The French fashion brand Jennyfer is facing a dire situation as it seeks judicial liquidation, a move that threatens approximately 1,000 jobs across its operations. Founded in 1984, the brand had once enjoyed a significant presence in the retail clothing sector, with 220 stores in France and 80 internationally, including four boutiques in Belgium. However, the company has cited several critical factors contributing to its unsustainable economic model, including rising costs, declining purchasing power, and aggressive international competition.
On April 30, 2025, the company announced its decision to enter judicial liquidation, a shocking turn of events for many stakeholders. "The explosion of costs, the decline in purchasing power, changes in the textile market, and increasingly aggressive international competition have rendered its economic model untenable," the management stated. This announcement came just months after the company emerged from a period of receivership in 2024, during which it had hoped to stabilize its operations with a planned investment of 15 million euros and the introduction of a new shareholder.
The news has sent shockwaves through the workforce, with Elodie Ferrier, secretary of the CGT Commerces union, expressing disbelief at the abruptness of the liquidation. "We really did not expect it to be so brutal and violent," she remarked, highlighting that the management had concealed the company’s financial troubles until the last minute. Employees were only informed about the cessation of payments and the impending liquidation on the evening of April 29, just a day before the official announcement.
Ferrier criticized the management for its lack of transparency, claiming they had not communicated with employee representatives about the financial difficulties facing the company. "It’s the entire company that is being liquidated; there will be no more headquarters, no more warehouses, and no more stores," she lamented, emphasizing the impact on the 999 employees who are now facing job losses.
This latest development follows a series of restructuring efforts at Jennyfer, including two job protection plans (PSE) in 2021 and 2023, which had already led to the elimination of 75 positions without any store closures. The brand struggled to adapt to the fast-changing fashion landscape, where competition from online retailers and fast-fashion giants like Shein has intensified. Ferrier pointed out that the management's prioritization of shareholder profits over reinvestment in the business contributed significantly to the current crisis.
In a broader context, the fashion industry in France has been grappling with severe challenges over the past few years. Many brands have succumbed to the pressures of inflation, rising operational costs, and shifting consumer preferences. Notable casualties include Camaïeu, which went bankrupt in September 2022, leading to the loss of 2,100 jobs. Other brands like C&A and Gap France have also announced layoffs and restructuring plans, indicating a troubling trend in the retail clothing sector.
The French government has taken notice of the ongoing crisis in the apparel industry. On April 29, 2025, they proposed implementing small management fees on each package entering Europe, including those from Asia, in an effort to curb the expansion of low-cost fast-fashion retailers. This move aims to level the playing field for local brands struggling to compete against the influx of inexpensive, rapidly produced clothing.
As Jennyfer prepares for its liquidation, the commercial court is expected to make a decision regarding the company's fate between May 2 and May 6, 2025. The union representatives remain skeptical about the possibility of any takeover offers, given the dire state of affairs. "At the time of the receivership, there were no offers, so we don’t see how there could be any now, especially with the situation being even more degraded," Ferrier stated.
The brand's journey has been tumultuous, marked by attempts to reinvent itself. In 2024, under the leadership of new CEO Yann Pasco, Jennyfer aimed to expand its customer base to include young adults aged 15 to 24, in addition to maintaining its market share among 10-14-year-olds. However, these efforts have not been enough to turn the tide.
In a poignant statement, the management expressed their heartfelt thoughts for the employees who have dedicated years of passion and creativity to the brand. "Our deep and sincere thoughts go to all the teams mobilized for years with passion, creativity, and commitment," they said in a press release. Despite these sentiments, the reality remains grim as the future of Jennyfer hangs in the balance.
As the situation unfolds, the impact on the local economy and the affected employees will likely be felt for years to come. The story of Jennyfer serves as a stark reminder of the challenges facing traditional retail brands in an era increasingly dominated by online shopping and fast fashion. With the liquidation process underway, the question remains: what will become of the once-popular brand that has been a staple in the French fashion landscape for over three decades?
