs from Gucci's new creative director Sabato De Sarno during Milan Fashion Week in September.

Alessandro Garofalo/Reuters

After Alessandro Michele, the creative director, left Gucci in 2022, Kering, the owner of the brand, made changes to the top management. Sabato De Sarno, a former designer at Valentino, was appointed as the new creative director in January. In August, Kering announced the departure of CEO Marco Bizzarri and named Jean-François Palus, who previously worked as Kerings managing director, as the new CEO.

Kering, which also owns Yves Saint Laurent, Bottega Veneta, and Balenciaga, stated that Palus was given the responsibility of strengthening the teams and operations at Gucci to revitalize the Italian brand's influence and momentum.

Gucci is the largest brand under Kering, making up just over 50% of the French conglomerate's $22 billion revenue last year.

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Sales of luxury goods experienced strong growth earlier in the year, but cooled off in the second half of 2023. Kering, after three years of high profits driven by post-pandemic consumer demand, reported a larger-than-expected 9% decline in sales last quarter, falling behind its competitors as demand for high-end clothing and accessories slowed.

Under the leadership of De Sarno, Gucci introduced a new collection called "Gucci Ancora" (which translates to "still" or "again" in Italian) in September. The collection was presented to a high-profile audience in Milan including Julia Roberts, Ryan Gosling, Jessica Chastain, Kendall Jenner, and Julia Garner.

The designer gave the old Gucci codes a refresh sending babydoll dresses, tailored short suits, fringed skirts, hoodies and bejeweled knitwear down the runway.